If you’re a payroll professional, it’s time to buckle up because the industry is set to face some major shake-ups in 2025.
While the Australian Payroll and Bookkeeping Services industry reached a size of $1.2bn in 2024, insiders believe there’s room for growth.
How, you might ask?
Well, considering that payroll professionals are spending an average of 11.9 hours per week on manual tasks, one would suggest that there is considerable scope for automation and process improvement.
According to ADP, a provider of payroll services and HR solutions, businesses are serious about driving transformation in the payroll space. 32% are looking to adopt artificial intelligence to enhance their payroll processes over the next two to three years. 26% want to digitalise the payroll process using digital tools and systems to automate tasks and improve efficiency.
But, with greater expectations comes the need for more specialised skills and talent to meet strategic goals. Perhaps you are just the kind of professional who could level up an organisation’s payroll space - someone with pride in your accuracy and contribution, someone with an appetite for continuous learning and someone who can manage the many complexities of the role.
While 38% of employers say they will hire payroll talent in 2025, 70% of finance workers say it has become more challenging to negotiate a pay rise compared to last year*.
Whether you’re preparing for salary reviews, promotion opportunities or considering a new job, knowing how to negotiate a payroll salary is pivotal. After all, there’s nothing wrong with a desire for recognition and fair compensation.
Consider this blog your guide to navigating the salary negotiation process in Australia. We’ll provide practical strategies and industry insights that will simplify your payroll salary negotiations so you can minimise stress and maximise salary success.
Payroll overview
According to the latest Robert Half Salary Guide, payroll professionals are some of the most in-demand when it comes to finance talent. It comes as little surprise given that the Payroll and Bookkeeping Services industry in Australia has grown at a CAGR of 4.8 % between 2019 and 2024.
Belonging to a thriving industry, payroll professionals with skills in financial analysis, business partnering, business intelligence tools and month-end management are among the most compelling to employers.
In Australia, these experts play a vital role in managing employee compensation. You will work to ensure that wages are paid promptly while maintaining compliance with national employment laws and tax regulations.
Related: What does a payroll clerk do? 3 facts you never knew
It must be noted that many factors can influence your payroll salary, including the three below:
Education and certification
Unlike many other finance and accounting roles in Australia, there aren't strict credential requirements for working in payroll. That said, it’s typically expected that payroll professionals pursue some vocational qualifications to build their foundational skills.
According to Jobs and Skills Australia, only 18.3% of Payroll Clerks hold a Bachelor’s Degree, while 8% hold a Post Graduate/Graduate Diploma or Graduate Certificate.
While no degree is necessary to enter a career in payroll, a degree in finance or economics could be beneficial.
15.6% of Payroll Clerks hold an Advanced Diploma, with another 16.5% holding a Certificate III/IV.
Qualifications that employers typically expect include:
A Certificate III in Accounts Administration
A Certificate IV in Accounting and Bookkeeping
A Diploma of Payroll Services
While all of these courses provide the basics of payroll administration, the Diploma of Payroll Services is Australia’s nationally recognised, standardised qualification in payroll.
Designed to encompass all of the theory and technical skills required to work in payroll, you’ll learn to work with different types of software and digital tools to help you hone the skills to be a payroll leader and manager.
These certifications, along with practical training and short courses, are valuable ways to build your expertise with specific payroll tools, platforms and emerging technologies.
According to the Australian Payroll Association, five payroll platforms account for 44.3% of the market. Expertise in these systems would certainly be advantageous for any payroll professionals:
CHRIS21
ADP Payforce
Access MicrOpay
EmploymentHero Payroll
ADP Payline
Skills
Formal training, practical experience and a commitment to continuous learning can help you expand your payroll skill set.
As a payroll professional in Australia, you’ll need a combination of technical, interpersonal and problem-solving skills to stay agile and adaptable in the industry.
Some essential technical skills include:
Payroll software and systems proficiency – From MYOB to Xero, SAP to Chris21, expertise in payroll platforms will help you optimise payroll practices.
