### Bureau of Labor Statistics U.S. Bureau of Labor Statistics

Compensation and Benefits Managers Summary
                        
            
                                                        
                                                                
                        
            
            
            
                            
                                                
                                                
                                                
                                                
            						
							
				                                                
                                            




            			compensation and benefits managers imageCompensation and benefits managers work in nearly every industry.							
						Quick Facts:     Compensation and Benefits Managers2023     Median Pay
            						$136,380     per year
										$65.57     per hourTypical Entry-Level Education
                                    Bachelor's degreeWork Experience in a Related Occupation
                                    5 years or moreOn-the-job Training
                                    NoneNumber of Jobs, 2022
                                    17,500Job Outlook, 2022-32
                                    2% (As fast as average)Employment Change, 2022-32
                                    400What Compensation and Benefits Managers Do
                                                
                        
                        
Compensation and benefits managers plan, develop, and oversee programs to pay employees.
            
                        Work Environment
                        
Compensation and benefits managers work in nearly every industry. Some work more than 40 hours per week.
            
                                                How to Become a Compensation or Benefits Manager
                                                
                        
Compensation and benefits managers typically need a bachelor’s degree and related work experience.
            
                        Pay
                        												                            																				    														The median annual wage for compensation and benefits managers was $136,380 in May 2023.									                                					
						
            
                        Job Outlook
                        						
												Employment							of compensation and benefits managers is projected to grow							 2 percent from 2022 to 2032, about as fast as the average for all occupations.
						About 1,100 openings for compensation and benefits managers are projected each year, on average, over the decade.
            			
            			 Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.
						State & Area Data
                       Explore resources for employment and wages by state and area for compensation and benefits managers.
            
            
						
                        Similar Occupations
                        
                                                    Compare the job duties, education, job growth, and pay of compensation and benefits managers with similar occupations.
            
            
                        More Information, Including Links to O*NET
                        
                                               
                        Learn more about compensation and benefits managers by visiting additional resources, including O*NET, a source on key characteristics of workers and occupations.
 What Compensation and Benefits Managers Do 
            

			Compensation and benefits managersManagers ensure that pay plans comply with federal regulations.			
Compensation and benefits managers plan, develop, and oversee programs to pay employees.
Duties
Compensation and benefits managers typically do the following:
Coordinate and supervise the work activities of staff
Set the organization’s pay and benefits structure
Monitor competitive wage rates to develop or modify compensation plans
Choose and manage outside partners, such as benefits vendors, insurance brokers, and investment managers
Oversee the distribution of pay and benefits information to the organization’s employees
Ensure that pay and benefits plans comply with federal and state regulations
Prepare a program budget and operate within that budgetAlthough some managers administer both the compensation and benefits programs in an organization, other managers—particularly at large organizations—specialize and oversee one or the other. However, all compensation and benefits managers routinely meet with senior staff, managers of other human resources departments, and the financial officers of their organization. They use their expertise to recommend compensation and benefits policies, programs, and plans.
Compensation and benefits managers may analyze data to determine the best pay and benefits plans for an organization. They may also monitor trends affecting pay and benefits and assess ways for their organization to improve practices or policies. Using analytical, database, and presentation software, managers draw conclusions, present their findings, and make recommendations to other managers in the organization.
***Compensation managers*** direct an organization’s pay structure. They monitor market conditions and government regulations to ensure that their organization’s pay rates are current and competitive. They analyze data on wages and salaries, and they evaluate how their organization’s pay structure compares with that of other organizations. Compensation managers use this information to maintain or develop pay levels for an organization.
Some also design pay-for-performance plans, which include guidelines for bonuses and incentive pay. They also may help determine commission rates and other incentives for sales staff.
***Benefits managers*** administer an organization’s employee benefits program, which may include retirement plans, leave policies, wellness programs, and insurance policies such as health, life, and disability. They select benefits vendors and oversee enrollment, renewal, and delivery of benefits to the organization’s employees. They frequently monitor government regulations and market trends to ensure that their programs are current, competitive, and legal.
 Work Environment
			Compensation and benefits managersCompensation and benefits managers coordinate the work activities of specialists in offices.			

