How Much Can I Make as a Customer Service Agent?
We’ve talked a lot on this site about the positives of being a customer service agent. But as a potential agent, you’re probably asking, “How much Can I Make?” Well like most things in life, that isn’t a question that is so easily answered. We’re here to give you some insight to make it a bit more clear.
Average Salaries
According to Salary.com the average salary for a Customer service agent yearly is $30k- 40K. Payscale.com lists average hourly pay at $13 ($9.50-18.50), the average overtime rates anywhere from $14-$30, an average annual bonus rate of $1,150 ($250-$5,000), and the average annual commission rate of $2,300 ($250-10,500). Now obviously a lot of factors go into determining if you can expect the higher end of the lower tier of those scales. We’ll be getting into that shortly.
Benefits
A common misnomer about customer service is a lack of access to benefits. Even as a part-time customer service agent or as an independent contractor working for a large agency, you may still qualify for benefits. According to Payscale.com, 68% of customer service agents qualify for medical benefits, 58% qualify for dental benefits, and 50% qualify for vision benefits. That being said, 30% of customer service agents do not qualify for benefits. The point is, never be afraid to ask for those benefits, you may be pleasantly surprised!
Location Factors
Depending on where you are located in the US, your wage as a Customer Service Agent can be highly affected. Some of the most populated cities in the US actually pay their customer service agents higher than the national average. You may be in luck if you’re in any of the following cities!
New York, NY: 7% Higher than the national average
Bay Area, CA: 25% Higher than the national average
Austin, TX: 8% Higher than the national average
Detroit MI: 4% Higher than the national average
Make sure to always thoroughly investigate the wages of your area not only to see if you can feasibly sustain yourself on a customer service agent salary but also to see if you are being given a fair wage.
Agency vs. Company
You may be ready to be a customer service agent, but not know where to send your resume. Well typically, you have two choices, you can either go after a specific company’s customer service team or try your luck at an agency.
Working for an agency
As a customer service representative for an outsourcing agency you will only be paid for your “productive hours”, this means when you are physically dealing with a call. Depending on the situation, this can either help or hurt you. If you are assigned to a client with high call volume, you won’t even notice the difference. However, if the tickets are slow to come in on any given day, you may be getting less money than you budgeted. Working for an agency usually means you are an independent contractor who will have to invoice your company for the time and services rendered. Being organized and on top of your work is paramount. The biggest benefit of working for an agency is the freedom of “logging in” to work so to speak. Typically, you work when you can work and have a huge amount of liberty designing your own schedule.
Working for a company
Security and consistency are the most attractive factors here. Knowing exactly how much you’ll be paid at the end of the week for the hours you worked is a relief can’t ignore. However, your pay is unlikely to go up significantly for high call volume. Meaning you might be getting run-ragged, for the same wage as weeks where you did almost nothing. The “security’ that comes with working for a company only lasts as long as the company does. If your company is having trouble reaching profit margins, axing a few customer service reps might be their plan of action. Being part of a company can give you an easy avenue to transfer into other departments and expand your career. Working for a customer service agency means usually does not provide career advancement.
As a customer service agent, the answer to “how much can I make” is almost entirely in your hands. The harder you work, the better the service you provide, the more tickets that come your way, the bigger mark you leave on the company, the quicker you rise up the ranks! So get out there are start working!