Yes, most mortgage lenders will count your bonus or commission as income. The catch is that they disagree on how much of it to use, anywhere from 50% to 100%, how far back they look and what evidence they want, so the same payslips can support very different borrowing amounts depending on where your application goes.
Key takeaway: Your bonus is rarely the problem - the lender's rules are. A lender that counts all of a rising bonus and one that counts half of your weakest recent year can be tens of thousands of pounds apart on the same salary, which is why matching your pay pattern to the right lender matters as much as the rate.
[[stats: Up to 100% = Of bonus income counted by some lenders | 11 = Lenders' bonus rules compared in this guide | 3, 4 or 8 = Quarterly payslips lenders ask for, depending on the lender | 30+ years = Combined team experience | Exclusive rates = Via our network of lenders | National coverage = Wherever you work in the UK]]
Does bonus income count for a mortgage?
In most cases, yes. Lenders treat bonus and commission as variable income: money you have earned regularly, but which could change from year to year. Rather than ignoring it, most lenders count some or all of it, provided you can show it has been paid consistently and is likely to continue.
Where lenders differ is in three places:
- How much they count - from 50% of your bonus up to 100%.
- How they work it out - from your latest payment, an average of recent payslips, a two-year average, or whichever of those is lower.
- What evidence they need - from three months of payslips to two full years of bonus history.
Some lenders also leave bonus out of particular checks. Barclays, for example, only uses basic income, sustainable allowances and self-employed income when deciding whether an applicant meets a minimum income threshold, even though bonus can still support affordability. Details like this rarely appear in a bank's customer-facing guidance, which is why a mortgage broker at Quanstrom Financial works from each lender's broker criteria before recommending where to apply.
How much of your bonus will a mortgage lender count?
Based on each lender's criteria for brokers, lenders broadly fall into three groups:
- Around 50%: Coventry Building Society counts 50% of regular bonus, overtime and commission. NatWest uses up to 50% of a discretionary annual or half-yearly bonus, and Skipton uses 50% where the income is irregular.
- 60% to 70%: Halifax, Accord Mortgages, TSB and Metro Bank all work at 60%, with Accord capping the result at your basic salary. HSBC uses 60% in its affordability calculation, although it counts the full amount when working out your income multiple. Santander counts 70% of bonus it treats as secondary income, which includes annual and quarterly payments.
- Up to 100%: Nationwide counts 100% of bonus across all of its mortgages. NatWest counts 100% of monthly and quarterly bonus and of a guaranteed annual bonus. Skipton counts 100% where the income has been regular over 12 months, Santander 100% of regular, consistent monthly amounts, and Barclays up to 100% of your recent monthly average checked against your P60.
The percentage is only half of it, because each lender also chooses which figure to apply it to. A lender counting 100% of a figure that is lower than your actual bonus is not necessarily more generous than one counting 60% of the full amount. That interaction is what the table below sets out.
Income multiple or affordability: lenders can use different figures
Lenders typically run two separate checks: a cap on how many times your income they will lend, known as the loan-to-income multiple, and a detailed affordability calculation based on your income and outgoings. Some use a different share of your bonus in each. HSBC, for example, counts 100% of bonus, commission and overtime when working out your income multiple, but only 60% in its affordability calculation. Whichever check is tighter sets the most you could borrow, which is why the headline percentage alone rarely tells the whole story.
Which mortgage lenders accept bonus income?
All 11 lenders below accept bonus income. Here is how each one treats it, based on each lender's criteria for brokers.
