What an investment banking salary looks like in Australia: gross pay, super and tax
Understand how an investment banking salary compares to the national line, award floors, super guarantee and tax. A practical guide from Salary Index.
Investment banking salaries sit well above the national index of 100, but precise figures are not set by modern awards; the Banking, Finance and Insurance Award provides a floor of $75,234 (index 69.4) for Level 6, while market rates for analysts and associates are significantly higher.
What is an investment banking salary?
When people ask about an investment banking salary in Australia, they are usually referring to the total gross pay – base salary plus bonus – earned by professionals working in corporate finance, mergers and acquisitions, capital markets, or trading. Unlike many jobs covered by a single modern award, investment banking salaries are largely market-driven. The Banking, Finance and Insurance Award 2020 provides a minimum floor, but actual pay for analysts, associates and vice presidents is far above those rates.
To put an investment banking salary in context, we use the Salary Index. The index sets the national line at 100, which equals full-time adult ordinary-time earnings of $108,352 per year (based on ABS Average Weekly Earnings, May 2026). A salary of $150,000 would have an index of about 138; $200,000 would be 185; $500,000 would be 461. These figures are gross, before tax and super.
The award floor for investment banking roles
The Banking, Finance and Insurance Award covers employers in the banking, finance and insurance industry, including investment banking activities such as broking, trading, financial consulting and transaction processing. The award sets minimum rates for six classification levels. As of 1 July 2026, the highest classification (Level 6) has a minimum annual rate of $75,234 – an index of 69.4. Level 1 starts at $53,284 (index 49.2).
These rates are legal minimums. An investment bank cannot pay less than the award rate for the classification that matches the employee's duties. However, in practice, investment banking salaries start well above Level 6, often at $100,000 or more for a first-year analyst. The award is a safety net, not a benchmark.
How investment banking salaries compare to other industries
Using the Salary Index, we can compare typical investment banking pay to broader industry averages. The Professional, Scientific and Technical Services industry index is 114.7 ($124,282 annualised). Mining is 154.7 ($167,600). Retail trade is 75.9 ($82,240). Investment banking sits somewhere between Professional Services and Mining, but with significant variation by seniority and bank.
For a more detailed breakdown of how different industries stack up, see our industries page.
Gross pay, super and tax: the real picture
An investment banking salary is typically quoted as gross base plus bonus. Superannuation is paid on top at 12% (from 1 July 2026) up to the maximum contribution base of $270,830. So a base salary of $150,000 attracts $18,000 in super, making total employer cost $168,000.
Tax on investment banking income follows the resident rates for 2026–27:
- Nil up to $18,200
- 15% from $18,201 to $45,000
- 30% from $45,001 to $135,000
- 37% from $135,001 to $190,000
- 45% above $190,000
Plus the Medicare levy of 2%. For a gross salary of $200,000, the estimated tax is about $60,867, leaving $139,133 in hand. For $300,000, tax is about $110,367, leaving $189,633. These figures ignore HELP repayments, salary sacrifice or the Medicare levy surcharge.
Where to find more guidance
If you are negotiating an investment banking salary or trying to understand your pay, start with the pay guides from the Fair Work Ombudsman to check your award coverage. For state-by-state comparisons, visit our states page. To understand how the index is calculated, see how the index works.
The bottom line
An investment banking salary in Australia is not defined by a single number. The award provides a floor of around $75,000, but market rates for analysts start at $100,000–$150,000 and can rise to $500,000 or more for senior roles. The Salary Index helps you see where any figure sits relative to the national average of $108,352. Remember that super adds 12% on top, and tax takes a significant slice, especially above $190,000.
For more on related topics, explore our topics page.
Questions people ask
Does the Banking, Finance and Insurance Award set the salary for investment bankers?
The award sets minimum rates for employees in the banking, finance and insurance industry, including those in investment banking roles. However, investment bankers are typically paid well above the award's highest classification (Level 6: $75,234 per year). The award acts as a legal floor, not a ceiling. Actual salaries are determined by market conditions, experience and performance.
How does superannuation affect an investment banking salary?
Superannuation guarantee is 12% of ordinary time earnings (from 1 July 2026), paid on top of gross salary up to the maximum contribution base of $270,830. For an investment banker earning $200,000, the employer would contribute $24,000 in super. This is in addition to the gross salary and is taxed at 15% within the fund, making it a significant part of total remuneration.
What is the take-home pay for a typical investment banking salary after tax?
Take-home pay depends on the exact gross salary and deductions. For a gross salary of $150,000 in 2026–27, estimated tax (including 2% Medicare) is about $36,867, leaving $113,133. For $250,000, tax is about $80,367, leaving $169,633. These estimates ignore HELP repayments, salary sacrifice or the Medicare levy surcharge. The tax-free threshold and progressive rates mean higher earners face a marginal rate of 45% above $190,000.