MARKETING • CREATIVE • DIGITAL
How to Determine a Salary Range for Your Team’s Open Position
You’ve gathered all of the skills and responsibilities you need to fill the gap on your team. Plus, you’ve determined a few extra things you’d love your next hire to possess. You’ve got a budget but you’re not quite sure what to pay this new hire. And, you’re wondering how to determine a salary range…
Deciding a salary range for an open position is no small task – especially if the role is brand new for your company or on your team. However, it would be frustrating to find the right candidate and offer them the role…only to be turned down due to unmet pay expectations!
Ensure your expectations for the role are in balance with the market value and are aligned with the candidate’s salary expectations. Check out the following tips:
Research Salaries for “Benchmark Jobs”
Salary.com recommends that employees utilize benchmark jobs to help determine their “market value.” They suggest employees find jobs that match at least 70% of skills and responsibilities. As an employer, you can utilize the same methodology when you’re writing a new job description and determine a salary range.
Consider the following elements as you research “benchmark jobs” on which to base your expectations of candidates:
- Job Responsibilities
- Skills Required
- Years of Experience
Note: Don’t emphasize titles or only utilize benchmark jobs with the same or similar titles. This is because titles can vary based on company size, industry, and company practices.
Consider Your Company’s…
Candidates are looking for certain things in their next employer in the same way that you’re seeking specific skills and qualities in your next hire. Candidates are weighing elements like how far they’ll be commuting, the potential for career growth opportunities, work/life balance, and other intangible benefits.
As an employer, you may need to consider what it is you can offer candidates besides a great job and compensation. For instance, if your preferred candidate wants a short commute but your location is further away, you may have to offer a higher salary, give more flexibility in work schedules, or offer more PTO.
Consider A Candidate’s…
- Professional Experience
- Soft Skills
Consider what is most important to you, your team, and your business. Is it essential that the new hire is a great cultural fit? Do they need to have outstanding customer service skills? Or, is it more important that they have specific software or industry experience? Pinpoint your top “must-haves” that align with your company’s success. If those requirements are in high demand, be willing to pay more for them.
Looking for more information about salaries? Learn the secret to successful salary negotiations in our post, 6 Tips to Negotiate Employee Salaries.
Visit The Ultimate Guide to Hiring Digital Talent page for more information about digital salaries!