Compensation Management Software

Compensation management software is a solution that streamlines compensation planning, automates bonuses and merit increases, and helps organizations create fair and competitive pay structures. It enables HR leaders to benchmark salaries, analyze pay equity, and efficiently manage compensation cycles in one integrated platform.

Paycor’s compensation management system helps HR leaders reduce administrative tasks, streamline approval processes, and make data-driven compensation decisions using analytics and benchmarking tools. It also helps attract and retain top talent while helping to ensure pay equity and maintaining compliance with labor standards such as the FLSA.

Paycor Analytics offers pre-built questions on compensation to help you analyze total spend vs. budgeted amount, spend across your entire organization, direct compensation breakdown, and pay equity. You can also compare compensation practices by department and analyze trends over specific time periods to determine if any adjustments need to be made as well as compare pay practices by gender to ensure you’re paying employees fairly and consistently. 

Compensation management software ensures fair and equitable pay by systematically analyzing compensation data to identify and address pay disparities across the organization. This allows HR teams take necessary corrective actions, ensuring fair compensation practices across diverse workforces. Paycor’s Compensation Planning enables organizations to implement transparent pay structures that help eliminate bias in compensation decisions.

Compensation management software provides a common platform for all stakeholders to input and review budgets, while built-in digital planning tools help organizations forecast future compensation expenses. Paycor’s Compensation Management solution helps leaders stay within budget, manage pay cycles, and conduct efficient approval processes, ensuring more informed decision-making for salaries bonuses, and other compensation elements.

Yes, compensation management’s scalable solutions are built to support business growth, accommodating an expanding workforce and increasingly complex data sets. Modern systems are future-proofed to grow with the organization, and as businesses grow, the software scales with them, allowing companies to adapt quickly to changing workforce needs.

Paycor’s compensation planning software provides access to market data and benchmarking tools that help you compare your pay rates against industry standards, geographic markets, and competitor organizations. The system also highlights pay gaps and identifies compression issues to ensure your compensation strategy attracts and retains top talent while maintaining internal equity and budget alignment.

Employee Compensation Report

Total Compensation Report

To see reports, hover over Reporting in the Paycor platform and type compensation into the search bar.

Yes. Compensation management software improves engagement and retention by helping to ensure fair, transparent, and competitive pay practices. It helps identify and address pay inequities, enables meaningful compensation conversations, and links compensation to performance.

HR Admins: Can configure and manage Compensation Planning events.

Managers: Options to view/complete Tasks & Notifications once the HR Administrator has assigned you a task to complete a recommendation.

Yes. The compensation management system integrates seamlessly with Paycor’s payroll and HR software, automatically pulling employee data, job information, and current compensation details. Approved compensation changes flow directly into payroll processing, eliminating manual data entry and ensuring accuracy.

Note: Integration with Paycor performance management also enables merit increases tied to performance ratings and organizational goals.

Managers. When you launch a plan, the managers of any employees included in the plan will receive a task to submit recommendations. 

Pay changes made through Compensation Planning will not kick off any workflows. Administrators can review all the changes before making them live.

By default, all employees in the company are included in the plan. You can select departments, specific hire dates or individual employees.

Pay changes made through Compensation Planning will not kick off any workflows. Administrators can review all the changes before making them live.

You can select a total dollar amount per manager or a target % of employees’ salaries. You can also set reviewer guidelines to limit the range of values that a manager can enter for an employee (Minimum %, Target %, Maximum %).