As a top management consulting firm, McKinsey & Company attracts many ambitious professionals seeking lucrative and rewarding career opportunities. In this article, we will explore the McKinsey salary progression to help you understand the growth potential at this esteemed organization.
Mckinsey Hierarchy Positions And Levels
The normal positions and levels at Mckinsey are the same in some other management consulting firms. However, in a hierarchy, the positions/levels at Mckinsey from top to bottom include Director, Partner, Associate partner, Engagement Manager, Associate consultant, Business Analysts, and intern. It takes approximately one to three years to move from one position to another. Also worthy of note is the fact that some of the positions have Junior to senior roles. Take, for example, the business analyst position.
It comprises both Junior and senior analysts. The definition of these positions/levels is given below.
- Interns. These are students who undergo internships after graduation. Thereafter, they get a full-time offer.
- Business Analyst. A business analyst is an entry-level consultant at Mckinsey. It plays a role in the gathering of data/information, analyzing it, and delivering it by way of presentations. Managers and associates serve as guides to business analysts.
- Associate. They are promoted from a business analyst position. Associates at Mckinsey typically join after an MBA or relevant work. They function by independently supervising the work of business analysts and developing project deliverables. Associates may be involved in client relationships and team leadership.
- Engagement Manager. They are responsible for planning, executing, and delivering a consulting project. They lead teams, coordinate with clients and partners, resolve as well as mediate issues. They also hold seminars and training for other consultants, as well as supporting business development opportunities with clients.
- Associate Partner. They typically manage multiple projects at once and are expected to sell new consulting work.
- Partner. They are the key owners of project deliverables. They sell new consulting assignments to both existing and new clients.
Mckinsey Salary According To Levels And Position
| Position/Experience Level | Base Salary | Performance Bonus | Signing Bonus | Relocation Assistance | Total Compensation Range |
|---|---|---|---|---|---|
| Undergraduate Entry Level | |||||
| Business Analyst | $83,000 | $18,000 max | $5,000 | $2,000 – $10,000 | $108,000 – $116,000 |
| MBA Entry Level | |||||
| Associate | $165,000 | $45,000 max | $30,000 | $2,000 – $10,000 | $242,000 – $250,000 |
| 2-4 Years Post MBA | |||||
| Engagement Manager | $200,000 | $100,000 max | N/A | N/A | $300,000 – $400,000 |
| 5-8 Years Post MBA | |||||
| Associate Partner | $350,000 | $200,000 max | N/A | N/A | $550,000 – $750,000 |
| 9+ Years Post MBA | |||||
| Partner | $700,000+ | $1,000,000+ max | N/A | N/A | $1,700,000+ |
Here’s a table illustrating the approximate salary ranges at McKinsey based on office location. Please note that these figures may vary depending on individual performance, experience, and other factors.
| Office Location | Business Analyst Base Salary | Associate Base Salary | Engagement Manager Base Salary | Associate Partner Base Salary | Partner Base Salary |
|---|---|---|---|---|---|
| United States | |||||
| New York | $83,000 | $165,000 | $200,000 | $350,000 | $700,000+ |
| San Francisco | $85,000 | $170,000 | $205,000 | $355,000 | $705,000+ |
| Europe | |||||
| London (UK) | £60,000 (~$78,000) | £120,000 (~$156,000) | £150,000 (~$195,000) | £270,000 (~$351,000) | £540,000+ (~$702,000+) |
| Frankfurt (Germany) | €70,000 (~$77,000) | €140,000 (~$154,000) | €170,000 (~$187,000) | €290,000 (~$319,000) | €600,000+ (~$660,000+) |
| Asia | |||||
| Tokyo (Japan) | ¥7,000,000 (~$60,000) | ¥14,000,000 (~$120,000) | ¥17,000,000 (~$145,000) | ¥29,000,000 (~$248,000) | ¥60,000,000+ (~$513,000+) |
| Mumbai (India) | ₹20,00,000 (~$27,000) | ₹40,00,000 (~$54,000) | ₹50,00,000 (~$67,000) | ₹85,00,000 (~$115,000) | ₹1,40,00,000+ (~$190,000+) |
Please note that the figures are in local currency, with approximate USD conversions provided in parentheses
How Is The Salary Progression At Mckinsey?
The salary progression at Mckinsey depends on experience accumulated over time within the company. An Employee can move from junior to senior status within a level or position before being promoted to an entirely different level or position. They earn annual raises that are typically 90% of the performance bonus from the previous year added on to the previous year’s base salary. It is worthy of note that there is a slight annual increase for a 2nd and the 3rd year in each role or position at McKinsey. But this annual increase has less relevance. Promotion is of primary importance in your career at Mckinsey. This is because your salary increases as you move from one role or position to another. What’s more important is how fast you get promoted. Typically, you can spend approximately 1-3 years in each role or position before getting promoted to the next level. This gives you a 1.5 to 2times increase in salary depending on the role.
Mckinsey Salary Progression In UK
An employee that starts at McKinsey as a Business analyst in the UK earns a base salary of £45,000. A promotion to analyst position can see the employee at Mckinsey earn up to £65,000. This promotion, of course, can come in two years. Other top management consulting firms hold the same salary gradation structure but may have a different promotion structure.
What Is The Difference Between Mckinsey Salary In The UK And In The U.S
This comparison made in this article emphasizes that location is a great determinant factor in Mckinsey’s salary structure. Business analysts starting at Mckinsey in the U.S. earn a starting salary of $83,000. The salary at McKinsey London is £46,775. This is equivalent to $64,778. Also, bonuses for employees at McKinsey in the UK are generally lower. These differences show the effect location has on Mckinsey’s salary.
But it is worthy of note that the McKinsey salary is at the top of the market for Professional work services in the UK. These differences are brought to a balanced state by the urge for social benefits provided by the UK government compared to the US government. These social benefits may include; paid family leave and others. The cost of living, which is about 7% lower in the UK than in the U.S, also cancels out these differences.
Final Note
The salary progression at Mckinsey is interesting, and this makes it an attractive workplace for those seeking a career at Mckinsey. The other benefit of the base salary is what makes it one of the top management consulting firms in the world. The salary increases as you go higher in your professional career at Mckinsey. However, I would like to reiterate that the salary you receive at Mckinsey is dependent on your academic qualifications, location, and the role you are assuming at Mckinsey. The salary is so mind-blowing that you can earn up to $5,000,000 as a firm or director’s senior partner.