New report finds growing interest in family offices, triggering competition for talent
Salaries of family office employees are getting higher amid intensifying competition as the industry becomes more sophisticated, according to a new report.
The report, released by KPMG and The Table Club, revealed that 57% of Australian family office staff observed a rise in salaries.
This includes 45% who reported an increase of less than five per cent, and 25% who received an increase between six to 10%.
According to the report, 33% of accountants in family offices said they are earning between $85,001 and $99,000 in the FY24/25, while another 33% said they are earning from $198,001 to $264,000.
All bookkeepers for Australian family offices said they earn between $99,001 and $132,000.
For CEOs, the majority of them (29%) said they earn between $500,001 [and] $625,000, while another seven per cent said they are earning from $875,001 to $1 million.
"In this study, 'inflation' was the primary driver of the uplift in salaries of respondents," the report read. "In Australia, inflation was also the most significant contributory factor at 39%, followed more closely by personal performance at 36%."
Growing family offices in Australia
The findings come as family offices in Australia continue to increase, with more than 50% of family offices established in the last decade.
These offices are small, with 47% of the respondents saying they have up to five employees. However, there has been emerging growth in headcount in the past two years.
"As we noted in our 2023 study, as interest increases, so the competition for talent increases," the report read.
According to the report, 15% of family offices now have more than 20 employees, up from 12% in 2023. Another 15% said they have 15 to 19 staff, up from seven per cent two years ago.
A third of family office respondents also said they have hired new staff in the past 12 months or were planning to do so.
"The competition for talent is intensifying, and family offices must offer compelling reward packages to attract the unique skill sets they require," said James Burkitt, CEO of The Table Club, in a statement.
Robyn Langsford, KPMG's Global Head of Family Business, added that the ability to benchmark compensation against peers locally and globally will be crucial as family offices grow more "sophisticated."
"Successful Family Offices tend to find and attract talented people who exhibit incredible self-awareness, discretion, humility, and loyalty," Langsford said in the report.
"While those skills are rare, how they are valued in the market can now at least be more readily ascertained."
