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Financial Planning Bank Salaries

Discussion in 'Financial Planning' started by riverrat321, 24th Dec, 2010.

  1. riverrat321

    riverrat321 Member

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    Hi again, can anyone tell me about financial planning salaries in a Bank? I'm thinking that when they get rid of commissions it will affect planners that work in banks much less but I would like everyones thoughts? Any idea what the typical earnings for a planner in a bank would be now days?
     
  2. bolivia

    bolivia Member

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    Depends were you go.

    I know basic level Nab can be 65k than bonuses ontop of that.

    Commonwealth is about 80k but bonuses are not as good as NAB (apparently from what Nab Finacial planners have said)

    Depends on the bonus for Nab it can range from nothing to as much as $20,000 a month.
     
  3. bolivia

    bolivia Member

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    Also I would not worry about commissions going. Planners will always make sufficient money for their efforts (banks or not) as there would be no incentive to become one. Regulations are tightening up and you will need a degree by July 2012 if you have not completed a advanced diploma in FP to be allowed to give financial advice. With tighter regulations and supply of financial planners actually falling in the next 10 years in accordance with superannuation being mandatory and increasing in the future it is obvious they will be paid or no one would bother.

    There is a huge demand now and even more in the future for good financial planners. The process and the wording of the commission will just change to being a payment from the clients end. For example Clients may pay the 1% commission of their portfolio to the adviser instead of the fund taking the 2.5 percent and then paying the adviser the 1% kickback that’s already stated in every SOA now anyway.
     
  4. riverrat321

    riverrat321 Member

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    Hi Brent and thank you for your reply. What you say sounds very encouraging. How do you know you will need an advanced diploma by 2012 to give advice, otherwise you would need a degree??? That has me concerned. I have not even started my diploma yet because of work commitments. Does that mean I have missed the boat? I notice in your other thread you are looking for an enry level position. I would appreciate it if you let me know how you go with that, how tough it was to get your foot in and what qualifications you needed. I hate my job, but the pay is good so I'm always thinking of a way out.
     
  5. bolivia

    bolivia Member

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    Yeah I was trying for a while to get in the Industry and I finally got my brake.

    I’m just doing basic stuff like assisting the adviser with paperwork and implementing his super rollovers, creating insurance quotes,sitting in on meetings and just learning etc. I know this because it’s actual legislation that will be implemented. When you get in franchise or a bank, AXA, AMP, NAB, Commonwealth whatever they have business development people that advise you on where you want to go. They informed me of this.

    Right now my status with the firm is associate adviser even though personally I myself am not at the level were I’m giving advice. I still have the status but under the sub category of "No Advice" until I’m tested by the franchise/bank and proven my abilities. To have the status though of adviser and to give advice they are telling me to do my advanced diploma by July 2012. Once that date hits you either have it and you will be locked in by Australian legislation/standards to give advice or you don’t and you will need a related degree. So in saying that if you don’t have the advanced diploma the good old RG146 no longer cuts the mustard by Australian standards to be able to give advice.

    You should feel lucky you got the heads up man. Think about it you’re in a period of time were you can be a financial adviser without needing a degree if you get it now. 10 years from now if you get the status everyone will just assume you have one anyway. Sort of cheating the system a little, Im not surprised really it was always going to happen when you think about it as your dealing with peoples entire lives in regards to their finances. I was shocked when I finished my RG146 and thought "wow" that’s it by law I’m able to give advice? it does not make sense. The degree was always going to happen for the role it was just a matter of when.

    I just purchased the Adv Dip, and starting it asap. There is not to many loopholes were you will get an opportunity like this. Australia standards are the tightest and people were lucky to get away with it for this long.

    My advice is get your finger out hurry up do the rg146 then the advanced diploma by July 2012. Or if not pay the $40,000 hecs bill and waste 3 years at uni which would be better spent in the office learning how the industry practically works. The 3 years it takes to get the degree you could of potentially become an up and coming Financial Planner. Not saying the degrees a waste it’s great to have but from a practical standpoint if you’re in my shoes (which sounds like you are) hurry up and don’t miss the boat.

    A little short term pain, but long term gain as the industry will be tougher to get into also.;)

    It’s up to you man and how bad you want to become a financial planner. This will be the easiest way in. If you can’t manage to start the RG146 now with commitments than I don’t know after 2012 were you will be able to fit in a degree.

    Make time mate.Quit some of your commitments if needed. You will thank yourself in the long run if you really want a career in the industry.

    Good Luck
     
  6. riverrat321

    riverrat321 Member

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    Hi Brent. Thanks heaps for all that mate. You have given me a lot to think about. Great to see it's all working out for you. Do you think the diploma has helped you in terms of educating you on what to do with your own money? I notice the advanced diploma has a tax subject that also sounds useful. I can do a diploma in 1 year at tafe but I missed it this year so I would have to go through someone else and try to finish quickly. Who did you go through to do the diploma? I work 12 hour shifts which is usually really 12 and a half hours and I often get called into work on my days off. The other day I worked 12 hrs and then got called in after work when I also had to work the next day. Only got 2 hrs sleep. My current job has been my study barrier but it does pay the mortgage. I will make my decision in the next couple of days on what to do. Again thanks heaps. While I'm at it, what do you think my starting salary would likely be? I turn 33 this year, I don't know if that makes a difference.
     
  7. riverrat321

    riverrat321 Member

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    After looking around it looks like a starting salary of about $40k is typical. I'm just curious how many fears it would take to be earning double that?