Banker Salary

Banking is viewed by most as a very respected occupation. Offering excellent pay and benefits, along with regular office hours typically called “banker’s hours” and more, makes the field a highly desirable one for those seeking a career in finance. While most people who are employed in banking have a college education, it is still possible to gain a position with only a high school diploma and work one’s way to the top.

When people think of bankers, they generally refer to personal or investment bankers. Personal bankers are typically the ones most people deal with in their neighborhood banks. These bankers help people with checking and savings accounts, provide loans for new cars or homes, assist with opening accounts and helping customers purchase certificates of deposit, mutual funds and other financial options. Investment bankers are often who people think of when referring to Wall Street and stock markets. Investment bankers deal in the world of high finance, and are responsible for building partnerships between businesses that need capital and investors who will provide it in exchange for stock with the company.

According to the Bureau of Labor Statistics, personal bankers earn average yearly salaries of more than $91,000, with the range being from $32,000 to $166,000 per year. The salary depends upon a number of factors, including education, experience, the company one is employed with, geographic location and more. Investment bankers, however, tend to do much better financially than personal bankers. According to the Investment Bankers Compensation Survey, investment bankers earn average yearly salaries of $143,000. The salary range for these bankers runs from as low as $75,000 up to almost one million dollars per year, depending upon experience, company and location.

Investment bankers tend to earn more than personal bankers because their actions can result in sometimes millions or even billions of dollars being made as a result of the partnerships they forge between businesses and investors. Due to this, they often receive bonus pay for their efforts. The Investment Bankers Compensation Survey notes that the average bonus pay for investment bankers is more than $205,000 per year, which many clients consider a bargain when compared to how much money is earned by their companies. Bonuses can range from $40,000 per year for beginning bankers up to almost $360,000 for vice-presidents.

While investment bankers may earn more in salaries and bonuses than most personal bankers, both receive other benefits that are very similar. Both are usually provided with full benefits packages by their employers, which includes health insurance, life insurance, paid vacations and sick leave, retirement plans such as 401(K) and stock options, which often prove to be very lucrative. Other benefits sometimes given include use of company vehicles or housing, privileges to certain clubs or organizations and expense accounts to use when entertaining clients during business luncheons or when traveling to meetings and conventions.

Bankers certainly seem to have it all when it comes to their jobs. With great salaries, benefits, bonuses and more, anyone who is interested in business and finance would do well to consider this for a career. After all, the chance to be well-compensated and keep “banker’s hours” is an opportunity that’s just too good to pass up.