Compensation Manager Salary

Salaries for Compensation Managers in the United States are generous, with average pay above six figures ($96K) per year. Cash earnings for Compensation Managers — including $21K in bonuses and $8K in profit sharing proceeds near the top of the pay scale — generally stretch from $64K to $136K depending on individual performance. Career duration and the particular city each impact pay for this group, with the former having the largest influence. The majority of Compensation Managers (64 percent) who took the survey are female. Almost all claim medical and dental insurance and a fair number get vision coverage. Most Compensation Managers like their work and job satisfaction is high.

$64,178 - $123,891

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National Salary Data (?
XAll compensation data shown are gross 10th to 90th percentile ranges. Take the PayScale Survey to find out how location influences pay for this job.
$64,178 - $123,891  
$2,024 - $20,677  
Profit Sharing
$0.00 - $8,140  
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).
$63,743 - $135,644  
Country: United States | Currency: USD | Updated: 18 Jul 2015 | Individuals Reporting: 262
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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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For Compensation Managers, career advancements do not tend to correlate with a rise in salary. On average, lower-level Compensation Managers earn similar salaries to those in higher-end positions like Compensation Manager.

Compensation Manager Job Listings

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Popular Skills for Compensation Manager

Compensation Managers generally report applying a varied skill set to their work. Most notably, skills in Benefits & Compensation, Human Resources Information System, Microsoft Excel, and compensation are correlated to pay that is above average. Data Analysis, on the other hand, is typically associated with much lower pay. For most people, competency in Benefits & Compensation indicates knowledge of Human Resources Information System (HRIS).

Pay by Experience Level for Compensation Manager

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

Although individuals who have less than five years' experience earn $72K on average, people with five to 10 years benefit from a notably larger average of $101K. After working for 10 to 20 years, Compensation Managers make a median salary of $108K. Survey participants with more than two decades under their belts actually report earning less than people with less experience; the former take home only $103K on average.

Related Job Salaries

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Experience Affects Compensation Manager Salaries

up arrow 2%


National Average

up arrow 29%

Skills That Affect Compensation Manager Salaries

Microsoft Excel
up arrow 2%

Human Resources Information System (HRIS)
up arrow 2%

up arrow 1%

National Average

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: 93% dental benefits Dental: 89%
vision benefits Vision: 78% employee benefits None: 5%