Consulting Pay: What MBAs Earned In 2025

Core Insights - The era of automatic salary increases in consulting is over, with firms maintaining compensation levels due to increased efficiency and strategic talent investment rather than a decline in demand for consulting services [1][2][29] - Starting salaries for MBAs remain at $192,000, with performance bonuses and signing bonuses unchanged from the previous year, while undergraduate hires earn significantly less [1][8] - The report highlights a trend of stagnant pay across the consulting industry, with firms focusing on productivity gains and efficiency rather than increasing entry-level salaries [2][30] Salary Trends - For MBAs, total compensation at top firms like Bain, BCG, and McKinsey remains flat, with Bain leading at $285,000, followed by BCG at $270,000 and McKinsey at $267,000 [8][11] - Undergraduate hires at Bain earn a total compensation of $140,000, which is $3,000 higher than both BCG and McKinsey, with performance bonuses also reflecting similar trends [10][13] - The Big 4 firms show similar patterns, with PwC Strategy& offering the highest total compensation at $280,000 for MBAs, while undergraduate compensation remains steady across the board [11][13] Benefits and Incentives - The Consulting Salaries Report provides detailed insights into various benefits beyond base pay, including performance incentives, signing bonuses, and additional perks like PTO and tuition reimbursement [4][5] - Bain offers the highest performance bonuses among MBB firms, while McKinsey provides significant tuition reimbursement and housing allowances, indicating varied appeal in compensation packages [9][10] - Smaller boutique firms are noted for offering innovative benefits to attract talent, including unlimited PTO and performance bonuses that can significantly enhance total compensation [14][15][16] Market Dynamics - The consulting industry is experiencing a shift towards structural efficiency, with firms leveraging AI and automation to maintain productivity without increasing headcount [28][29] - Despite a healthy demand for consulting services, firms are cautious about increasing entry-level pay, focusing instead on preserving margins and flexibility [30][31] - U.S. consulting compensation continues to outpace global peers, with international markets experiencing stagnation in salary growth [31] Career Earnings Potential - MBAs can expect to earn significantly more than undergraduates, with potential first-year earnings for MBAs reaching up to $295,000 at OC&C Strategy Consultants, compared to $168,000 for undergraduates at Alvarez & Marsal [22][23] - The report outlines a clear trajectory for career earnings, indicating that MBAs can expect substantial increases in base pay and bonuses as they progress in their careers [24][25] - Factors such as promotion velocity, skill development, and long-term exit opportunities are emphasized as critical for career growth in consulting [32][33]