If part of your income comes from overtime, bonuses or commission, you might be wondering:
“Will the bank count this when assessing my mortgage application?”
The short answer is yes – but not always in full.
Every lender has its own criteria for assessing additional income, which means the amount you can borrow may vary depending on who you apply to.
Here’s what you need to know.
It’s Not Just Your Basic Salary That Matters
When lenders calculate how much you can borrow, they start with your basic salary.
However, many buyers earn more than their basic wage through:
- Overtime
- Annual bonuses
- Sales commission
- Shift allowances
- Other regular payments
The important question is whether this additional income is considered sustainable.
Will Every Lender Treat Additional Income the Same?
No.
This is one of the biggest misconceptions we see.
Although the Central Bank of Ireland sets the overall lending rules, every lender has its own underwriting policy.
Some lenders may:
- Accept a higher percentage of overtime income.
- Be more favourable towards commission-based earnings.
- Require a longer history of bonus payments.
- Exclude certain types of income altogether.
This means your borrowing capacity could differ depending on the lender you choose.
What Do Lenders Want to See?
In most cases, lenders are looking for consistency.
They’ll usually want evidence that your additional income has been earned regularly over a period of time, rather than being a once-off payment.
Depending on the lender, they may ask for:
- Recent payslips
- An Employment Detail Summary
- Confirmation from your employer
- Evidence of overtime, bonuses or commission over the previous 12–24 months
The more consistent the income, the more likely it is to be considered.
What If My Income Changes Every Month?
This is quite common, particularly for people working in:
- Healthcare
- Emergency services
- Sales
- Hospitality
- Construction
Variable income doesn’t automatically mean it won’t be considered.
Instead, lenders often look at the average earned over a number of months or years to determine what’s sustainable.
Can Additional Income Increase My Borrowing?
Potentially, yes.
If a lender includes overtime, bonuses or commission when assessing your application, it may increase your allowable income.
This could mean:
- A higher borrowing limit.
- Access to properties within a larger budget.
- Greater flexibility when house hunting.
However, because every lender has different criteria, the increase isn’t always the same.
Why Choosing the Right Lender Matters
This is where many buyers miss an opportunity.
If you apply to a lender that only recognises a small portion of your additional income, you could receive a lower mortgage offer than expected.
Another lender may assess the same income differently.
Understanding how different lenders approach additional earnings can make a significant difference to your borrowing capacity.
Key Takeaway
Overtime, bonuses and commission can all play a role in your mortgage application, but how much is taken into account depends on the lender and your individual circumstances.
Having a clear understanding of how your income is assessed can help you make informed decisions before applying for a mortgage.
At Which Mortgage, we compare lenders across the market and help you understand how your full income may be assessed.
Our goal is to help you explore the options available and find the mortgage that’s right for your circumstances, you can get in touch with us today. We’d be happy to help you understand your options.