Employee benefits manager vs compensation manager

The differences between employee benefits managers and compensation managers can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both an employee benefits manager and a compensation manager. Additionally, a compensation manager has an average salary of $100,119, which is higher than the $85,621 average annual salary of an employee benefits manager.

The top three skills for an employee benefits manager include customer service, HR and client relationships. The most important skills for a compensation manager are human resources, HRIS, and compensation policies.

Employee benefits manager vs compensation manager overview

	Employee Benefits Manager	Compensation Manager
Yearly salary	$85,621	$100,119
Hourly rate	$41.16	$48.13
Growth rate	2%	2%
Number of jobs	13,906	7,941
Job satisfaction	-	-
Most common degree	Bachelor's Degree, 67%	Bachelor's Degree, 71%
Average age	46	46
Years of experience	6	6

What does an employee benefits manager do?

An employee benefits manager is responsible for leading the human resources department in establishing the appropriate benefits package and compensation for the employees according to industry regulations and business requirements. Employee benefits managers facilitate the programs and orientations in sharing retirement plans, insurance policies, and other related packages across the organization. They also assist the employee benefits staff in resolving issues and handling disputes from employees' concerns. An employee benefits manager must have excellent communication and leadership skills, as well as extensive knowledge of the human resources practices to build recommendations that would support the employees' needs and welfare.

What does a compensation manager do?

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.

Employee benefits manager vs compensation manager salary

Employee benefits managers and compensation managers have different pay scales, as shown below.

	Employee Benefits Manager	Compensation Manager
Average salary	$85,621	$100,119
Salary range	Between $53,000 And $137,000	Between $71,000 And $139,000
Highest paying City	New York, NY	Sacramento, CA
Highest paying state	New Jersey	Massachusetts
Best paying company	DLA Piper	DLA Piper
Best paying industry	Finance	Technology

Differences between employee benefits manager and compensation manager education

There are a few differences between an employee benefits manager and a compensation manager in terms of educational background:

	Employee Benefits Manager	Compensation Manager
Most common degree	Bachelor's Degree, 67%	Bachelor's Degree, 71%
Most common major	Business	Business
Most common college	University of Pennsylvania	University of Pennsylvania

Employee benefits manager vs compensation manager demographics

Here are the differences between employee benefits managers' and compensation managers' demographics:

	Employee Benefits Manager	Compensation Manager
Average age	46	46
Gender ratio	Male, 31.7% Female, 68.3%	Male, 43.1% Female, 56.9%
Race ratio	Black or African American, 10.9% Unknown, 3.4% Hispanic or Latino, 9.8% Asian, 8.2% White, 67.2% American Indian and Alaska Native, 0.4%	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%
LGBT Percentage	35%	35%

Differences between employee benefits manager and compensation manager duties and responsibilities

Employee benefits manager example responsibilities.

Lead the RFP process to select a new global payroll provider; balancing the needs of all global stakeholders.
Create reports using SQL database and manage reports, perform from internet-base tools for research projects need for client insight.
Advise executive committee on design of benefit plans and compliance with applicable IRC and ERISA regulations and DOL guidelines.
Upload electronic data interchanges, for FSA, H.S.A , 403b , 457b.
Create and maintain updated ACA relate employer require reports.
Drive full replacement CDHP plans with HSA and wellness initiatives.

Compensation manager example responsibilities.

Implement and manage the company's HRIS/benefits system (HRB ADP system).
Manage and integrate multiple, non-communicating HRIS database systems.
Manage special projects, develop senior level presentations and handle communications on behalf of SVP
Perform EEO tracking and reporting.
Implement programs to ensure the hospital's full compliance with federal HIPAA policies.
Implement HIPAA requirements, which include all policies, procedures, and audits of work environment.

Employee benefits manager vs compensation manager skills

Common employee benefits manager skills

Customer Service, 13%
HR, 9%
Client Relationships, 6%
Senior Level Management, 6%
Due Diligence, 5%
Cross-Selling, 5%

Common compensation manager skills

Human Resources, 11%
HRIS, 6%
Compensation Policies, 6%
Compensation Practices, 5%
Customer Service, 4%
Base Pay, 4%

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Employee Benefits Manager
Employee Benefits Manager vs Compensation Manager

Updated January 8, 2025

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