Principal Salary Report - Massachusetts

Principal Salary Report - Massachusetts

October 15, 2024

At A Glance

Private Equity Principals in Massachusetts see significant variation in compensation depending on the size of the firm they work for. The latest research from Raw Selection sheds light on the salary ranges and additional compensation that principals can expect based on the firm's assets under management.

Salary Breakdown Across AUM Levels for Massachusetts Principals

Firms with AUM < $500M
Principals working for firms managing less than $500M in AUM have the lowest base salaries, with a starting salary of $150,000, a median of $177,500, and the highest salary reaching $185,000. Notably, despite the lower base salaries, 100% of these principals receive carry or profit and partner shares, enhancing their overall compensation through performance-based incentives.

Firms with AUM between $500M and $5BN
At mid-sized firms, the salary range increases. Principals earn a minimum of $170,000, with a median salary of $212,000, and the highest salary goes up to $300,000. In this range, 100% of principals are offered carry or profit-sharing options, and 33% receive a 50% bonus or less, adding additional flexibility to their total compensation package.

Firms with AUM > $5BN
The largest firms, managing over $5BN in AUM, offer the most lucrative packages. Principals at these firms earn a minimum salary of $250,000, while the median is $494,250, with the highest salary reaching an impressive $850,000100% of these principals also receive carry or profit-sharing, and 15% get bonuses of 50% or less, giving them a highly competitive compensation package.

What This Means for Firms and Candidates in Massachusetts

For Principals, compensation packages in Massachusetts vary considerably based on firm size, with smaller firms relying more on long-term profit incentives and larger firms offering higher guaranteed earnings. Firms looking to attract top talent in Massachusetts must consider these benchmarks to remain competitive, especially in the highly sought-after larger AUM space.

In summary, whether you’re a Principal looking to make a career move or a firm looking to hire, understanding how compensation scales with AUM in Massachusetts is essential for structuring packages that appeal to the best in the business.

 

To learn more, reach out to our specialist Haleema Hussain at haleema.hussain@raw-selection.com 

 

ALL THIS INFORMATION IS FROM OUR CRM.

 

Get in Touch

Raw Selection favors a meticulous approach to talent research. Our process for selecting the right talent means we can boast a 100% success rate for all our retained and engaged C-Suite clients, with 96% of placed candidates still in their roles after 12 months.

If you are looking for new talent, contact us now.

Get in Touch