Compensation Manager Salary

Compensation Managers in the United States can look forward to a sizeable six-figure salary — around $97K per year on average. Cash earnings for Compensation Managers — including $25K in bonuses and $9K in profit sharing proceeds near the top of the pay scale — generally stretch from $61K to $138K depending on individual performance. Career length and the particular city each impact pay for this group, with the former having the largest influence. Job satisfaction is high and work is enjoyable for most Compensation Managers. Medical and dental coverage is claimed by almost all, and a fair number earn vision coverage. Female Compensation Managers are more common than men among those who completed the survey; more than half (64 percent) are women.

$62,591 - $124,234
MEDIAN: $96,500

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National Salary Data (?
XAll compensation data shown are gross, national 10th to 90th percentile ranges. Pay can vary greatly by location. To view local data, take the PayScale survey.
$62,591 - $124,234  
$2,031 - $24,690  
Profit Sharing
$824 - $8,726  
Total Pay (?
XTotal Pay combines base annual salary or hourly wage, bonuses, profit sharing, tips, commissions, overtime pay and other forms of cash earnings, as applicable for this job. It does not include equity (stock) compensation, cash value of retirement benefits, or the value of other non-cash benefits (e.g. healthcare).
$61,388 - $137,695  
Country: United States | Currency: USD | Updated: 31 Mar 2015 | Individuals Reporting: 236

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Job Description for Compensation Manager

Compensation managers are responsible for ensuring the efficiency and quality of a company's payroll and employee-compensation programs. They work with all types of organizations, from corporations to small businesses, by developing and managing compensation and benefit programs for employees.


Compensation Manager Tasks

  • Manage the day to day operations of the compensation department’s programs; job evaluation, performance appraisal, salary administration and incentive programs.
  • Plan all compensation programs, procedures and practices to ensure consistency with organization's overall objectives and are in compliance with professional standards, state and federal regulatory requirements and laws.
  • Manage the selection, training and development of staff.

Common Career Paths for Compensation Manager

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Compensation Managers' salary tends to stay somewhat level for those who assume higher-end positions like Compensation Manager. Median pay for Compensation Managers is $92K.

Compensation Manager Job Listings

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Survey results suggest that Compensation Managers put a wide range of professional skills to use. Most notably, skills in Benefits & Compensation, Microsoft Excel, Human Resources Information System, and compensation are correlated to pay that is above average. Data Analysis, on the other hand, is typically associated with much lower pay. Employees educated in Benefits & Compensation are typically practiced in Microsoft Excel, too.

Pay by Experience Level for Compensation Manager

Median of all compensation (including tips, bonus, and overtime) by years of experience.

Although employees with less than five years' experience earn around $67K on average, the five-to-10 year group has a much higher, six-figure median of $101K. For Compensation Managers, 10 to 20 years of experience on the job amounts to an average salary of $108K. Survey participants with more than twenty years of experience only make around $100K on average, though; this group reports a lower median than the one claimed by mid-career individuals.

Related Job Salaries

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Experience Affects Compensation Manager Salaries


National Average

up arrow 1%

up arrow 34%

Skills That Affect Compensation Manager Salaries

Microsoft Excel
up arrow 2%

National Average

Human Resources Information System (HRIS)
up arrow 1%

up arrow 2%

Data Analysis
up arrow 21%

Job Satisfaction

Extremely satisfied
Rated 5 out of 5
based on 41 votes.


64 %
36 %

Years of Experience

Less than 1 year
1-4 years
5-9 years
10-19 years
20 years or more

Common Health Benefits

medical benefits Medical: 92% dental benefits Dental: 89%
vision benefits Vision: 78% employee benefits None: 5%