	    
				
	
	
	
	
	
	
	    					 Compensation and benefits managers held about 17,500 jobs in 2022. The largest employers of compensation and benefits managers were as follows:
        Management of companies and enterprises
                22%Professional, scientific, and technical services
                16Insurance carriers and related activities
                12Government
                7Healthcare and social assistance
                6Compensation and benefits managers work in nearly every industry. Most of these managers work in offices.
Work Schedules
Most compensation and benefits managers work full time. Some work more than 40 hours per week. They may work more hours during peak times to meet deadlines, especially during the benefits enrollment period of their organization.
 How to Become a Compensation or Benefits Manager

			Compensation and benefits managersCompensation and benefits managers often start out as compensation, benefits, and job analysis specialists.			
Compensation and benefits managers typically need a combination of education and related work experience.
Education
For most positions, compensation and benefits managers typically need a bachelor’s degree in business, human resources, or a related field, such as social science or psychology.
Work Experience in a Related Occupation
Work experience is essential for compensation and benefits managers. Managers often specialize in either compensation or benefits, depending on the experience they gain in previous jobs. Managers often start out as compensation, benefits, and job analysis specialists. Work experience in other human resource fields, in finance, or in management is also helpful.
Licenses, Certifications, and Registrations
Although not required, certification gives compensation and benefits managers credibility because it shows that they have expertise. Employers may prefer to hire candidates with certification, and some positions require it.
Certification often requires several years of related work experience and passing an exam. Professional associations, including the Society for Human Resource Management, the International Foundation of Employee Benefit Plans and WorldatWork, offer certification programs that may be helpful for compensation and benefits managers.
Important Qualities
***Analytical skills.*** Compensation and benefits managers analyze data on wages and salaries and the cost of benefits, and they assess and devise programs that best fit an organization and its employees.
***Business skills.*** These managers oversee a budget, build a case for their recommendations, and understand how compensation and benefits plans affect an organization’s finances.
***Communication skills.*** Compensation and benefits managers direct staff, give presentations, and work with colleagues. With each of these groups, they must be able to clearly explain concepts and respond to concerns.
***Decision-making skills.*** These managers weigh the strengths and weaknesses of different pay structures and benefits plans and choose the best options for an organization.
***Leadership skills.*** Compensation and benefits managers coordinate the activities of their staff and administer compensation and benefits programs, ensuring that the work is completed accurately and on schedule.
 Pay

			



	
 
                                                     
            
    
                Compensation and Benefits ManagersMedian annual wages, May 2023Compensation and benefits managers$136,380  Operations specialties managers$136,170  Total, all occupations$48,060Note: All Occupations includes all occupations in the U.S. Economy.Source: U.S. Bureau of Labor Statistics, Occupational Employment and Wage Statistics
 

	
	



		
	
	
	
The median annual wage for compensation and benefits managers was $136,380 in May 2023. 


The median wage is the wage at which half the workers in an occupation earned more than that amount and half earned less. The lowest 10 percent earned less than $76,550, and the highest 10 percent earned more than $229,970.





		
	    					 In May 2023, the median annual wages for compensation and benefits managers in the top industries in which they worked were as follows:	
        Professional, scientific, and technical services
                $162,850Management of companies and enterprises
                152,320Insurance carriers and related activities
                137,480Healthcare and social assistance
                131,490Government
                106,390Most compensation and benefits managers work full time. Some work more than 40 hours per week. They may work more hours during peak times to meet deadlines, especially during the benefits enrollment period of their organization.
 Job Outlook

   
        
    
          
        
    
                Compensation and Benefits ManagersPercent change in employment, projected 2022-32Operations specialties managers11%  Total, all occupations3%  Compensation and benefits managers2%Note: All Occupations includes all occupations in the U.S. Economy.Source: U.S. Bureau of Labor Statistics, Employment Projections program
            
            
			 
	
	
	

			Employment				of compensation and benefits managers is projected to grow				 2 percent from 2022 to 2032, about as fast as the average for all occupations.
			
			About 1,100 openings for compensation and benefits managers are projected each year, on average, over the decade.
			
			 Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.
			Employment
	
			
Organizations continue to focus on reducing compensation and benefits costs, such as by introducing pay-for-performance and health and wellness programs. Organizations will need managers to evaluate and direct these compensation and benefits policies and plans.
However, organizations may contract out a portion of their compensation and benefits functions to human resources consulting firms in order to reduce costs and gain access to technical expertise. For example, to reduce administrative costs, organizations commonly use an outside vendor for processing payroll and insurance claims. These consulting firms automate tasks and operate call centers to handle employee questions, thereby reducing the need for compensation and benefits managers.
			

