Graduate Program Salary: Rate Factors & Best Paying Jobs
Team Prosple
From the moment you step into university until you walk across the stage at graduation, one question never seems to leave your mind: what will my salary be? Understanding what influences your graduate program salary and which jobs pay the best is important as it can help you plan your career path.
To simplify things, we will discuss graduate program salaries and what factors determine how much you can earn. We will also check out the benefits that come with the salary and share strategies on how to maximise it.
What is the average graduate program salary in Australia?
The average salary for a graduate program in Australia is $74,944 annually as of 2024. This translates to roughly $38.43/hour.
However, this can vary depending on the industry, location, and the specific company offering the program. Some sectors, like finance and engineering, offer higher salaries while others like retail and human resources offer lower starting salaries. Larger cities like Sydney and Melbourne offer higher salaries compared to regional areas.
10 Sectors offering the highest graduate program salaries in Australia
Here are 10 sectors that have the highest-paying graduate program salaries in Australia:
- Mining, Oil, & Gas - $82,135
- Banking & Financial Services - $80,874
- Energy & Utilities - $74,551
- Education & Training - $72,789
- Technology - $71,534
- R&D Manufacturing - $70,655
- Law - $70,486
- Engineering Consulting - $69,609
- Government & Public Service - $69,314
- Management Consulting - $68,892
What are the factors that influence graduate program salary in Australia?
Let's break down the factors that play a big role in determining your graduate program salary in Australia.
1. Field of study
Different fields have different demands. Some are highly sought after in the job market while others can leave you searching longer. High-demand fields, like engineering and computer science, come with bigger paychecks. Employers are ready to pay more for skills in demand, so choose your field wisely.
If you are in a field where skills are a dime a dozen, be ready for tougher negotiations. A crowded job market means employers have their pick and won’t be making big offers easily.
2. Level of qualification
Your pay in Australia's graduate programs is tightly linked to your qualification level. It is straightforward – the more educated you are, the more you can demand. If you have a bachelor's degree, don't expect a very high salary. Bachelor's degrees are the entry ticket but they don’t automatically qualify you for top-tier compensation.
As you climb the education ladder and get a master’s degree, your earning potential increases. Candidates with a master’s degree earn 35% more than bachelor’s degree graduates.
This shows employers are willing to pay more to those who put in the extra effort. The more qualifications you have, the more you stand out; employers recognise and reward that.
3. Reputation of the university
Top universities attract attention and having their name on your resume gives you a competitive edge. Many organisations believe that graduates from prestigious universities bring a higher level of skill and knowledge to the table.
Graduates of UNSW are the highest paid in Australia with an average annual salary of $87,500. Charles Darwin and The Australian National University are close second and third with average salaries of $87,200 and $86,400 annually.
Simply put, a strong university reputation can get you a higher salary. It is a stamp of approval that makes employers more willing to invest in you. So when looking for a graduate job, remember that the university's name carries the weight in the job market.
4. Location
Where you work matters. Living costs and pay scales vary by city. In cities where the cost of living is high, salaries are higher to match. For example, Melbourne, one of the most expensive cities in Australia, has the highest graduate salary at $80,352 per year.
But remember, a big paycheck in a pricey city will not leave you with as much as you think after covering living expenses.
On the other hand, in smaller towns with lower living costs, your salary will stretch further. So when weighing your options, consider the overall picture – what you earn versus what you spend in that location.
5. Industry
The industry you pick after graduation has a big impact on your pay. Some industries naturally offer more salaries. Take the finance sector, for instance. Banking, insurance, and investment firms have bigger packages for fresh graduates. IT and engineering fields are also known for their competitive starting salaries.
Healthcare is on the rise too, especially with a growing aging population. But keep in mind that not all industries operate in the same salary range. What you have matters but so does the industry you are setting foot in.
Research the labour statistics on average salaries in the industry to get a realistic expectation. The growth rate of the industry matters too. Industries with high growth rates offer better salary prospects.
6. Internship or work experience
Practical experience shows you are workplace-savvy and it pays off. If you interned or accumulated relevant work experience during your study breaks, expect a better salary than other graduates. Employers prefer graduates with some practical experience and are ready to pay a premium for it.
Whether at a tech startup, a marketing agency, or a corporate office, the on-the-job experience increases your market value. So before you graduate, consider getting internships or work experience. It is an investment that can pay off with a better paycheck when you secure your first full-time job.
7. Employer
Your employer plays a major role in determining your paycheck. According to Prosple Australia's surveys, Ergon Energy Network (Energex) is the highest-paying graduate employer in Australia. It is followed by Optiver Asia Pacific and Chevron Australia.
