Additional Salary Assessor Topics (Listed Alphabetically)

To assist with planning or auditing pay for one position in multiple (branch) locations, the multiple location Geographic List table enables you to enter and view salaries for up to 500 areas for one position. On one table (or one printout report), you may view a listing of branch offices with ERI calculated salaries and compare your current pay practice to local market pricing.

Geographic Area

The Geographic Area column displays the selected local market. Double-click a cell in this column to access the Select Area dialog box.

10th Percentile

This column displays the 10th percentile (by default) for the specified geographic area, as well as the industry, size and salary planning date specified under Organization Data. The percentile may be changed by clicking on Customize Percentiles.

25th Percentile

This column displays the 25th percentile (by default) for the specified geographic area, as well as the industry, size and salary planning date specified under Organization Data. The percentile may be changed by clicking on Customize Percentiles.

Annual Salary

This column displays the Survey Mean/Median, or local market salary, for the specified geographic area, as well as the industry, size and salary planning date specified under Organization Data. See Customize Percentiles for possible adjustments.

75th Percentile

This column displays the 75th percentile (by default) for the specified geographic area, as well as the industry, size and salary planning date specified under Organization Data. The percentile may be changed by clicking on Customize Percentiles.

90th Percentile

This column displays the 90th percentile (by default) for the specified geographic area, as well as the industry, size and salary planning date specified under Organization Data. The percentile may be changed by clicking on Customize Percentiles.

Actual Annual Salary

The Actual Annual Salary for each position may be entered for direct market comparisons. See Pay Period for possible adjustments.

*Renter's Cost of Living

A local cost-of-living estimate is included to compare the relative cost of purchasing goods and services, as determined by the demand and supply of goods, services, and property in each area. See Data Background FAQ #8 for more information on how the ERI Renter's Cost of Living is calculated.

*Please note: This estimate is not intended to imply that cost-of-living differentials should be considered when setting local salary adjustments.

Also Note: The market pricing of pay (local wages and salaries) alone is generally considered the single relevant factor when hiring from the local workforce. There are certain situations, however, where local cost-of-living information may also be of interest to those who administer pay. These situations might include:

•Administering pay in areas where cost-of-living exceeds wages and salaries to the extent that it is difficult to attract, motivate, and retain workers even when paying at or slightly above "competitive target pay"

•Transferring employees, either temporarily or permanently, between areas with extremely different costs-of-living

•Administering pay nationwide with the intention of equalizing the "buying power" of all like positions' take-home pay. Buying power is defined as the inverse of cost of living. Cost of living is the cost of purchasing goods and services, as determined by the demand and supply of goods, services, and property. For example, if the cost of living is 10% higher in an area, the buying power is approximately 10% less in that area.

The local area cost of living reported in the Salary Assessor is based upon the ERI established spending pattern for an earner at the National Average and adjusted for each area. This cost-of-living value is calculated with the same methodology used in the Geographic Assessor and the default assumptions of the Relocation Assessor. These assumptions include: home rental of a square footage dictated by the earnings level, effective combined federal/state/provincial/local income taxes, consumables, transportation and health care costs.

Also Note: Like the Geographic Assessor, the cost-of-living calculations of the Salary Assessor is appropriate for comparing home rental situations only (either temporary relocations or permanent relocations of lower earners who are likely to be "renters" only). If a permanent relocation assuming home ownership is likely (as, for instance, in the relocation of management level personnel), please refer to the Relocation Assessor which allows for user-modifications to rent versus own, family size, home size, neighborhood selection, and other variables. The cost-of-living calculations of the Salary Assessor are not applicable to home ownership situations.

For definitions of terms, please see the Online Business Glossary and the Salary Assessor Methodology.

To Import an Area List

See Import Areas to the Geographic List

To Select Compensation Type

See Compensation Type

To Select Pay Period

See Pay Period

To Customize Percentiles

See Customize Percentiles

To Customize Years of Experience

See Customize Years of Experience

To Change the Organization Size (Revenue)