Compensation Manager Career
Considering a career as a Compensation Manager? Find out all you need to know to decide whether this career is right for you.
- What does a Compensation Manager do?
- How to become a Compensation Manager?
- What is a Compensation Manager's Salary?
- How does the future look for a Compensation Manager?
What does a Compensation Manager do?
A Compensation Manager's role is to create a compensation system that maintains an organization's supply of highly qualified and satisfied employees.
In order to successfully perform as a Compensation Manager, you must be up-to-date with current federal and state compensation policies, regulations and prevailing wage rates. You will need to become adept in analyzing statistical data and reports in order to create compensation plans that are competitive in your area.
You will gather information from many areas in order to first understand the moral of employees, and secondly, to create compensation and benefits plans that garner the highest quality work from your organization's employees.
The best Compensation Managers may not have educational backgrounds in psychology; however, they do have a firm understanding of a variety of individuals' motivations. Extracting quality work from employees is not a simple 1 to 1 ratio of quality to wage.
You will find yourself designing performance evaluation systems in order to gather the best data for creating reward systems such as payment plans based on performance. Systems will vary depending on where you live, the level of education of the employees as well as many other variables.
In conclusion, as a Compensation Manager your main objective is to help create and implement a compensation plan that will attract the highest quality employees, keep them motivated to perform and do this within a budget that allows your company to thrive.
How to Become a Compensation Manager?
Educational requirements may vary slightly depending on the company, the area you wish to work and your previous work experience.
The minimum educational requirement is the completion of a Bachelor's degree. The type of bachelor's degree can vary, but typically a degree in human resources or business will best prepare you for a career as a Compensation Manager.
If you are interested in becoming one of the higher paid Compensation Managers then you may wish to earn an advanced degree such as an MBA with an emphasis in Human Resources or a Master's degree with an emphasis in Management.
Beyond a quality education and development of skills necessary to succeed as a Compensation Manager, you will need to learn where to gain experience by finding a job. Organizations such as The Society For Human Resource Management (SHRM) is a great place for you to begin looking for career opportunities.
What is a Compensation Manager's Salary?
A Compensation Manager's salary can vary significantly depending on your level of experience, your level of acquired education and size of the company you work for.
The median salary* for a Compensation Manager is $74,800.
However, the top 10% of Compensation Managers are pulling in an average of $132,800.
In order to boost yourself to this level of success, you will need to perform highly, develop years of experience at a respectable company and lastly, earn yourself an advanced degree.
Request information from some of the top online schools in the United States. Online schools are becoming more popular for the working professional and are already highly respected in the business arena.
Click Here for more information.
* Source: The Bureau of Labor and Statistics for 2006
How does the future look for a Compensation Manager?
The future looks bright for Compensation Manager's in the United States. With increased global competition and a quickening pace of advancing technology, companies are looking for every advantage they can get when seeking to retain quality employees, attract new employees and to do this all within as little a budget as possible.
The U.S. Department of Labor believes between 2004 and 2014, Compensation Manager career opportunities will increase by 21% from 57,500 to 69,800.
And as the Baby Boomers begin to retire, there will be an even larger demand by employers seeking qualified candidates to fill Compensation Manager positions.
Go back to look at more Human Resource Careers.