Explore jobs
Find specific jobs
Explore careers
Explore professions
Best companies
Explore companies
The differences between compensation managers and compensation directors can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both a compensation manager and a compensation director. Additionally, a compensation director has an average salary of $117,485, which is higher than the $100,119 average annual salary of a compensation manager.
The top three skills for a compensation manager include human resources, HRIS and compensation policies. The most important skills for a compensation director are human resources, healthcare, and HRIS.
| Compensation Manager | Compensation Director | |
| Yearly salary | $100,119 | $117,485 |
| Hourly rate | $48.13 | $56.48 |
| Growth rate | 2% | 2% |
| Number of jobs | 7,941 | 18,492 |
| Job satisfaction | - | - |
| Most common degree | Bachelor's Degree, 71% | Bachelor's Degree, 74% |
| Average age | 46 | 46 |
| Years of experience | 6 | 6 |
A compensation manager is primarily responsible for developing and establishing a company's payment scale and system, ensuring all employees are well-compensated while putting the company's welfare into consideration. Moreover, a compensation manager must ensure to distribute benefits and pay rate in adherence to the laws and regulations, identify the wage rate of competitor companies, monitor the budget, and oversee the payroll and payment processes, ensuring accuracy and timeliness. Furthermore, as a manager, it is essential to lead the team, all while implementing the company's policies and regulations.
A compensation director spearheads and oversees an organization or company's compensation programs, ensuring they adhere to state and federal standards. They primarily set objectives and guidelines among their staff, delegate responsibilities, facilitate research and assessments, and develop strategies to optimize compensation operations. They also lead the development of employee benefits, including salary structures, retirement plans, and insurance policies. Additionally, as a director, it is essential to empower staff to reach goals while implementing the company's policies and regulations.
Compensation managers and compensation directors have different pay scales, as shown below.
| Compensation Manager | Compensation Director | |
| Average salary | $100,119 | $117,485 |
| Salary range | Between $71,000 And $139,000 | Between $85,000 And $160,000 |
| Highest paying City | Sacramento, CA | Beaverton, OR |
| Highest paying state | Massachusetts | Idaho |
| Best paying company | DLA Piper | Milbank |
| Best paying industry | Technology | Professional |
There are a few differences between a compensation manager and a compensation director in terms of educational background:
| Compensation Manager | Compensation Director | |
| Most common degree | Bachelor's Degree, 71% | Bachelor's Degree, 74% |
| Most common major | Business | Business |
| Most common college | University of Pennsylvania | University of Pennsylvania |
Here are the differences between compensation managers' and compensation directors' demographics:
| Compensation Manager | Compensation Director | |
| Average age | 46 | 46 |
| Gender ratio | Male, 43.1% Female, 56.9% | Male, 53.8% Female, 46.2% |
| Race ratio | Black or African American, 11.2% Unknown, 3.4% Hispanic or Latino, 10.0% Asian, 8.4% White, 66.6% American Indian and Alaska Native, 0.4% | Black or African American, 11.1% Unknown, 3.4% Hispanic or Latino, 9.9% Asian, 8.3% White, 66.9% American Indian and Alaska Native, 0.4% |
| LGBT Percentage | 35% | 35% |