If you are analysing mortgage broker staff costs Australia, you are not alone. Across Sydney, Melbourne, and Brisbane, brokers are facing the same dilemma: hire locally and increase fixed overheads, or scale differently and protect margins.
Staff costs are now the single biggest expense line for most brokerages after aggregator fees. Yet growth depends on operational leverage. The real question is not “Can we afford staff?” It is “How do we scale without eroding profit?”
This guide breaks down real costs, compliance obligations, salary benchmarks, and smarter scaling strategies — built specifically for foreign companies and investors evaluating the Australian mortgage broking market.
When brokers discuss staffing costs, they often focus only on salary. That is a mistake.
Under Australian employment law and regulatory requirements, the total cost of an employee includes multiple components governed by:
For foreign investors, this means the “headline salary” rarely reflects true cost.
Salary varies by city and experience. Below is a realistic 2026 market snapshot.
But this still excludes indirect costs.
Below is a realistic cost model for a mid-level mortgage assistant in Sydney.
| Cost Component | Annual Estimate (AUD) |
|---|---|
| Base Salary | 75,000 |
| Superannuation (11%) | 8,250 |
| Payroll Tax (NSW approx 5.45%) | 4,088 |
| Workers Comp | 1,200 |
| Recruitment Fees | 6,000 |
| IT & Software | 3,500 |
| Office Space Allocation | 8,000 |
| Training & Compliance | 2,500 |
| Total True Cost | 108,538 |
A “$75k hire” often becomes a $105k–$115k cost in practice.
For multi-staff scaling, this compounds quickly.
This is where strategy matters.
A typical broker settles AUD 2–3 million per month. Commission averages around 0.60% upfront and 0.15% trail annually.
If a broker generates:
After aggregator splits and clawbacks, net revenue may land around $130,000–$150,000.
If staffing cost exceeds $100,000 per support hire, margins compress rapidly.
Most brokers hit a plateau at:
Beyond that, fixed cost risk increases.
Foreign companies entering Australia often assume hiring locally is mandatory. It is not.
ASIC requires responsible lending compliance and licence coverage, but back-office processing does not always require onshore presence.
This opens strategic alternatives.
Here is a simplified comparison for decision-makers.
| Factor | Onshore Australia | Offshore Model (Managed) |
|---|---|---|
| Salary Cost | High | 60–70% lower |
| Compliance Risk | Direct | Structured oversight required |
| Time Zone | Same | Minor adjustment |
| Control | Direct employment | Managed service agreement |
| Scalability | Slower | Faster |
| Fixed Overhead | High | Flexible |
Many leading brokerages now use hybrid models.
Several structural factors drive increases:
Post-pandemic flexibility has also shifted employee expectations.
For foreign firms, this means forecasting must include 5–8% annual wage inflation.
Mortgage broking in Australia is regulated under:
Staff must be trained and monitored appropriately.
Foreign investors should consider:
This is where structure matters more than location.
Hiring locally is strategic when:
However, pure processing and document management often do not require Australian physical presence.
A sustainable growth model often follows this structure:
This structure:
For many firms, this increases broker settlement capacity by 30–50%.
Let us compare two scenarios:
The difference significantly affects EBITDA.
Scaling offshore is not simply about cost.
Key risks include:
Mitigation strategies include:
Done properly, hybrid staffing becomes a competitive advantage.
Consider this simplified projection:
| Metric | Traditional Model | Hybrid Model |
|---|---|---|
| Annual Revenue | 450,000 | 450,000 |
| Staffing Cost | 220,000 | 90,000 |
| Other Overheads | 100,000 | 100,000 |
| Estimated EBITDA | 130,000 | 260,000 |
Doubling EBITDA without increasing revenue is powerful.
A mortgage assistant typically costs AUD 70,000–90,000 in salary. Total employment cost often exceeds AUD 100,000 annually after super, payroll tax, and overheads.
Yes. Back-office processing can be outsourced if compliance, data security, and supervision requirements under ASIC guidelines are met.
Staffing is usually the largest operational expense after aggregator commissions. It often represents 40–60% of overhead.
No. Client-facing and compliance roles may require local presence. Processing and admin functions can often be structured offshore.
By adopting flexible staffing models, using managed services, and aligning staffing levels with settlement volumes.
Understanding mortgage broker staff costs Australia is not just an accounting exercise. It is a strategic decision that shapes profit, risk, and long-term scalability.
Local hiring offers control.
Hybrid models offer leverage.
The right choice depends on your growth ambition, capital position, and compliance strategy.
For foreign companies evaluating entry or expansion into the Australian broking market, staffing structure can determine whether EBITDA remains thin — or becomes transformational.