Total MBA Pay At MIT Sloan Dips Slightly

MIT’s Sloan School of Management in Cambridge

MBAs in the Class of 2016 at MIT’s Sloan School of Management saw median total pay fall slightly this year largely because fewer employers paid its graduates sign-on bonuses. Total median compensation declined by 1.3% to $145,826 from $147,681 a year earlier.

It’s not clear why but fewer grads received signing bonuses in every job function, with the exception of consulting, leadership development positions and business development last year. For investment banking jobs, for example, 61.5% of the class gained a sign-on bonus, down from 93.3% in 2015; in corporate finance, finance operations, treasury and M&A jobs, signing bonuses fell to 44.4% of the class, down from 70.6%. Overall, Sloanies who reported signing bonuses in 2016 fell to 66.1% of the class, down from 75.3% in 2015.

In its 2016 employment report, Sloan reported median salaries of $125,000, median sign-on bonuses of $25,000, and median other guaranteed compensation, reported by 22.1% of the class, of $19,500. Other comp was down from $20,500 in 2015. A Sloan grad’s total median package this year was behind Stanford’s Graduate School of Business ($179,346), Harvard Business School ($163,827), UVA Darden ($150,688), Michigan’s Ross School ($150,606) is right behind Darden, Wharton ($148,892), and Columbia ($147,000).


The highest reported base salary this year was $200,000 for a business development job with a manufacturing company in the West. The job was landed by someone with three to five years of pre-MBA experience and an undergraduate degree in engineering. The lowest salary this year of just $40,000 was reported by a graduate who took an operations/project management job with a nonprofit in Africa.

There was some big money claimed in bonuses at MIT in 2015. One student reported receiving a sign-on bonus for a product management/development job of $77,000. Another MBA expected to receive other guaranteed compensation, in addition to base pay and signing bonus, of $89,380.

Job offers at graduation also declined to 88.7%, down from 91.5% a year earlier, though the job offer rate recovered nicely there months later with 95.3% of the class reporting offers, roughly the same as 95.6% in 2015.

McKinsey & Co. remained the school’s largest single employer, hiring 26 Sloanies in 2016, down from 31 in 2015. Amazon was close behind with 23 hires, followed by Bain & Co. (17), Boston Consulting Group (14), Google (9), and Microsoft (8). Other major employers included Deloitte (6), Bank of America/Merrill Lynch (5) and LEK Consulting (5) (see table below).


There were few shifts in the industry choices of the Class of 2016. Some 30.5% of the class accepted jobs in consulting, down a bit from 32.1%. Technology firms hired 29.3% of the class, down just a tweak from 30.6% a year earlier, while hiring by financial firms rose to 14.7%, from 12.9% in 2015. Roughly 5.8% of the MBAs went into pharma and healthcare jobs, up from 4.1% a year earlier. Some 3.3% joined consumer goods companies, up from 2.0% in 2015, while media/entertainment firms hired 2.7% and autos/aerospace and other manufacturing both attracted 2.4% of the class. Only 0.7% took jobs in the nonprofit sector.

The percentage of the graduates launching their own businesses in 2016 fell for the third consecutive year to 24 students, or 6.1%, out of a total class of 406 graduates. Only four years ago in 2013, 37 students, or 9.5% of the graduates, did startups off of their Sloan MBA experience. MBAs doing entrepreneurial ventures fell to 7.4% in 2014 and 7.0% in 2015.

The year’s highest median salaries of $144,000 were paid in consulting, followed by computer and electronics companies where the median base was $130,000. Jobs in investment banking, brokerage and investment management paid median salaries of $125,000.

  • Yaniv

    Even with LBS and INSEAD, the lower 40% or so of the class usually suffers in the job market. I know several friends graduated last july, and still unemployed, others got jobs with low pays. Those sponsored by their organizations such as MBB or those who funded their studies but have their jobs, returned to the same employers, and to the same jobs. It is true that nowadays, it is a global struggle and slowing down almost everywhere, but , it is crucial for MBA aspirants to realistically calculate their investments and have very very realistic expectations out of the MBA.

  • avivalasvegas

    There was a short time when currency markets made the UK was more economically favorable as a job market than the US for a top tier MBA grad. Then the referendum led to the pound (and people’s salaries) losing 20% of its value.

    What has made matters worse is the rapidly weakening job market, followed by the weakening real estate sector. While it’s near impossible for MBAs to find a job that pays on par with the US anymore, I would argue that it’s hard to find a MBA level position in the UK as easy one would in the States, even if it pays less. And that is a sure stay away sign for anyone considering an MBA from any of the Tier 2 EU schools.

  • John

    Must be British Pound devaluation in the UK, given that most graduates who go to Europe usually end up in London. And in general salaries in Europe, except for London and Switzerland, have always been significantly lower than in the US, while taxes higher and cost of living about the same (subject to location, of course).

  • Envgrad

    Hello everybody,

    Can someone explain why the salaries in Europe is very low 81000? It is not for MIT only, also with Yale MBA, the median salary there was 91000 while it is six figures in Asia with all top schools!

  • Remo

    the interesting part of the salaries is in europe, $81k median !! this is very strange. any thought on it..