Graduates often have unrealistic salary expectations when searching for their first jobs. This may be caused by the high cost of living in Nigeria, or due to many graduates returning with international degrees, ready to show off their hard earned skills, or a combination of both. It is essential that graduates are realistic about their expectations.

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One way to manage their hopes and dreams is to research the market.  In many online forums the discussion on what is an acceptable salary is always ongoing. While inflation and other factors contribute to a growing cost of living in Nigeria and other parts of Africa salaries and wages unfortunately do not always rise along.

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Therefore the question arises, ”What is the average amount the average starting Nigerian worker can earn for it to be an acceptable salary given the prevailing economic conditions?” What will be seen as an average acceptable entry level salary across telecom, oil and gas, services, education and indeed all sectors for a worker to be able to afford an acceptable standard of living? How Many People Already Earn a Comfortable Starting Salary in Nigeria?

While it may be difficult to claim a general average salary that will be good enough for all interests, researchers have found a reasonable estimation of what an average salary should be for Nigerians. To get a hang of what a suitable average salary could be we first look at the basic costs of living facing the average worker;

  

• Housing: For someone living in an apartment that is just okay enough we estimate a monthly cost of N12,000 – N15,000

• Transportation: N10,000

• Feeding: depends on the number of stomachs dependent on the entry level worker but we estimate between 1 – 3 persons depending on the worker for food daily. If cost of feeding each person a day is average N400 (could be far higher of course if meals are eaten out at restaurants) we arrive at N400 for each person per day maximum and multiply that by 3 persons and by thirty to get N36,000.

• Welfare (clothing, entertainment etc) : We can assume N20,000 monthly will do for this.

• Miscellaneous (to cover other wants, and expenses that may need to be made including savings): N50,000

The above (very generous estimations) give a total N131, 000 on the extreme side for average entry level salary all things being equal, for the average Nigerian worker with at least a Higher National Diploma. From our findings the average salary scale for entry level workers (Degree/HND Holders) for some popular sectors and the percentage of the workforce they employ is as follows;

 

Oil & Gas (2%): N100, 000 – N140, 000

Telecom/IT (7%): N70, 000 – N110, 000

Banking & Financial Services (13%) – N50, 000 – N100, 000

Hospitality, Media, Services Sector (33%) – N30, 000 – N60, 000

Others (55%) – N15, 000 – N45, 000

 

From the above we deduce that majority of Nigerian workers at the entry level earn far below what would pass as a highly acceptable average salary given today’s economic situation. However, the banking sector in Nigeria is said to be one of highest paying sector as far as salaries are concerned. What banks pay their workers however differs from bank to bank. This is partly due to the fact that there are no particular regulations that stipulate what private organisations should pay their workers. Also, the financial strength, customer base and performance of the bank are other factors responsible for how much a bank pays.

Here is what some banks pay their staff in Nigeria.

 

1. Zenith Bank

Zenith bank which is regarded as one of the most stable and reliable banks in Nigeria as of today pays its entry level staff about N110,000 (One hundred and ten thousand) monthly, which comes to about N1,320,000 (One million, three hundred and twenty thousand Naira) per annum. This is reasonably good enough for young graduates who know what they are doing. Suffice to say that this payment subsists only for the probation period of about a year, after which the salary increases.

 

2. First Bank

As the name implies, First Bank is seen by many as the strongest bank in Nigeria and the bank has many achievements to prove this point. First Bank’s pay for its entry level staff goes between N90,000 to N110,000 monthly depending on department or unit. And this increases with confirmation and as you grow in rank within the system. Though FBN is the oldest bank in Nigeria, many people still prefer to work there because they believe that the chances of job security here are higher than some new generation banks.

 

3. GTBank

GTB stands as the bank of the masses, yet maintaining a very positive and professional outlook. GTB pays her staff at entry level the sum of N209,000 per month after confirmation, which makes it one of the highest paying banks in Nigeria.

 

4. Skye Bank

Skye Bank is also one of the oldest banking institutions in Nigeria, considering their antecedents. Skye Bank uses age 24 as the benchmark for entry level employees and pays N2.7 million per annum after confirmation.

 

5. Fidelity Bank

Fidelity is one of the new generation banks, but has done quite well within a short period of its existence. The bank started as a Mortgage bank in 1988 and converted to a commercial bank in 1990. On the salary scale, it is doing pretty well too for its staff. Fidelity pays about N140,000 monthly at entry level, an amount many young graduates will agree is good enough to start planning life with in Nigeria.

 

6. Central Bank of Nigeria

It is also good to know what the apex bank pay its staff. CBN does one month training for its new intakes and pays N122,000 per month afterwards. This is aside the many mouth-watering allowances. Many industry watchers say CBN is the master when it comes to allowances. So what is lacking in actual salary is made up for in allowances.

 

In conclusion, as a first time job seeker, once you find out what you can expect to earn in your first position, it will be beneficial for both you and your employer if yoi can be honest from the very beginning about your expectations. And finally, be patient as your career progresses, so will your earning potential improve.