Different companies, big or small, offer different compensation packages. Larger corporations have more resources so they provide higher starting salaries and better benefits. They also have structured career progression plans.
Smaller companies might not match the financial perks of their larger counterparts but could provide a more personalised work environment. It is a trade-off between the size of the employer and the potential financial rewards. Before signing, scrutinise what the employer offers, in terms of both salary and growth opportunities.
8. Economic conditions
The broader economic landscape can sway your salary prospects. Economic conditions, like inflation rates and overall financial health, affect how much companies are willing to pay to fresh graduates. In times of economic growth, companies are more generous with salaries. They have the confidence and financial stability to invest in their workforce.
During economic downturns, companies tighten their budgets which affects salary increments and job availability. It is a case of being aware of the economic climate as you step into the job market, as it could impact your earning potential as a fresh graduate.
What other financial benefits do graduate programs in Australia offer?
Beyond the salary, there are extra financial benefits that can make a big difference. Let's discuss them in detail so you don't miss out on valuable opportunities for your financial growth.
I. Superannuation contributions
In Australia, your employer is obligated to contribute a percentage of your salary into a super fund. This is called a Super Guarantee (SG). As of now, it is 11%. In simpler terms, if you earn $60,000 a year, your employer pays an extra $6,600 into your super account. This is on top of your salary, not deducted from it.
This money grows over time, and when you retire, you have decent savings. You can’t touch it now but it is beneficial in the long run. Plus, there are tax benefits; the government encourages you to save cash for your later years.
II. Bonuses
Hit your targets, exceed expectations, and you could find a bonus in your paycheck. Performance bonuses can range from a couple of hundred dollars to a reasonable percentage of your salary.
Some employers offer annual bonuses that give a predictable boost to your income. These bonuses can be linked to the company's overall performance or your contributions. Then there are retention bonuses. Some companies offer them to reward your commitment to the organisation and to encourage you to stay.
III. Health insurance
With a graduate job, you get access to health insurance. This means that a portion or all of your medical expenses are covered. Doctor visits, hospital stays, and prescribed medications become more affordable.
On average, companies contribute around 50% of the cost of your health insurance premium. So if your monthly premium is $100, your employer covers $50 which makes it more affordable. There might be different plans so you will want to check what is covered.
IV. Professional development allowances
Many graduate jobs come with professional development allowances. They will cover the costs of courses, workshops, or certifications related to your field. Some companies set aside around 2-3% of your annual salary for this purpose.
V. Relocation allowances
Starting a new graduate job can sometimes mean moving to a new place, and many employers share the financial weight that carries. This could cover expenses like moving your belongings, temporary accommodation, and travel costs.
On average, relocation allowances can range from $2,000 to $10,000, depending on the employer and the distance of your move.
VI. Employee discounts
Once you secure a graduate job, you often get exclusive discounts on various goods and services. From groceries to tech gadgets, and even gym memberships – the savings can be big. Typically, employee discounts in Australia range from 10% to 50%.
Especially when you are just starting, employee discounts offer a tangible financial advantage. It is a direct benefit that impacts your day-to-day life and makes your salary go a little further.
VII. Paid time off
Every year, you get 4 weeks off with pay. You also get paid time off on public holidays. There are usually around 10 public holidays in Australia, depending on your state or territory. If you are unwell or need to care for a family member, many employers offer personal or carer's leave. You generally get 10 paid sick days per year.
VIII. Flexible working arrangements
Some graduate jobs in Australia offer the flexibility to work from home. Avoiding the daily commute can save you on transportation costs. Whether you are using public transport or driving, these savings add up over time. Plus, if you are working from home, you might save on lunch and coffee expenses.
IX. Stock options or equity
In some graduate jobs, especially in industries like tech or finance, you will be offered stock options as part of your compensation package. This means you can buy company shares at a predetermined price.
As the company grows, so does the value of its shares. If you decide to exercise your stock options and then sell the shares at a higher market price, you make a profit. It is a direct financial benefit tied to the success of the company.
7 Proven strategies for maximising graduate program salary
When it comes to getting the most out of your graduate program salary, having a proper plan is key. Let's break it down into 7 strategies that can help you increase your earnings.
A. Target high-paying industries & companies
Before you even think about sending out applications, do your homework. Find out which industries and companies are offering high salaries to fresh graduates. Look into salary surveys, company reports, and market trends.
