A study released today by the Equipment Leasing and Finance Association (ELFA) finds that compensation in the equipment finance industry grew moderately in 2018. The 2019 Equipment Leasing and Finance Compensation Survey measures compensation rates for the 2018 fiscal year as reported by more than 75 companies representing a cross section of the equipment finance sector, including independents, banks and captives.
The 2019 Equipment Leasing and Finance Compensation Survey details trends in pay for more than 90 executive, front-office and support positions, including a breakdown of salary (for 2018 and 2019), incentives (including cash bonuses and commissions), long-term awards and total compensation by company type. The survey is a collaborative initiative between ELFA and McLagan, a performance/reward consulting and benchmarking firm for the financial services industry.
Highlights from the study include:
- Total Compensation: Total compensation was up on a year-over-year basis for most functions and levels. On a “same store” basis (constant incumbents in multiple survey years), total compensation was up modestly (~2–6%) at median for key revenue-generating functions from 2017 to 2018. Infrastructure functions received similar increases at median (~2-4%).
- Salary: Salaries were up slightly on a year-over-year basis. On a “same store” basis, origination roles tended to have increases around 2% at the median. Firms differentiated salaries on a functional basis as >25% of incumbents did not receive increases. Salaries tended to rise between 2–3% for infrastructure roles.
- Differences by Level: Total compensation increases tended to have a similar rate of growth across all levels of infrastructure and revenue-generating functions, while leadership levels saw slightly higher growth.
The survey results are available for purchase at www.elfaonline.org/data/market-trends.
