Top brokers still earning a fair crust

by BN02 Jul 2009

Despite a reduction in commissions, top performing brokers are still outperforming their counterparts in the banking sector when it comes to remuneration, latest salary figures suggest.

According to the 2009 Hays Salary Survey, the most a mobile lending manager in Sydney is likely to earn is $80,000 a year (with the average being $70,000) while a top senior residential lending manager earns a maximum of $120,000 (on average $110,000).

While underperforming brokers might earn considerably less than the average banking salary, those on top of their game stand to take home three of four times the pay, even factoring in a reduction in commission levels.

Peter White, national president of the FBAA, said while he believed the average annual salary for a broker would be between $50,000 to $60,0000, a high performing broker could be "earning anywhere upwards of $400,000 per annum".

Fujitsu Australia's financial services director, Martin North, said it was difficult to work out an average salary because the range was so large, but said his guess would be around $150,000 per annum, though some would earn much more and others (those that work part time) much less.

North, who hails from the UK, said his estimate for a UK-based broker salary would be £80,000 ($160,000) per year, even in the current depressed environment.

According to the Hays Survey, in the last financial year banking salaries remained static for the most part with many candidates changing roles for little or no increase.

Bank employees working in Adelaide and Melbourne were more likely than others to see salary increases - though these would have been limited - while salaries declined in Perth.

Not surprisingly, given the delays experienced by brokers in getting mortgage applications processed, the Hays survey reported that in the support area "demand is evident for temporary assignments in residential lending, in particular within mortgage processing, credit assessment and documentation".

"This is to be expected when permanent hiring restrictions remain, despite low interest rates, falling property prices and the first homebuyers grant," it said.

Personnel were also sought out to fill roles in risk and compliance as well as entry level positions in collections, customer service and telesales.

Commenting on this year's survey, Jane McNeill, senior regional director of Hays Banking, said: "While salaries in general stabilised, there are still some instances of salary pressure for roles where candidate demand remains high. Such roles generally incorporate revenue generation, cost reduction and risk management elements, which are viewed as crucial in today's business environment


  • by Patrick 2/07/2009 1:13:46 PM

    This comparison is irrelevant. Bank staff have the security of salary with paid holidays and super. Most brokers are self employed and carry all the business risks associated with that status. They typically work long hours, out of business hours and weekends to generate a living. Wake up Larry!

  • by Robert Krol 2/07/2009 1:28:22 PM

    Another typically ill-informed set of comments by members of the "waste of time brigade" - analysts, and survey conductors.

  • by Martin Beanland 2/07/2009 1:32:19 PM

    I think Peter White's $50,000 to $60,000 broker salary estimate is probably pretty accurate, which is terrible for how hard brokers work. Let's not get too excited about the ??5% of brokers who earn over $150,000. I think Martin North's comments as attributed are a quantum level incorrect; surely can't be an average of $150,000, no way. With changed commissions, the broker industry will struggle to be viable in 3 yrs when old loan books have run down to under 40% of how much they pay now. If you as a broker are not making over $100,000 pa now you will not be viable in 3 yrs time; start planning your new job, maybe working as a bank lending officer because they will need more by then when they have crushed the brokers !!.