[[table: Lender | How much counts | How it's worked out ;; Accord Mortgages | 60%, capped at your basic salary | Sustainable bonus only, and the same 60% rule applies to commission ;; Barclays | Up to 100%, and never less than 50% of a monthly average | Monthly: the lower of your last 3 months' average and your latest P60. Quarterly, half-yearly or annual: two years' history, using the latest year if it fell ;; Coventry Building Society | 50% | Annual bonus: 50% of the two-year average, or of the latest year if that is lower ;; Halifax | 60% | Bonus paid less often than monthly: the lower of the last 12 months or the two-year average ;; HSBC | 100% for your income multiple, 60% for affordability | Average of the last two years, where the bonus is shown to be regular ;; Metro Bank | 60% | Based on your last P60, your current year's bonus payslip or your year-to-date figures ;; Nationwide | 100% | Averaged across your latest payslips, with the number needed depending on how often you are paid ;; NatWest | 100% if monthly, quarterly or guaranteed. Up to 50% if annual or half-yearly and discretionary | Annual and half-yearly: the two-year average if your bonus rose, the latest year if it fell ;; Santander | 100% or 70% | 100% of regular, consistent monthly amounts. 70% where amounts vary, including annual and quarterly bonus ;; Skipton | 100% if regular, 50% if irregular | Regular over 12 months. Irregular income may still count in full with two years' evidence ;; TSB | 60% | Based on your latest bonus]]
Lender criteria correct as at 13 October 2026 and subject to change. Every lender also runs its own full affordability assessment, so the percentage used is one part of the picture rather than a guarantee of what you could borrow.
Which of these sounds like your bonus?
[[accordion: My bonus has grown every year|If your bonus has risen, lenders that base their figure on your latest bonus could give the higher result. Lenders such as NatWest and Barclays average your last two years when income has gone up, which smooths the increase, and the lowest outcomes tend to come from lenders that count only half of your bonus. ;; My bonus fell this year|Many lenders, including Halifax, NatWest, Barclays and Coventry Building Society, use your most recent year when it is lower than your two-year average. If this year was a dip, the percentage each lender applies becomes the deciding factor. ;; I have only received one bonus so far|Some lenders want two years of bonus history before they will count it. Others will accept a shorter record. Accord Mortgages, for example, can use your bonus even if it has only been paid once. ;; My bonus is guaranteed in my contract|A guaranteed bonus can be treated very differently from a discretionary one. NatWest counts 100% of a guaranteed annual or half-yearly bonus, against a maximum of 50% if it is discretionary, as long as your contract confirms there are no conditions attached. ;; I am paid a bonus every month or quarter|Frequent bonuses are often assessed like overtime, from your recent payslips rather than a two-year history. NatWest, for example, can count 100% of a monthly or quarterly bonus.]]
Does it matter how often your bonus is paid?
Yes. How often you are paid a bonus changes both the evidence a lender wants and how the figure is calculated.
Monthly bonus
A bonus paid every month is usually assessed in much the same way as overtime, using your most recent payslips. NatWest can count 100% of a regular monthly bonus shown on your last three consecutive payslips, while Barclays averages your last three months and checks the result against your latest P60.
Quarterly bonus
This is where the differences are starkest. Some lenders average your latest 3 quarterly bonuses, some your latest 4 and some your latest 8. Nationwide asks for three payslips covering quarterly payments, NatWest the latest four, and Barclays eight - in effect, two full years. If your recent quarters are your strongest, a shorter look-back is likely to produce a higher figure. If last year was your standout year, a longer one could help.
Half-yearly and annual bonus
Bonuses paid once or twice a year are typically assessed over two years. Halifax takes the lower of what you received in the last 12 months and your two-year average. NatWest and Barclays use the two-year average if your bonus has risen and the latest year if it has fallen. Coventry Building Society applies 50% to whichever of the two-year average and the latest year is lower.
What happens if your bonus went down?
Because so many lenders use the lower of your latest year and your two-year average, a dip can carry more weight than you might expect.
Example: Suppose your bonus was £22,000 last year and £14,000 this year. Your two-year average is £18,000, but a lender applying the 'lower of' rule works from £14,000. At 60%, that is £8,400 of assessable bonus rather than £10,800. This is a simplified illustration only.
A falling bonus does not have to stop you. It may change which lender suits you, and in some cases the timing of your application, such as whether it goes in before or after your next bonus shows on a payslip. These are the judgement calls a mortgage broker at Quanstrom Financial can talk through with you before anything is submitted.
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Guaranteed or discretionary: why your contract wording matters
Most bonuses are discretionary, meaning your employer decides whether to pay them each year. Lenders know a discretionary bonus could fall or disappear, and some reflect that in how much they count.
