Do you receive shift allowances / penalty rates?

The way workers are employed in Australia has been changing over the last 20 years.

Despite this, many lenders will not take your penalty rates into account when assessing how much you can borrow.

We are experts in lending to shift workers and other employees who receive penalty rates.

How much of my income will the bank accept?

Every lender has their own policy as to what types of income are acceptable and which types are not.

For this reason we tend to use two or three lenders on a regular basis that can accept the majority of shift allowances and penalty rates income.

  • Shift Allowances: 100% of shift allowance income can be accepted if the income is regular and ongoing.
  • Penalty Rates (Weekends): Penalty rates for working weekend shifts can be accepted at 100% for full time employees that have a regular roster.
  • Penalty Rates (Night Work): Penalty rates for working night shifts can be accepted at 100% for full time employees that have a regular roster.
  • Other allowances: Many employees receive other allowances for meals or transport which are generally not taken into account. If these allowances are not to reimburse you for an expense that you incur then we can get some of our lenders to consider this income as well. Please enquire online or call us on 1300 889 743 to discuss your situation with one of our mortgage brokers.

If you are not employed on a full time basis then please refer to our casual job page.

Whatever your employment situation, speak to us on 1300 889 743 or enquire online today and we can help you apply with the right lender!

Will my shift allowances be included?

Generally the lender is looking to see if your penalty pay is regular and ongoing.

If the pay is irregular then most major banks & lenders will be less inclined to include it when assessing your home loan application.

You can use our YTD Income Calculator to find out how the banks would assess your income.

To discuss your situation and income with our expert mortgage brokers, please call us on
1300 889 743 or enquire online today.

We can help pair you with the right lender who will offer competitive rates and a great loan package!

What documents do I need to provide?

Lenders will calculate your income based on the documents you provide them with.

Most lenders require:
  • An annualised Year To Date (YTD) figure from your payslips
  • Your group certificate or
  • A letter from your employer

Although most lenders require two of these documents, we have some lenders that can consider just a letter or just payslips in some situations.

To discuss your situation with an expert team, please call us on 1300 889 743 or enquire online and we can help apply with the right bank, who will accept your shift allowances.

Which lenders can help?

We can help you apply for with a home loan with several lenders 7 major banks who accept shift allowance.

Our staff will assess your situation on a case by case basis and then will discuss your options with you so you can then pick the lender that you prefer.

Why are lenders so conservative?

When applying for a home loan with the support of allowance income lenders are wary because they believe that the shifts you’re assigned may change in which case, you would no longer be receiving your penalty rates.

However, we know that this is simply not true! Lenders tend to have very outdated policies that don’t take modern employment agreements into consideration.

Contact our team on 1300 889 743 or enquire online and we will find a lender who understands shift allowance and will include it in a serviceability assessment.

Why do the banks take this view?

Because shift work is outside the usual hours of employment, banks believe that workers may not be able to handle the change in sleeping patterns or may decide to make a lifestyle change.

In particular banks do not like to accept any additional income earned during a night shift.

The reality is, banks simply don’t understand shift work!

Bank employees work regular hours and view other types of employment as being unusual or risky.

The good news is that not every lender views your income in this way!

Please enquire online or contact us on 1300 889 743 to speak to one of our mortgage brokers who understands shift work and penalties.

Who can we help?

We can help all shift workers in any profession.

We can be particularly helpful for people working in essential services such as nursing where shift work is often a condition of employment.

If you work in any of these professions, or receive shift allowances on a regular basis, please contact us on 1300 889 743 or enquire online today.

Depending on how regularly you receive your allowances, we can ensure that you apply with a lender that will include this income when assessing your ability to repay the loan. Call us today!

Which loan types are available?

All loan types: Professional packages, basic loans, lines of credit, fixed rates.

How much can I borrow?

You can borrow up to 90% of the property value and possibly 95% for very strong applicants.

What can I use the loan for?

Home or domestic use, investing, purchases, refinances and construction are all acceptable loan purposes for a shift allowance home loan.


Professional package and basic loan discounts are available.

Loan Features

All loan features: Interest only, fixed rate, line of credit, 100% offset, redraw, extra repayments.

Apply for a home loan with shift allowance income

If you think that your penalty pay is regular enough for you to rely on it to make your mortgage repayments then please enquire online or call us on 1300 889 743 to talk to one of our mortgage brokers.

  • Edward

    I have been regularly receiving shift allowances for a while so can the banks accept 80% or more of it in their home loan assessment?

  • Hi Edward,

    As long as you can show that your shift allowances are regular and ongoing, banks can accept up to 100% of this income in their home loan assessment.

  • bowles

    Hi, I earn more in shift allowances in one half of the year. How will the lenders assess this?

  • Hey bowles, the lenders will work out a Year To Date calculation of your income from both your payslip and group certificate to assess your income. You can try out our YTD calculator yourself to find out how the lenders may assess your income and you can enquire online directly through the page itself if you’d like some help:

  • Stark

    I earn penalty rates for night work and my partner earns penalty rates for weekends. Will this be assessed the same or differently?

  • Hi Stark, penalty rates for working weekend shifts as well as night shifts can both be accepted at 100% for full time employees that have a regular roster. Please feel free to call us one of our experts at 1300 889 743 if you’d like some help with getting your shift allowance accepted completely.

  • Norman R

    Hello, I’m an nurse and I earn decent consistently through my shift allowances. Is it possible for me to qualify for a no LMI home loan? I haven’t applied with any lender recently so no credit enquiries and I have a clean credit file too.

  • Hey Norman,
    If you can prove that you have stable employment with a strong and consistent income, you may be able to qualify for a no LMI home loan. The minimum level of income you’ll need to qualify is $120,000 per annum, which can include rental income. If you don’t qualify then you can avoid LMI by saving a 20% deposit. Please check out our nurse home loans page for more info:

  • Phyllis

    I’m a shift worker and I consider myself to be in a great place financially, especially considering I’m also getting allowances. I would like to purchase property and I need a 90% home loan for that. I do believe I can service that but what other requirements might I need to meet?

  • Hello Phyllis,
    Each bank and non-bank lender in Australia has their own set of lending guidelines that they use to assess your application. So the secret to getting your loan approved is in knowing which lender is a good match for you. Generally, to qualify for a 90% home loan, you will need to have a clean credit history, you must be paying your debts such as rent on time, your income must be strong within a stable employment position. Please check out the 90% home loans page to read about this in detail: