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16 Jun 2015 To determine compa-ratio, an employee's base salary is divided by the mid-point of the internal salary range for his/her position. For example, if For example, where do other companies or industries typically land? That's like asking the right employee-boss height ratio. Compa-Ratio: The ratio of an employee's actual salary (the numerator) to the midpoint of the applicable (the Identify the salary ranges for the positions for which you want to prepare comp-ratio calculations and establish the midpoint range. For example, if the starting The formula commonly used by compensation professionals to assess the competitiveness of is paid 25% below the industry average and is at the risk of seeking employment with competitors at a higher pay that is perceived equitable. 1, Compa-Ratio Calculation. 2. 3. 4, Compa-ratio is the ratio of an actual pay rate to the midpoint for the respective pay grade used for comparing actual rates of 8 Nov 2010 To figure out what your compa-ratio is, you take your salary and divide it by it's a little awkward to call up a potential boss and ask the salary range, In fact, it's yet another example of HR people who are trying to give the Definition . Salary Range Midpoints and Market Reference Points (MRPs) represent the market average pay for positions. An employee's salary compa-ratio 9 Aug 2012 Compa-ratio is a salary expressed as a percentage of the salary range midpoint or For example, you may average the median rates of pay from 2-3 salary Employers depend on ERC for this critical data for their business 21 Jul 2010 A compa-ratio measures the relationship between the salary of an employee or a position, and the midpoint of the pay range for that employee or position. 9 Jun 2007 Following is an example which demonstrates how to calculate an individual employee's compa-ratio. Let's say the market pay range for the
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