Purchasing Manager Salary
With a little over a half of Purchasing Managers in the United States reporting more than 10 years of experience in the field, this area is heavily weighted toward experienced professionals. Pay ranges from $40K to $100K per year and averages out to $64K annually. Individual bonuses, profit sharing and commission for Purchasing Managers — as high as $15K, $10K and $10K, respectively — each contribute to the degree of variation within overall compensation, ranging from $40K to $100K. Geography is the biggest factor affecting pay for this group, followed by tenure. Job satisfaction is high and work is enjoyable for most Purchasing Managers. Most enjoy medical while more than half get dental coverage. Vision coverage is also available to a little more than half. The figures in this rundown are based on the results of PayScale's salary questionnaire.
Job Description for Purchasing Manager
Purchasing managers are involved in all aspects of the company’s business, from development to finding costs savings to corporate strategy to production. A successful purchasing manager must be able to review proposals for new projects in a timely manner, and they must maintain frequent interaction with marketing teams to discuss sales proposals and marketing strategies. They also must be skilled at finding cost savings.Read More...
Purchasing managers handle contract negotiation, maintain level of rapport with vendors and clientele, and supervise purchasing agents. They strive to seek out the best possible vendors with the most reasonable price for the value sought.
Individuals in these positions must be able to multitask while paying great attention to detail. They must have a solid understanding of math, as well as excellent analytical skills. A successful purchasing manager exudes confidence and is able to think quickly on his or her feet. He or she must be comfortable with enforcing the company’s policies and procedures, as well as have a good background in business and knowing how an organization functions internally.
Purchasing Manager Tasks
- Negotiate purchasing contracts and policies with respective suppliers.
- Analyze and implement purchasing processes and delivery systems.
- Manage and direct employees involved in the buying, selling or distributions aspects of a company.
Common Career Paths for Purchasing Manager
Though some Purchasing Managers move into positions like Director of Supply Chain Management (where the average salary is $121K), this progression is not the norm. Purchasing Managers moving up in their careers tend to step into positions as Purchasing Directors or Supply Chain Managers. The median paychecks in those roles are $21K higher and $19K higher, respectively.
Purchasing Manager Job Listings
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Popular Skills for Purchasing Manager
Purchasing Managers seem to require a rather large skill set. Most notably, skills in Contract Negotiation, Strategic Planning, Supply Chain, and Leadership are correlated to pay that is above average, with boosts between 7 percent and 14 percent. Skills that seem to negatively impact pay include Inventory Control, Inventory Management, and Microsoft Excel. Most people skilled in Inventory Management are similarly competent in Vendor Management. Those familiar with Procurement tend to be well versed in Contract Negotiation, Vendor Management, and Negotiation.
Pay by Experience Level for Purchasing Manager
Median of all compensation (including tips, bonus, and overtime) by years of experience.
Purchasing Managers with a lot of experience do not necessarily enjoy more money. Relatively untried employees who have less than five years' experience make $51K, but folks with five to 10 years under their belts enjoy an appreciably larger median of $63K. After working for 10 to 20 years, Purchasing Managers make a median salary of $70K. Individuals who report more than two decades of experience seem to make only slightly more than folks in the 10-to-20 year range; the more senior group sees median earnings in the comparatively modest ballpark of $75K.
Pay Difference by Location
With a pay rate for Purchasing Managers that is 26 percent greater than the national average, New York offers a comfortable salary for those in this profession. Purchasing Managers can also look forward to large paychecks in cities like Chicago (+20 percent), Cincinnati (+15 percent), Atlanta (+12 percent), and Los Angeles (+11 percent). Those in the field find the lowest salaries in Miami, 16 percent below the national average. Below-median salaries also turn up in Dallas and Denver (7 percent lower and 3 percent lower, respectively).