                        Employment projections data for     compensation and benefits managers, 2022-32
                Occupational Title
                        SOC Code
                        Employment, 2022
                        Projected Employment, 2032
                        Change, 2022-32
                        Employment by IndustryPercent
                        NumericSOURCE: U.S. Bureau of Labor Statistics, Employment Projections program**Compensation and benefits managers**
			11-3111
			17,500
			17,800
			2
			400
			Get data
 State & Area Data **Occupational Employment and Wage Statistics (OEWS)** The Occupational Employment and Wage Statistics (OEWS) program produces employment and wage estimates annually for over 800 occupations. These estimates are available for the nation as a whole, for individual states, and for metropolitan and nonmetropolitan areas. The link(s) below go to OES data maps for employment and wages by state and area. Compensation and benefits managers **Projections Central** Occupational employment projections are developed for all states by Labor Market Information (LMI) or individual state Employment Projections offices. All state projections data are available at www.projectionscentral.com. Information on this site allows projected employment growth for an occupation to be compared among states or to be compared within one state. In addition, states may produce projections for areas; there are links to each state’s websites where these data may be retrieved. **CareerOneStop** CareerOneStop includes hundreds of occupational profiles with data available by state and metro area. There are links in the left-hand side menu to compare occupational employment by state and occupational wages by local area or metro area. There is also a salary info tool to search for wages by zip code.
 Similar Occupations This table shows a list of occupations with job duties that are similar to those of compensation and benefits managers. Occupation
                Job Duties
                ENTRY-LEVEL EDUCATION
                2023     MEDIAN PAY**Administrative Services and Facilities Managers**
            Administrative services and facilities managers plan, direct, and coordinate activities that help an organization run efficiently.
            Bachelor's degree
            $104,900**Compensation, Benefits, and Job Analysis Specialists**
            Compensation, benefits, and job analysis specialists oversee wage and nonwage programs that an organization provides to its employees in return for their work. They also evaluate position descriptions to determine details such as classification and salary.
            Bachelor's degree
            $74,530**Financial Managers**
            Financial managers create financial reports, direct investment activities, and develop plans for the long-term financial goals of their organization.
            Bachelor's degree
            $156,100**Human Resources Managers**
            Human resources managers plan, coordinate, and direct the administrative functions of an organization.
            Bachelor's degree
            $136,350**Human Resources Specialists**
            Human resources specialists recruit, screen, and interview job applicants and place newly hired workers in jobs. They also may handle compensation and benefits, training, and employee relations.
            Bachelor's degree
            $67,650**Labor Relations Specialists**
            Labor relations specialists resolve employee-management disputes and negotiate labor contracts.
            Bachelor's degree
            $89,980**Purchasing Managers, Buyers, and Purchasing Agents**
            Buyers and purchasing agents buy products and services for organizations. Purchasing managers oversee the work of buyers and purchasing agents.
            Bachelor's degree
            $77,180**Top Executives**
            Top executives plan strategies and policies to ensure that an organization meets its goals.
            Bachelor's degree
            $103,840**Training and Development Managers**
            Training and development managers plan, coordinate, and direct skills- and knowledge-enhancement programs for an organization’s staff.
            Bachelor's degree
            $125,040**Training and Development Specialists**
            Training and development specialists plan and administer programs that improve the skills and knowledge of their employees.
            Bachelor's degree
            $64,340
 Contacts for More Information
								
For more information about compensation and benefits managers, including certification, visit
International Foundation of Employee Benefit Plans
WorldatWork
For more information about human resources careers and certification, visit
Society for Human Resource Management



                                                
                                                        
                                                                                                    O*NET
                                        Compensation and Benefits Managers
 Suggested citation: Bureau of Labor Statistics, U.S.  Department of Labor, Occupational Outlook Handbook, Compensation and Benefits Managers, 
        	 at https://www.bls.gov/ooh/management/compensation-and-benefits-managers.htm (visited *May 21, 2024*).
 **Last Modified Date:**
                        Wednesday, April 17, 2024


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