Starting your career at one of the Big Four Accounting Firms can put you in an excellent position for exciting, well-compensated work. However, you might not want to stay with your Big 4 firm for your whole career. Perhaps you’re looking for a better work-life balance or a slower pace of work. Whatever the reason, you may be considering leaving the Big Four for a client-side role.
For example, let’s say you’ve worked at a Big Four firm for a few years, and one of your clients invites you to join their team. This is a big life decision, and it’s worth thinking through with an eye to both the present and the future. What’s right for another accountant may not be right for you. So, with that in mind, let’s break down the most important considerations of this career move.
Big 4 vs. Industry: Salary and Other Perks
What jumps out at you first is either the prospect of a better salary or better work-life balance (or both). An increased salary speaks for itself—who wouldn’t want to earn more compensation for your work? If the increase is exceptionally generous, that will make the offer of client-side work all the more tempting.
Working at a Big Four Accounting Firm is excellent for your career, but it’s often a stressful experience that involves a lot of overtime. Typically, working directly for a client offers the intangible benefit of more stable hours and substantially less overtime outside of busy season. If you’re looking to slow down, or if you’re looking to start or spend more time with family, this may be more important than money. You might even consider taking a cut in pay if this is especially important to you.
Contractual Obligations
When eyeing your new salary, remember that you may be under a contract that takes a chunk out of that number as a Big Four employee. If a client like that investment bank wants to hire you, they may have to pay a fee to your old employer. Sometimes it’s up to 25% of your new salary.
This fee might or might not come out of your new paycheck. Make sure you know the terms of your current and prospective employment before hopping aboard a new ship. If there will be a fee, ensure you have a firm commitment from your new employer.
Work Environment
However, compensation isn’t the only thing that matters. Consider what it will be like to work with a client like an investment bank, both the environment and the people you work with. One common characteristic of working at the Big Four is that you often work with young, ambitious people in a fast-paced environment. These people are usually very smart and career-driven, and you can forge life-long friendships in the crucible of long working hours.
As you continue your career, this may be less important. You may prize stable hours over the opportunity to travel and work with multiple big-name clients. Many people feel like small fish in a big pond at a Big Four firm. Conversely, you may feel like a big fish in a small pond in industry. Neither is necessarily better than the other—it just depends on what you prefer your work environment to feel like.
Future Opportunities
Consider that you may also leave behind a guaranteed career progression when leaving a Big Four firm. If you work hard at one of these firms, you can reasonably expect to progress from intern to associate to senior associate to manager. With luck, you may even advance to senior manager, managing director, or even a Big 4 partner.
At smaller firms, you may be able to obtain these titles, but they typically don’t come with the prestige (or the paycheck) that they do at a Big Four firm. And in a client-side role, you may not be able to rise as high or, later on, earn as much. Now is the time to consider your long-term career goals. Where do you see yourself in five, ten, or twenty years? Answering these questions may help you decide what to do now.
Quitting Big 4 Jobs: Your Reputation
Many people take an opportunity to sign on full-time with a client they encountered through their work at a Big Four firm. However, remember that you are, to some extent, burning a bridge to change employers. Accounting firms don’t like having their employees poached from them, so your current employer might not be too happy with your plans.
If the new job pans out, this might not be a problem. However, if it falls through, you might find yourself in a position at your old firm where leadership passes you over for good assignments or even promotions. Consider whether your professional reputation might be at stake, and if it is, make sure you have a firm commitment on paper from your new employer before leaving your Big Four firm.
So, Should I stick with a Big 4 or move to Industry?
Because everyone (and their career) is different, there’s no perfect solution for everyone. However, here’s my advice for anyone considering a Big Four to client-side career move.
- First, make sure the client is genuinely committed to hiring you. Typically, this means going through a formal interview process.
- Understand the terms of your current employment and discuss hiring fees with the client early on.
- Then, have open conversations with both your current and prospective employers. Often, this means going to the HR department of your current firm and requesting a release form.
Leaving a Big Four firm is a big career move regardless of what you do next, but you must be especially cautious if you’re heading to work for one of your clients. Embrace the journey and trust yourself to make the best decision for you. Good luck!