NatWest draws the clearest line. It counts up to 50% of a discretionary annual or half-yearly bonus, but 100% of a guaranteed one, as long as your employment contract confirms there are no conditions attached to it being paid. If your bonus is genuinely guaranteed, it is worth checking that your contract says so in writing before you apply.
Can you get a mortgage with commission income?
Yes. Commission is usually averaged over your last three months of payslips, with a set percentage counted, and that percentage varies significantly between lenders. Based on each lender's criteria for brokers:
- NatWest can accept up to 100% of commission, evidenced by your last 3 months' consecutive payslips (13 if you are paid weekly), with your year-to-date income supporting it.
- Nationwide counts 100% of commission, averaged across your recent payslips.
- Barclays averages your last 3 months and compares it with your latest P60, using the lower of the two but never less than 50% of the three-month average.
- HSBC counts 100% of commission when working out your income multiple and 60% in its affordability calculation, based on the average of the last two years.
- Halifax counts 60% of commission, which must come from your current employer - worth knowing if you have recently moved.
- Accord Mortgages counts 60% of sustainable commission, capped at your basic salary.
- TSB and Metro Bank both work at 60%.
- Principality Building Society accepts commission up to 50% of the average of the last three months.
If you are paid mostly on commission, a cap can matter as much as the percentage. A lender that limits commission to the level of your basic salary may count far less of your income than one without that cap.
Changed jobs recently?
Moving employer does not automatically wipe out your bonus history, but lenders handle it differently. Halifax can now count a bonus from your previous employer as part of your two-year average, provided your latest bonus came from your current employer. Barclays does not require two years with the same employer either, but your most recent annual bonus must have been paid by your current employer within the last 12 months.
If you have not yet received a bonus in your new role, some lenders can use your new basic salary from day one with a signed contract. Our guides to getting a mortgage with a new job and getting a mortgage on probation cover the employment side in detail.
What about bonuses paid into a pension, or in shares?
If part of your bonus goes into your pension, lenders do not all treat it the same way. Nationwide will only consider the cash element where part of a bonus is paid directly into a pension. Barclays, by contrast, says a bonus taken into a pension or share scheme instead of cash can still be used towards affordability.
Share awards are a separate question. Restricted stock units are assessed under their own rules and many lenders do not count them at all - our guide to RSU mortgages explains which lenders do. If your bonus is paid in another currency, lenders may also reduce it to allow for exchange rate movements, as our guide to foreign currency income mortgages explains.
How much more could your bonus let you borrow?
Here is how the same bonus history can look to lenders with different rules.
Example: Your basic salary is £60,000, and your annual bonus was £16,000 last year and £20,000 this year, an average of £18,000. A lender counting 100% of that average assesses your income at £78,000. At 60% it is £70,800, and at 50% it is £69,000. At an illustrative 4.5 times income, that is roughly £351,000, £318,600 or £310,500 of borrowing - a gap of £40,500 from identical payslips, against £270,000 on your basic salary alone. This is a simplified illustration only, not a quotation.
Income multiples move independently of bonus rules. The broad base of the market lends around 4.5 times income, with a narrowing pool of lenders going to 5, 5.5 and 6 times depending on your circumstances. Our guide to how much you can borrow for a mortgage covers the full picture, and you can try your own figures below.
[[calc:borrowing]]
Calculator results are illustrations only and do not reflect any lender's full affordability assessment.
How do you prove bonus and commission income?
For most employed applicants with variable pay, three months' payslips is typically enough, and a P60 showing your earnings are consistent with previous years opens up more options. Annual and quarterly bonuses need payslips covering the payments being averaged, so the exact number depends on the lender:
- Barclays: 8 payslips for a quarterly bonus, 4 for half-yearly and 2 for annual, covering the last two years.
- Nationwide: 3 payslips for monthly or quarterly bonus, 4 for half-yearly and 2 for annual, with an annual bonus showing on both.
- NatWest: your last 3 consecutive monthly payslips, the latest 4 for a quarterly bonus and two years of payslips for an annual bonus, plus your contract if it is guaranteed.
- Accord Mortgages: your latest payslip and a matching bank statement at 75% loan to value or below, or your latest 3 payslips above that.
