Are you wondering about the MBA graduate salary in investment banking USA 2025 and how much analysts and associates really earn? You are not alone. Every year, thousands of MBA graduates in the United States dream of breaking into investment banking because of its high pay, bonuses, and career opportunities.
But many candidates are not sure exactly what salaries to expect at the analyst and associate levels. This article gives you a complete guide to investment banking salaries for MBA graduates in 2025, including analyst and associate earnings, bonuses, and tips to maximize your compensation.
We will explain everything in simple language so everyone can understand — whether you are just exploring a career in investment banking or about to negotiate your offer.
In this detailed guide, you will learn about:
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MBA salaries in investment banking for 2025.
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The difference between analyst and associate roles and earnings.
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Bonuses, benefits, and total compensation.
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How salaries vary by location, bank, and experience.
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Tips to earn more as an MBA in investment banking.
Why Investment Banking Attracts MBA Graduates
Investment banking has always been one of the most lucrative fields for MBA graduates in the U.S. Many choose it because of:
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High salaries and large performance bonuses.
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Opportunities to work on high-profile deals.
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Clear career paths and rapid promotion for top performers.
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Prestige and valuable networking opportunities.
However, investment banking also comes with long hours and intense competition. Knowing the salary structure at the analyst and associate levels can help you make better career decisions.
What Is the MBA Graduate Salary in Investment Banking USA 2025?
In 2025, MBA graduates working in investment banking can expect very high compensation. On average:
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Analysts: earn about $100,000 – $125,000 per year base salary, plus bonuses.
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Associates: earn about $150,000 – $175,000 per year base salary, plus bonuses.
But that is just the beginning — bonuses and benefits often double or even triple the base salary.
Below we explain the earnings of analysts and associates in more detail.
Analyst vs Associate: What’s the Difference?
Before comparing salaries, it’s important to understand the difference between analysts and associates.
Analyst Role
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Usually the entry-level position in investment banking.
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Analysts do most of the financial modeling, research, and preparation of pitch books.
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Many analysts are hired directly from undergraduate programs.
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Some MBA graduates without prior finance experience may also start as analysts.
Associate Role
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Associates are one level above analysts.
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Most associates have MBAs or relevant work experience.
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They manage analysts, coordinate with clients, and contribute more to strategy.
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Associates also have more client-facing responsibilities.
Because associates take on more responsibility, their salaries are much higher.
MBA Graduate Salary in Investment Banking USA 2025: Analyst Earnings
If you join as an analyst after an MBA, here is what you can expect in 2025:
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Base Salary: $100,000 – $125,000 per year.
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Bonus: $50,000 – $100,000 per year.
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Total Compensation: $150,000 – $225,000 per year.
The base salary is usually fixed, but bonuses depend on performance, deal flow, and the bank’s profitability.
MBA Graduate Salary in Investment Banking USA 2025: Associate Earnings
Most MBA graduates in investment banking start at the associate level. Here is what you can expect in 2025:
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Base Salary: $150,000 – $175,000 per year.
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Bonus: $75,000 – $150,000 per year.
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Total Compensation: $225,000 – $350,000 per year.
Top-performing associates at elite banks can earn even more, especially when bonuses are strong.
Summary Table: MBA Graduate Salary in Investment Banking USA 2025
| Role | Base Salary ($) | Bonus ($) | Total Compensation ($) |
|---|---|---|---|
| Analyst | 100,000 – 125,000 | 50,000 – 100,000 | 150,000 – 225,000 |
| Associate | 150,000 – 175,000 | 75,000 – 150,000 | 225,000 – 350,000 |
How Bonuses Work in Investment Banking
Bonuses make up a large part of investment banking compensation. They depend on:
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Individual performance.
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Team performance.
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The bank’s profits that year.
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The size and number of deals closed.
In good years, bonuses can be even bigger than the base salary, especially at the associate level.
Other Benefits for MBA Graduates in Investment Banking USA
In addition to salary and bonuses, investment bankers enjoy benefits like:
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Health and dental insurance.
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Retirement contributions (401k matching).
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Paid vacation (usually 2–4 weeks).
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Subsidized meals and car services for late nights.
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Relocation allowances for those moving to another city.
These benefits can add thousands of dollars in value each year.
Salaries by Location
Salaries also vary depending on the city:
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New York City: Highest salaries and bonuses because it is the finance capital.
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San Francisco: High salaries, especially for tech-related investment banking.
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Chicago, Boston, Los Angeles: Competitive, but slightly lower than NYC.
Living costs in each city should also be considered.
Salaries by Type of Bank
Not all banks pay the same. Typically:
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Bulge Bracket Banks (e.g., Goldman Sachs, JP Morgan): Pay well but very competitive.
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Boutique Banks (e.g., Evercore, Lazard): Sometimes pay higher bonuses and have better work-life balance.
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Regional Banks: Pay slightly less but may offer a more relaxed environment.
Tips to Maximize Your Salary in Investment Banking USA
If you want to earn at the top of the range, here are some strategies:
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Choose the right business school: Graduates from top MBA programs (Harvard, Wharton, Booth) often receive better offers.
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Network effectively: Attend industry events and connect with alumni.
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Target the right banks: Research which banks have the highest pay and best bonuses.
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Perform well in your interviews: Show strong technical and soft skills.
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Negotiate wisely: Don’t be afraid to negotiate your offer if you have leverage.
Career Progression After Associate
Many MBA graduates wonder what happens after the associate level. Usually:
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After 3–4 years, associates are promoted to vice president (VP).
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VPs earn around $300,000 – $500,000+ per year.
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Then comes director and eventually managing director (MD), where salaries and bonuses can exceed $1 million/year.
Frequently Asked Questions about MBA Salaries in Investment Banking USA
Q: Do all MBA graduates start as associates?
A: Most do, but some with little or no finance experience may start as senior analysts and work their way up.
Q: Which banks pay the most for MBA graduates?
A: Elite boutique banks and top bulge bracket banks tend to offer the highest compensation.
Q: Can MBA graduates earn over $500,000/year in investment banking?
A: Yes, but usually at the VP level and above. Exceptional associates at elite firms may also reach that level.
Q: Is investment banking still worth it in 2025?
A: Yes, if you value high pay, fast career growth, and are prepared for the long hours.
Q: How many hours do investment bankers work?
A: Analysts and associates often work 70–100 hours per week, especially during busy deal periods.
Final Thoughts: MBA Graduate Salary in Investment Banking USA 2025
The MBA graduate salary in investment banking USA 2025 remains one of the highest across all industries.
Whether you start as an analyst or associate, you can expect base salaries between $100,000 and $175,000/year, with total compensation often reaching $225,000 to $350,000/year, or more when bonuses are strong.
For MBA graduates who are ambitious, hardworking, and interested in finance, investment banking offers not just high earnings but also unmatched career opportunities.
If you want to succeed, focus on attending a top MBA program, networking extensively, and preparing thoroughly for your interviews. Investment banking can be challenging, but the rewards are significant — both financially and professionally.