Compensation Glossary
Welcome to ERI SalaryExpert's compensation glossary, your resource for commonly used terms, formulas, and phrases related to compensation.
Compensation Discussion and Analysis (CD&A)
The Compensation Discussion and Analysis is found in The Summary Compensation Table and provides narrative disclosure explaining all material elements of a company’s executive compensation programs.
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Works Council
Midpoint Progression
Hours of Work
Cost of Labor
Percentile
Median
Defined Benefit Plans
Compensable Factors
Black-Scholes Model Z
Quartile
Broadbanding
Market Based Salary Increase Budget
Bonus
Long-Term Incentive Plan
Turnover
Consumer Price Index (CPI)
Lead-Lag Pay Structure Policy
General Salary Increase
FICA
Gender Pay Gap
Lump Sum Merit
Internal Equity
Restricted Stock
Lead Pay Structure Policy
Job Evaluation
Benchmark Job
Job Family
Merit Increase
Promotional Increase
Shift Differentials
Sales Compensation
Pay Range Overlap
Step Rates
Defined Contribution Plans
Stock Option Incentive
Range Penetration
Pay Equity
Aging Survey Data
Red Circle Rate
Demotion
Geographic Differential
Total Rewards
Minimum Wage
Benchmarking
Pay Grade
Lag the Market
Salary Range
Mean
Salary Structure Change
Market Index
Annual Incentive
Compa-Ratio
Coefficient of Determination
Standard Deviation
Market Pricing
Range
Standard Error of Estimate
Mix
Green Circle Rate
Range Spread
Year of Service
Foreign Earned Income Exclusion
Individual Retirement Account (IRA)
Mode
Cost of Living
Linear Regression
Salary Grade
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Common Compensation Terms and Formulas - January 2026
Find commonly used compensation terms and formulas for your reference when planning compensation.
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About Us
ERI SalaryExpert was launched in 2000 by ERI Economic Research Institute to help organizations and individuals optimize salary planning. Our robust compensation management solution houses the global salary survey data and applications needed to design competitive and effective compensation structures. From benchmarking with reliable market data to analyzing geographic differentials and conducting pay equity analyses, our intelligent platform is an innovative way of merging integral salary survey data with efficient features, all in one system.
Learn More
Featured White Paper
Common Compensation Terms and Formulas - January 2026
Find commonly used compensation terms and formulas for your reference when planning compensation.
Ready to Streamline Your Compensation Strategy with Us?
Discover how our Assessor Platform can help you attract top talent, stay on top of market trends, and set your organization up for success, all in one platform.
Try a Free Demo
About Us
ERI SalaryExpert was launched in 2000 by ERI Economic Research Institute to help organizations and individuals optimize salary planning. Our robust compensation management solution houses the global salary survey data and applications needed to design competitive and effective compensation structures. From benchmarking with reliable market data to analyzing geographic differentials and conducting pay equity analyses, our intelligent platform is an innovative way of merging integral salary survey data with efficient features, all in one system.
Learn More