[delasandro]

(Original post by Regent)
Not sure where you got those stats from but somewhere like 60-75% of ACA trainees leave PwC after 5 years. They have to be going somewhere and my guess if that most are moving into industry or high finance roles. That's probably why in my partner interview I was asked 'what's you'r 5 year plan?', rather than a question about my longer term ambitions.

Was that with PwC? Do they want you to say that you will want to stay at PwC/ does it almost certainly make them not want you if you say you want to leave and go into industry?

[M1011]

(Original post by delasandro)
Was that with PwC? Do they want you to say that you will want to stay at PwC/ does it almost certainly make them not want you if you say you want to leave and go into industry?

There is a fancy name for the model which the big accountancy firms operate, but I can't remember it. Therefore I shall describe!

When you join as a graduate, you are cheap. That's why the firms take on so many graduates, because you are able to do the work but are willing to do it at low cost because you aren't yet qualified. Win for the graduate (training), win for the firm (low cost).

As you progress you get paid more money. The firm can't have everybody staying permanently, because the model would become top heavy. You would end up with far to many highly paid qualified accountants and therefore have no room for lowly paid trainees.

The firm combat this in a very simple manner, they pay less then you are worth. You can either stay at the firm, of move to industry for a 10-30% pay rise. They expect a lot of people to move out of the firm for the money and hence make way for the next lot of graduate recruits. It's a simple system and it works for all involved.

That said, you don't have to move. Now I wouldn't go in to the interview harking on about how you intend to leave (you need to show commitment to the firm), but similarly they aren't going to be asking your long term career goals because they know themselves that the firm is designed such that lots of qualified accountants choose to leave.

[Regent]

(Original post by M1011)
That said, you don't have to move. Now I wouldn't go in to the interview harking on about how you intend to leave (you need to show commitment to the firm), but similarly they aren't going to be asking your long term career goals because they know themselves that the firm is designed such that lots of qualified accountants choose to leave.

This. It's an implicit understanding of the nature of their business model.

[Ice_Queen]

Quick point for you - I started in industry The company I work for are paying for my professional qualifications as well. You don't need to work for an accounting company/Big 4 to start off (though the Big 4 can look pretty good on your CV ).

[Regent]

(Original post by Ice_Queen)
Quick point for you - I started in industry The company I work for are paying for my professional qualifications as well. You don't need to work for an accounting company/Big 4 to start off (though the Big 4 can look pretty good on your CV ).

Agreed. Although some people argue its better to get practice experience first. Swings and roundabouts really.

Found this report quite interesting.

http://www.ey.com/Publication/vwLUAssets/Financial_forte_report/$FILE/FinancialFortereport.pdf

[Big_Dave]

(Original post by victoryshinesonus)
Ah okay, so non-big4 NQs also leave for industry? I think someone posted a stat which said only 10-20% go into industry? That sort of frightens me, I wouldn't mind doing financials etc. but I don't think I'd want to do it in practise, it seems like it gets repetitive, whereas joining a company gives you more scope to branch out into other financial things.

In my expierience it is the opposite........ I got a lot more variation in practice than I do now in industry.

[M1011]

(Original post by Big_Dave)
In my expierience it is the opposite........ I got a lot more variation in practice than I do now in industry.

Hi Dave, mind if I ask which area you are in? Audit?

[Big_Dave]

(Original post by M1011)
Hi Dave, mind if I ask which area you are in? Audit?

I was in audit and I now work in financial services.

[victoryshinesonus]

(Original post by Big_Dave)
In my expierience it is the opposite........ I got a lot more variation in practice than I do now in industry.

Oh really, I've read that industry gives you broader opportunities if you want to try other things financial, just not auditing different companies everyday. Interesting

[Regent]

(Original post by Big_Dave)
I was in audit and I now work in financial services.

What area of financial services? Would be interested to know how you made the move.

[Lamps08]

(Original post by Regent)
£45k post qualification sounds about right. Bear in mind you can make significantly more if you move into industry; normally upwards of £50-55k and significantly more in some areas.

What does this mean, sorry for my ignorance in advance

[M1011]

(Original post by Lamps08)
What does this mean, sorry for my ignorance in advance

It's kind of explained by the second half of the sentence

If you move out of practice (Big 4 etc) into industry (any given company), then you can expect your pay to rise by the aforementioned amount. However, you risk missing out on the further development prospects that practice can offer. Essentially down to the individual when they decide to cash out and move out of practice (unless you go for partner, then you make a shed load).

[Lamps08]

(Original post by M1011)
It's kind of explained by the second half of the sentence

If you move out of practice (Big 4 etc) into industry (any given company), then you can expect your pay to rise by the aforementioned amount. However, you risk missing out on the further development prospects that practice can offer. Essentially down to the individual when they decide to cash out and move out of practice (unless you go for partner, then you make a shed load).

Sorry for being dumb. I understood his reasoning, I just didn't understand the difference between Practice and Industry which you have cleared up for me. I'm a noob you see and was totally confused when my interviewer today used the term practice and industry. Embarrassing indeed


And I also see what I highlighted was not what I meant to ask, my bad

[M1011]

(Original post by Lamps08)
Sorry for being dumb. I understood his reasoning, I just didn't understand the difference between Practice and Industry which you have cleared up for me. I'm a noob you see and was totally confused when my interviewer today used the term practice and industry. Embarrassing indeed


And I also what I highlighted was not what I meant to ask, my bad

No worries, I had no idea either a few months ago

Where was your interview for?