[[steps: Gather your payslips|Collect every payslip that shows a bonus or commission payment for the last two years, not just the last three months. ;; Find your P60s|Your last two P60s show your total earnings and help confirm your variable pay is consistent. ;; Check your contract|Look for wording on whether your bonus is guaranteed or discretionary, and when it is paid. ;; Get advice before you apply|A mortgage broker at Quanstrom Financial can match your pay pattern to the lenders that suit it before an application goes in.]]
How a mortgage broker at Quanstrom Financial can help
Quanstrom Financial is a whole-of-market mortgage broker based in Eastbourne, East Sussex, working with clients across the UK in person, by video call, by phone or by email. With bonus and commission income, we map your pay history against each lender's percentage, averaging method and evidence rules, alongside the income multiple each could offer, and place your application where the combination works hardest for you. We then evidence your income the way that lender's underwriters expect, which helps avoid delays once your application is under way.
Whether you are buying your first home, moving home or remortgaging, you can book a free consultation to talk through your options.
Frequently asked questions
Does bonus count as income for a mortgage?
Yes, most mortgage lenders will count bonus income, but usually not in full and not in the same way. Depending on the lender, anywhere from 50% to 100% of your bonus may be used, based on your latest payment, an average of recent payslips or a two-year average.
How much of my bonus will a mortgage lender use?
It depends on the lender and how regular your bonus is. As at October 2026, Coventry Building Society counts 50%, Halifax, Accord Mortgages, TSB and Metro Bank work at 60%, and Nationwide counts 100%, as does NatWest for a monthly, quarterly or guaranteed bonus. HSBC uses 60% for affordability but 100% when working out your income multiple.
Do mortgage lenders use my latest bonus or an average?
Both approaches are common. HSBC averages the last two years and TSB uses your latest bonus, while lenders including Halifax, NatWest, Barclays and Coventry Building Society effectively use whichever is lower out of your latest year and your two-year average.
Can I use my bonus for a mortgage if I have only had one?
Possibly. Some lenders want two years of bonus history before they will count it, but others will accept a shorter record. Accord Mortgages, for example, can use your bonus even if it has only been paid once.
What happens if my bonus was lower this year?
Many lenders will use your lower, most recent figure rather than an average, which can reduce how much you could borrow. A lender that counts a higher percentage of that figure, or that assesses frequent bonuses from recent payslips, may give a better outcome, so it is worth getting advice before you apply.
Does a guaranteed bonus count in full for a mortgage?
It can do. NatWest counts 100% of a guaranteed annual or half-yearly bonus, compared with up to 50% if the bonus is discretionary, provided your employment contract confirms there are no conditions attached to it being paid.
Can I get a mortgage based on commission?
Yes. Most lenders average your commission over your last three months of payslips and count a set percentage of it, ranging from up to 50% at Principality Building Society to 100% at Nationwide and up to 100% at NatWest. Some, such as Accord Mortgages, also cap commission at the level of your basic salary.
Can I use a bonus from my previous employer?
Some lenders allow it. Halifax can include a bonus from your previous employer in your two-year average as long as your latest bonus came from your current employer, while Barclays requires your most recent annual bonus to have been paid by your current employer.
Does a bonus paid into my pension count for a mortgage?
It depends on the lender. Barclays says a bonus taken into a pension or share scheme instead of cash can still be used towards affordability, whereas Nationwide only considers the cash element when part of a bonus is paid directly into a pension.
What documents do I need to prove bonus income?
Expect to provide payslips showing your bonus payments and your recent P60s. Three months' payslips is typically enough for variable pay with many lenders, but annual and quarterly bonuses usually need payslips covering the last two years, and a guaranteed bonus may also need your employment contract.
Written by Toby Quanstrom CeMAP, Director at Quanstrom Financial, a whole-of-market mortgage broker based in Eastbourne, East Sussex.
Lender criteria in this guide are based on each lender's intermediary criteria and were correct as at 13 October 2026. Criteria change regularly. This article is general information only and does not constitute personal advice or a recommendation of any lender. Your circumstances will determine what is available to you.
Your home may be repossessed if you do not keep up repayments on your mortgage.
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