Total package is a function of roughly 4 things...
- Base: taxable, pensionable - Bonuses (sign / EoY): taxable, not pensionable - Benefits (car, health): similar to bonus - Pension: not taxable, a % of base (matched)
From a structure perspective, yes. The big question is the number associated with each of these components! Would not expect at consultant level much of a joining bonus unless you are leaving comp/options behind when you move.
Most pensions in the U.K. are defined contribution, often you will put in from your base salary pre-taxes and your employer will make a matched contribution (not considered part of base). Some of the elite consultancies have non-contributory schemes where they will put in a fixed % of salary regardless of your contribution.
Total package is a function of roughly 4 things...
- Base: taxable, pensionable
- Bonuses (sign / EoY): taxable, not pensionable
- Benefits (car, health): similar to bonus
- Pension: not taxable, a % of base (matched)
This is great. Thanks for detailing it out
Rising Star
This is such a broad question… what type of consulting firm? What level?
Editted the question to add further details
Pro
From a structure perspective, yes. The big question is the number associated with each of these components! Would not expect at consultant level much of a joining bonus unless you are leaving comp/options behind when you move.
Thanks.
So does the car allowance, pensions, health insurance are part of Base Pay ?
Most pensions in the U.K. are defined contribution, often you will put in from your base salary pre-taxes and your employer will make a matched contribution (not considered part of base). Some of the elite consultancies have non-contributory schemes where they will put in a fixed % of salary regardless of your contribution.
To add to C1... they may have a matched scale e.g.
If you put 0% they put 12%
... 1% / 13%
... 2% / 14%
up to around 8% / 20% etc