Focus on industries that historically pay top salaries – finance, technology, and consulting. Bigger companies have bigger budgets. They can afford to pay higher salaries. Target those corporate giants where your entry-level position comes with a bigger paycheck.
B. Relocate to a high-paying market
If you are serious about maximising your paycheck, be willing to relocate. Some cities pay better than others. Sydney and Melbourne, for example, have higher average salaries than other places.
Salary scales can differ between urban and regional areas. Big cities offer more lucrative opportunities but come with a higher cost of living. Weigh the pros and cons. Identify cities that are hubs for your target industry. For instance, if you are in technology, places like Sydney or Melbourne have more opportunities and higher pay.
C. Develop in-demand skills
Figure out what skills are in demand in your industry. Look at job postings and industry reports, and talk to professionals. Know exactly what will make you stand out in the job market. Invest your time and effort in acquiring these in-demand skills. Enroll in courses, attend workshops, and get certified. The more skills you have, the more valuable you become.
Most importantly, don't be shy about showcasing your skills. Highlight them on your resume and in interviews. Your ability to meet the industry demands will make you a more attractive candidate.
D. Negotiate your salary effectively
Before the salary discussion, understand the average pay for your role in your industry. Use reputable sources to ensure your expectations align with industry norms. Practice your negotiation skills. Rehearse with a friend or in front of a mirror. The more confident you are, the better you can present your case during salary discussions.
Timing is key here. Let the employer bring up the salary topic first. This gives you a better understanding of their range. When you do discuss it, be clear and concise about your expectations.
E. Highlight your value proposition
Make sure to showcase your value. Start by emphasising your relevant skills and qualifications. Create a compelling resume highlighting your impact in previous roles or during your academic journey.
Clearly outline how your unique abilities can benefit the company. Focus on concrete achievements and quantify results where possible. During interviews, articulate your value proposition confidently.
Negotiate your starting salary based on the value you bring. Don't shy away from discussing your accomplishments and the impact you can make within the organisation.
F. Consider additional forms of compensation
Beyond the base salary, explore additional compensation to maximise your overall package. Look into benefits like health insurance, retirement plans, and professional development opportunities. These can improve your overall financial well-being a great deal.
Evaluate non-monetary perks like flexible work hours, remote work options, or wellness programs. Sometimes, these can be negotiated more easily than a salary increase and add to job satisfaction. Understand the company's bonus structure and discuss the possibility of performance-based rewards during salary negotiations.
G. Be prepared to walk away
Negotiating your graduate program salary doesn't end with accepting the first offer. Determine the minimum salary you are willing to accept. This sets a clear boundary during negotiations. Clearly express your expectations without hesitation. Confidence in your worth can influence the employer's perception.
If the offer doesn't match your expectations and the market standard, be prepared to decline. Politely express your concerns and provide a counteroffer. If you have multiple job offers, use them to your advantage. It shows that you are in demand.
Prosple: Ideal platform for enhancing your graduate program journey
Prosple is a valuable resource for launching your career after graduation or even while you are still studying. It offers a wide range of internships and graduate jobs across various industries. This helps you explore different career paths and land your first graduate job.
Let’s look at Prosple’s key features:
- You can narrow down opportunities based on your field of study, location, desired industry, and job type.
- Apply directly through Prosple. This saves you time and effort compared to individual company applications.
- The platform is designed to be easy to navigate and use, even for students unfamiliar with job search platforms.
- Prosple gives you access to articles, tips, and advice on resume writing, interview skills, and navigating the job market.
- With detailed company profiles, you can learn more about potential employers to see if their values and work culture align with your interests.
- The Working Rights feature considers your work authorisation during job searches and tailors recommendations to only show opportunities you are legally eligible for.
- Prosple uses AI to match your profile with suitable job and internship opportunities. This reduces human bias and ensures you have a fair chance of finding suitable opportunities.
- With the Day in the Life series, you get a glimpse into the professional lives of people in your desired field. It features recent graduates or young professionals discussing their daily routines, responsibilities, and challenges in their roles.
Conclusion
Your graduate program salary reflects your hard work and dedication. But remember, your skills and expertise are not just about the money. Find a balance between financial rewards and personal fulfilment. The ultimate measure of success is in the overall sense of accomplishment, contribution to society, and a life well-lived.
Prosple is your career launchpad when leaping from student life to the professional world. You can search for thousands of graduate jobs and internship opportunities across various fields like tech, finance, and healthcare. It offers insights into company profiles and career advice to help you make informed decisions about your future career.
Join Prosple today and take the first step towards a fulfilling career journey.