A solid understanding of payroll principles – Knowledge is power, especially when it comes to payroll. Familiarity with Australian payroll legislation, basic accounting, data management, mathematics and reporting will help you hit the ground running.
General business knowledge – Want to optimise your relationships outside of payroll? Take the time to understand the needs of your stakeholders – it’s sure to give you a deeper insight into their concerns and their motivations.
Some essential soft skills include:
Problem-solving – To proactively analyse complex problems, think critically and implement effective solutions.
Communication and collaboration – To liaise with multidisciplinary teams and drive value across the business.
Adaptability – To effectively manage and adjust to change (i.e., changing legislation, tech development and new workplace dynamics).
Stakeholder management – To build prosperous partnerships, address concerns, influence decision making and align organisational goals.
Discretion and professionalism – To protect highly sensitive and confidential information.
Experience
The extent of experience required for Australian payroll professionals can vary depending on the role’s seniority, the industry and specific employer requirements.
Irrespective of your qualifications, organisations expect their payroll professionals to have a proven track record of practical experience, technical proficiency, problem-solving capabilities and business acumen.
Let’s take a look at the expected experience for different levels of seniority.
Entry-level positions
Practical experience – Recently accredited professionals who may have undertaken work experience or who have spent time working in payroll or related fields.
Basic work experience – 0-2 years of relevant experience in a junior or support role to learn and build key skills.
Mid-level positions
Professional experience – 3-7 years of hands-on experience in payroll.
Specialised skills - Specialist knowledge and expertise regarding payroll legislation, awards, agreements and end-to-end payroll processes.
Demonstrated capabilities – A proven track record of navigating complex systems and managing payroll for many employees.
Technical proficiency – Demonstrated ability to work with payroll software while displaying strong analytical and reporting capabilities.
Senior-level positions
Leadership experience – 7+ years of payroll experience, including management roles.
Advanced knowledge – Expert understanding of payroll systems, laws and regulations, coupled with a strategic understanding of payroll’s role in relation to organisational goals.
Strategic contributions – A history of impactful contributions, often providing leadership, training and mentorship to a wider team of payroll professionals.
As expected, more senior payroll professionals can command higher remuneration due to their expertise, skills and ability to contribute strategically.
What you need to know about a payroll salary
According to Stephen Langhammer, Director at Robert Half and specialised finance and accounting recruiter, there is a strong appetite for payroll professionals moving into 2025. The payroll profession is offering true career opportunities with roles such as Payroll Auditor, Payroll Analyst and Payroll Compliance Officer allowing payroll professionals to move from BAU payroll positions into more strategic roles.
He says, “Payroll professionals are in hot demand, they are some of the most sought-after finance professionals in Australia. With companies’ increasing focus on compliance, risk minimisation & system improvements payroll professionals have an opportunity to capitalise.”
The Robert Half Salary Guide reports that 34% of firms are planning to hire extra finance talent permanently in 2025 and 33% are planning to increase the number of contractors. In light of this, Stephen acknowledges the need for solid negotiation skills.
He says, “I’ve had many discussions with payroll professionals of late – many take great pride in their accuracy and contributions however, they are tired of being overlooked or unfairly compensated.”
“Payroll positions are complex - the workloads can be stressful, especially in critical periods. It’s little surprise that payroll professionals want fair compensation in exchange for their experience and expertise.”
“At Robert Half, our goal is to help payroll professionals feel educated and empowered when they approach these major discussions so they can get the recognition and remuneration they rightly deserve,” Stephen says.
When it comes to a payroll salary in Australia, it’s important to recognise that your earning potential is influenced by your level of experience, education and the industry you work in.
