Probably a dumb question but what’s the difference between MD and Partner?

likefunny
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At B4, Partners, Principals and MDs (PPMD) are considered the same level. Equity Partners who are CPAs are called Partners. Non-CPA equity Partners are called Principals. Highest level of non-equity employee is MD (or ED). Getting to PPMD is a huge accomplishment. PP invest their own capital and have more at stake. Their comp is not guaranteed, which can be good or bad, depending on how well or poorly the firm performs. MDs will get at least their base salary irrespective of firm’s performance. There is a *perception* of different prestige for PP vs. MD.

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It depends. As in, if depends on the firm.

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At Deloitte a partner is an owner of the firm and has to buy in. MD is a salaried employee

likesmart

Technically for D we do not have partners in consulting. They are principals. The distinction applies to audit/tax and if they haves CPA.

We don’t have any partners - all of MDs are not salaried but earn what the sell and deliver.

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