A senior financial adviser in Australia with more than 10 years' experience and five years in their current role could expect annual remuneration in the realm of A$120-160,000, according to the latest Financial Adviser Salary Guide from Kaizen Recruitment.
This is partly influenced by the shift away from revenue-only linked bonuses, Kaizen said, with benchmark salaries now more likely to be based on a balanced scorecard method.
"The change in bonus structure is attributed to the RC as firms are ensuring the clients are serviced in a compliant manner mitigating risk to the firm to ensure they don't come under ASIC's radar," Kaizen said.
The change in bonus structure is attributed to the RC as firms are ensuring the clients are serviced in a compliant manner mitigating risk to the firm to ensure they don't come under ASIC's radar"
The benchmark salary for a financial adviser with five to 10 years' experience and spending between one and five years in the role sits at A$90-A$120,000. An associate adviser with less than five years' experience who has been their current role between one and three years could expect a salary in the realm of A$75-A$95,000.
For paraplanners, a senior paraplanner with up to five years' experience and more than three years in their current role can earn A$90-A$110,000. Meanwhile, a paraplanner with less than five years' experience and less than two years in their current role is between A$65,000 and A$90,000.
Finally, a client services officer with less than three years' total experience can earn between A$50,000 and A$75,000 per annum.
The figures represent the benchmark salary for wealth management professional in Melbourne and Sydney, inclusive of superannuation. They do not take into account potential bonuses.
The debate about the increasing size of executive remuneration has raged in the wake of the Hayne royal Commission. At the most recent annual meeting season shareholders showed their anger about the multimillion dollar pay packets handed to big bank chief executives by registering big protest votes.
UniSuper CIO John Pearce, AustralianSuper CIO Mark Delaney and Commonwealth Superannuation Corporation CIO Alison Tarditi are the most highly paid members in the $2.8 trillion super sector according to the survey, which uses publically available annual reports as its source material.
Pearce is again the most highly paid executive, taking home almost A$1.6m for the year to June 30, a slight increase on the previous year's $1.4m. In 2018, his package included a base salary of A$589,744 with short-term incentives of nearly A$882,924, and super of a little over A$100,000. Delaney received a base salary of A$711,350 with an STI of A$736,350, while Tarditi had a base salary of A$627,001 and STI of A$614,295.
Julie Watkins, UniSuper's executive manager for people, told Investment Magazine that Pearce's pay reflects the "significant and direct influence on fund performance and results" he has.
According to PayScale, the median salary for a Certified Financial Planner in Sydney is A$98,000. Job search site Indeed estimates the average salary for a financial adviser Australia-wide is A$85,453.