Salary Band Builder
Turn market midpoints into min/mid/max pay bands, then see every employee's compa-ratio and who is under or over band.
Example scenario—not a forecast or verified benchmark. Enable JavaScript to edit inputs, view charts, save locally and export your analysis.
Example inputs
- Range spread (max vs. min)
- 40
- Pay position vs. market midpoint
- 100
- Levels and market midpoints
- [{"level":"L1 Associate","marketMid":45000},{"level":"L2 Specialist","marketMid":58000},{"level":"L3 Senior","marketMid":72000},{"level":"L4 Manager","marketMid":92000},{"level":"L5 Director","marketMid":125000}]
- Employees
- [{"name":"Coordinator A","level":"L1 Associate","salary":34000},{"name":"Specialist B","level":"L2 Specialist","salary":61000},{"name":"Senior C","level":"L3 Senior","salary":63000},{"name":"Senior D","level":"L3 Senior","salary":91000},{"name":"Manager E","level":"L4 Manager","salary":88000}]
Example results
3 of 5 employees are within band; 1 below minimum ($3,500/yr to fix) and 1 above maximum, with an average compa-ratio of 98%.
- Employees within band
- 3 of 5
- Annual cost to raise everyone to band minimum
- $3,500
- Average compa-ratio
- 98.1%
- Below band minimum
- 1
- Above band maximum
- 1
- Pay above band maximum
- $7,000
- Fix cost as % of payroll
- 1%
What stands out
1 employee below band minimum
Coordinator A ($3,500 short). Bringing them to minimum costs $3,500 a year and they are your highest flight risk.
1 employee above band maximum
Senior D ($7,000 over). Freeze base increases (use one-time bonuses) or review whether they belong in a higher level.
Average compa-ratio is 98%
Pay is centered on your midpoints overall.
Next actions
- Budget $3,500 to move the 1 below-minimum employee into band, phased over 1-2 review cycles if needed.
- Red-circle employees above max: hold base pay, use lump-sum bonuses, and document a path to the next level where it is warranted.
- Refresh market midpoints at least once a year; your bands are only as good as the 100%-of-market data behind them.
Model assumptions & limitations
- Band min = midpoint x 2 / (2 + spread) and max = min x (1 + spread), so the midpoint sits in the center of a 40% range.
- Default market midpoints are placeholders, not survey data. Replace them with current figures for your roles and location.
- Compa-ratio = salary / band midpoint. 'On target' is 90-110%.
- Base salary only; bonuses, commissions, and benefits are not included.