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I have recently joined EY SaT group as senior consultant recently in Netherlands. I’m tripple masters in MS economics, MBA and MS business analytics. Have 4 YOE in different industries but no M&A experience specifically. Any ideas what company should be offering me? I’ll be working as expert on commercial due diligence, FDD and valuation teams and doing automation alongside. is it wise to demand higher salary or promotion soon after I have proven that I can work and do it better than most?EY
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What is base pay range for L5 at Accenture?
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Realistically? 48 as an SM is cutting it fairly close, although I've seen the MD to Partner promotion occur more frequently in these cases.
I'd love for a Partner here to explain why the ROI may or may not be there after a certain age. I've never understood the whole equity ownership process. Please demystify for us, oh wise ones.
So, that wasn’t the question...realistically, I made partner with someone who was 58 and I knew an MD who made it at 56. Both wanted to achieve the title and knew that they were foregoing the retirement benefit because they wouldn’t have time to vest.
Now, with that said, if you’re asking where it financially makes sense, I’d say 40 but not later than 45 because our retirement plan maxes out at 20 years and with less than 15, it’s not nearly as big. But, you could still make it at 50 and have a retirement payment bigger than a significant percentage of salaried employees in the US.
It’s all dependent upon your perspective and what you’re trying to get out of it
Honestly, 45 - 47. Anything older and it’s not worth the investment. (Note that is for promotions not direct admit )
Mid 40s because this gig only makes sense financially if you fully vest, which takes around 10 years in most firms, and there’s a required retirement age for most firms. So basically you take requires retirement minus years to vest minus a couple of years for safety zone in case you don’t make it first year you’re up and that gives you the age it makes sense to last be promoted.
It likely depends on the model. Depends how fast you can gain equity, vesting periods, what the pension looks like, etc. however, I defer to more senior partners. I just made it
Agree w @P1’s logic. It’s also worth considering the alternatives: I made it at 47 realizing I wouldn’t “fully” vest, but my other options were to stay a Director (why), become an MD (w lower comp and more precarious tenure), leave for industry (maybe higher cash comp, but NO defined benefit plan).
For me it also wasn’t really about the $$$, more about opportunity to lead and have a broader sphere of influence. Then again I grew up lower middle class and live pretty modestly, at least compared w my fellow partners.
The math at every firm is different, so very difficult to answer. Plus, for some it’s not just about the math.
Especially at Big 4. In some, they don’t give you the option after a certain age. Others, you can do it til mid fifties and it still makes mathematical sense.
P4, how do I learn the mathematical considerations at each firm?
Not trying to dodge, but they don’t make it easy. I had a conversation with a guy in Advisory whose job is somehow related to partner compensation and performance management. Had it after telling my practice leader I had concerns about viability for the same timing reasons you are asking about.
The first time through it I didn’t really follow the arcana of the various vesting and deferred compensation implications, probably purposely, but he guy summed by saying “You absolutely should go for it” rather than opting for an MD/ED/D type job with longer tenure.
P4, I'm just saying. At some point or another, some Partner would've laid out the considerations into an ROI calculator spreadsheet. I've just never seen one. I'm not sure either if this is someone you get exposed to when you're going through the partner selection/promotion process. I'll Google it.
I think that guy who owns the spreadsheet exists at every firm. But there are a lot of factors that go into it, not the least of which is how much you make now and your trajectory. It could be that you could defer more comp than another partner. In any case, waiting til the partner selection process is too late. The good news is, at least in my case, if you ask them and tell them your situation, it’s a pretty good sign if they connect you with the spreadsheet guy.