According to The Robert Half Salary Guide, payroll professionals can typically expect salaries around the below ranges**:
Junior position (i.e., Payroll Administration Officer)
Beginner -$63.5k
Mid-level - $70k
Advanced -$78.5k
Mid-level position (i.e., Payroll Analyst / Accountant)
Beginner -$88k
Mid-level - $108k
Advanced -$118k
Senior position (i.e., Payroll Manager)
Beginner -$116k
Mid-level - $130k
Advanced -$170k
Payroll encompasses a range of different positions – you’ll find all of the below within The Robert Half Salary Guide:
Payroll Administration Officer
Payroll Clerk / Officer
Payroll Analyst / Accountant
Payroll Supervisor
Payroll Audit / Compliance Officer
Payroll Manager
Need help finding a job? Let Robert Half help you today.
Stephen says 2025 will bring some distinct payroll salary trends.
He says, “We have just launched the Robert Half 2025 Australia Salary Guide. I’m pleased to report that there has been a noticeable uplift in payroll salaries. It’s a sign of the times, signalling a conscious effort by businesses to incentivise and retain payroll talent. They are trying to fill these positions and avoid long-term consequences like missing out on top candidates, widening skills gaps and increasing staff burnout and turnover.”
Stephen encourages payroll professionals to review the latest data because, in some cases, there will be state-by-state variations.
“Location has a major impact on salaries. Where a payroll salary in Perth sits 9% above the national average, a payroll salary in Melbourne is only 2% above the national average. When you consider factors such as competition, availability of talent and regional talent costs, it makes sense that some regions would need to offer more, ” he says.
“Take the time to identify the general salary range for your role. Of course, factors like education, skills and experience will have an impact, but if you’re seeking a higher range, consider advancing your skills, experience and qualifications, ” says Stephen.
Tips for negotiating a payroll salary
Looking to increase your salary? Don’t let negotiation anxiety and misinformation set you back.
When negotiating your payroll salary, it’s important to remember that effort isn’t wasted. By taking the time to do your research, you can increase your chances of securing fair compensation.
Ready to get what you deserve? Be sure to try our four tips below:
Know your worth
Understanding the prevailing salary trends will help you navigate negotiations so you can be confident in your worth and make a compelling case.
Undertake your own research and consider how the offer fits in the context of the wider market.
The 2025 Robert Half Salary Guide offers comprehensive salary data and insights to help you determine whether an offer is within the market range for your experience and position level. If the offer is below the market averages or you feel you are worth more, it’s important to justify this to your employer or prospective employer.
Stephen encourages candidates to be realistic.
He says, “Although payroll professionals are in high demand, you can’t expect a Payroll Supervisor salary with Payroll Administration Officer credentials. It’s important to negotiate from an informed position. Be realistic - ask yourself whether your certifications and experience warrant a higher salary or whether you need to build on some skills first.”
Prepare for negotiation
Before commencing your negotiations, consider your unique value.
Think carefully about what you can bring to the table – this could include your contributions, from accuracy and compliance to system improvements.
Evaluate your current role, job history, skills and contributions and be prepared to justify your desired salary.
Stephen says the evidence is crucial.
He says, “Think about the quantifiable evidence you can use to boost your appeal to an employer. I recommend highlighting your achievements, professional growth activities and future aspirations while aligning them with the organisation’s objectives.”
“Don’t forget to emphasise any niche skill sets that can justify a higher salary. With the face of payroll changing and evolving, things like AI experience can be a strategic selling point for payroll professionals wanting to justify a higher wage.”
Master the conversation
Have you ever used scripts or templates in preparation for salary negotiations?
Stephen believes they are some of the most tactical resources for remaining composed (and persuasive).
“Failure to prepare is preparing to fail. By leveraging scripts or templates tailored for common negotiation scenarios, you can boost your confidence and your strategic communication skills. It can help you to master the conversation during your payroll salary negotiation.”
He says, “My candidates have found them to be useful in the lead-up to a negotiation because they act as a vehicle to pinpoint the skills, experience and market trends that can justify their desired salary. I strongly believe that these templates make it easier to articulate your value, respond to challenging questions and address counteroffers.”
Remember, negotiation success hinges on how you conduct yourself, so be sure to maintain a collaborative yet confident approach.
Remain polite, positive, and professional throughout the process - be open to compromises and feedback, but take charge of the situation positively to help assert your confidence and preparedness for further negotiations.
Leverage market trends
Consider the Robert Half Salary Guide your snapshot of the top 2025 industry trends.
Below are some of the key insights from a finance and payroll perspective:
Professionals in accounting, payroll and controlling are most in demand, with skills in financial analysis, business partnering, business intelligence tools and month-end management of most interest to employers.
With finance talent shortages across the board, healthcare, financial services, retail in the east and mining services in Western Australia are among the sectors with the highest hiring intentions.
Compensation remains a key priority for finance and accounting professionals. 34% are expecting pay increases to keep pace with the rising cost of living, and 33% would look for a new job if their expectations aren’t met.
Automation is a hot topic in the finance world, with 31% of firms encouraging their staff to explore generative AI tools for the enhancement of day-to-day routine tasks and to improve productivity.
Stephen encourages the use of these market trends in your payroll salary negotiation.
“An appetite for continuous learning won’t go unnoticed by employers. By staying abreast of in-demand payroll skills, you can ensure that your upskilling efforts are aligned with the relevant tech advancements. We know that 81% of organisations are upskilling existing payroll staff and changing how they work to drive productivity and performance. So, skills in AI, compliance, accounting, cloud computing and cybersecurity could boost your appeal (and your salary).”
Stephen says it’s also crucial to consider the value beyond salary.
He says, “Employers have been guilty of creating hiring roadblocks in the past. Look at how they might be trying to move forward by offering things like career development opportunities, unique company culture and hybrid work options.”
“Review your package as a whole – salary shouldn’t be your sole consideration. Things like flexible work hours, hybrid working models and extra annual leave entitlements can help to enrich your employee experience and form the best package for you,” he says.
There’s no better time than the present to boost your payroll power. With the right information and the right negotiation skills, you can navigate critical salary conversations with confidence to make 2025 your year for financial growth.
Looking for payroll opportunities? Robert Half is ready to match your skills with some exciting opportunities.
Uncover your earning potential in the Robert Half Salary Guide so you can start your salary discussions with the most up-to-date salary data and insights.
*Source: The non-salary data presented is derived from an online survey conducted by an independent research firm commissioned by Robert Half in November 2024. The survey gathered responses from 500 hiring managers in finance, accounting, business support, and IT and technology. Respondents are drawn from a sample of SMEs to large private, publicly-listed and public sector organisations across Australia.
**The salaries listed in the salary tables represent gross yearly salaries. They do not include bonuses, benefits or superannuation. We report salaries in three percentiles, recognising that professionals join companies at varied experience levels.
Frequently Asked Questions (FAQs)
What is the salary range for payroll professionals?
According to The Robert Half Salary Guide, payroll professionals can typically expect salaries around the below ranges**:
Junior position (i.e., Payroll Administration Officer)
Beginner -$63.5k
Mid-level - $70k
Advanced -$78.5k
Mid-level position (i.e., Payroll Analyst / Accountant)
Beginner -$88k
Mid-level - $108k
Advanced -$118k
Senior position (i.e., Payroll Manager)
Beginner -$116k
Mid-level - $130k
Advanced -$170k
How much do payroll officers make in Australia?
According to The Robert Half Salary Guide, the salary for a payroll officer sits around the below range**:
Beginner - $85K
Mid-level - $93K
Advanced – $102K
What is the highest paying job in payroll?
According to The Robert Half Salary Guide, the highest paying payroll job is the payroll manager position. The salary for this role sits around the below range**:
Beginner - $116K
Mid-level - $130K
Advanced – $170K
How much do payroll administrators make in Australia?
According to The Robert Half Salary Guide, a payroll administration officer earns a salary around the below range**:
Beginner - $63.5K
Mid-level - $70K
Advanced – $78.5K
How much do payroll accountants make in Australia?
According to The Robert Half Salary Guide, a payroll accountant in Australia makes a salary around the below range**:
Beginner - $88K
Mid-level - $108K
Advanced – $118K
