FINANCE DIRECTOR remuneration packages have remained steady in the last year.
The 2014 FD Recruit Salary Survey looked at the bonuses, salary and other incentives given to FDs across the UK throughout a range of industries for the year starting 1 January 2013 and ending 31 December 2013.
Just short of half the respondents (44%) said their package was “about the same” as last year, with the same percentage claiming they had seen an increase of up to 5% over the previous 12 months. However, 7% said they had seen gains of between 10% and 20%, the finance director recruitment company found.
Almost all remuneration packages last year (81%) were made up of between 75% and 85% base salary with the rest made up of performance-related bonuses.
The average base salary across industries and regions was between £80,000 and £130,000, climbing to between £110,000 and £150,000 once additional benefits and bonuses had been included.
The average bonus paid to FDs last year was 20% of basic salary, which represented 15% of total earnings.
On average, just 24% of finance directors in Greater London received a car or car allowance, with a majority citing that travel costs had been rolled up into their basic salary. However, 64% of respondents outside of London received a car or a car allowance, with an average value of £8,000.
FD Recruit director Phil Scott (pictured) said: “This wide-ranging survey has shown that in a post-recession era, finance directors are still very much focused on the monetary aspect of their take-home rewards.
“There has been a small increase in salary levels over the last year, which is positive, but individuals may be too focused on honouring their pre-existing mortgages and other financial commitments to find much value in alternative forms of remuneration.”
The preiod of rising executive pay, including fees paid to non-executive director, have come to an end, according to the latest Financial Director’s Salary Survey.
The total average pay of FTSE 100 finance chiefs in 2012/13 slipped by 2.8% compared to the previous financial year. FTSE 100 FDs took home £1,096,863 on average over the past financial year, while their counterparts in the FTSE 250 received a 25.8% average increase in total pay to £696,602.