Collection Agencies — Average Employee Salary

The average employee in the collection agencies industry earns $62,572 per year ($30.08/hour), according to Bureau of Labor Statistics QCEW data.

$62,572
Avg Annual Pay
92,711
Total Employees
6,231
Total Establishments
15
Avg Employees/Business

What Do Collection Agencies Workers Earn?

At $62,572/year (equivalent to $30.08/hour for a full-time worker), collection agencies wages are near the national average of ~$65,000.

The typical collection agencies business employs 15 people. These are mid-sized operations where payroll is a significant but manageable expense.

Wages as a Percentage of Revenue

25.8%

For the average collection agencies business generating $3.6M/year with 15 employees at $62,572 each, total payroll represents roughly 25.8% of revenue. Labor costs are relatively low compared to revenue — other costs (materials, equipment, overhead) dominate.

What This Means for Business Owners

If you're starting or running a collection agenciesbusiness, here's what the wage data means for your bottom line:

  • Per-employee cost: Budget approximately $81,344/year per employee (salary + ~30% for benefits, taxes, and insurance).
  • Typical team size: 15 employees = ~$938,580/year in base payroll.
  • Hourly equivalent: $30.08/hour base — factor this into pricing and project estimates.
  • Revenue needed: With average revenue of $3.6M/business, you need strong utilization rates to maintain healthy margins after payroll.

See how these wages compare to total revenue and profit margins.

View full Collection Agencies revenue benchmarks →

Frequently Asked Questions

How much do collection agencies employees make?
The average collection agencies employee earns $62,572 per year, which is equivalent to $30.08/hour for a full-time worker (2,080 hours/year). This is below the national average of approximately $65,000.
How many people work in the collection agencies industry?
The collection agencies industry employs 92,711 workers across 6,231 establishments in the United States. The average business in this industry has approximately 15 employees.

Source: Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW 2023).