Compensation Glossary
Welcome to ERI SalaryExpert's compensation glossary, your resource for commonly used terms, formulas, and phrases related to compensation.
Reportable Event
More than one definition: 1) A term used in the United States that means an event indicating that a pension plan may be deteriorating financially, to the extent that the plan could be terminated. Events such as these have to be reported to the Pension Benefit Guaranty Corporation (PBGC). (2) An occurrence, the result of which is that a defined-contribution is materially changed or that a defined-benefit plan is changed materially. This event may be a change of formula, an acquisition or a divestiture.
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Stock Option Incentive
Shift Differentials
Consumer Price Index (CPI)
Pay Grade
Defined Contribution Plans
Black-Scholes Model Z
FICA
Lag the Market
Standard Deviation
Step Rates
Foreign Earned Income Exclusion
Linear Regression
Broadbanding
Mode
Promotional Increase
Market Index
Quartile
Hours of Work
Gender Pay Gap
Demotion
Salary Grade
Job Family
Compa-Ratio
Salary Structure Change
Sales Compensation
Salary Range
Individual Retirement Account (IRA)
General Salary Increase
Works Council
Total Rewards
Pay Equity
Lead Pay Structure Policy
Coefficient of Determination
Range Spread
Percentile
Range
Standard Error of Estimate
Market Based Salary Increase Budget
Defined Benefit Plans
Mean
Green Circle Rate
Midpoint Progression
Annual Incentive
Long-Term Incentive Plan
Red Circle Rate
Market Pricing
Turnover
Cost of Labor
Median
Range Penetration
Cost of Living
Benchmark Job
Year of Service
Minimum Wage
Restricted Stock
Pay Range Overlap
Internal Equity
Merit Increase
Compensable Factors
Benchmarking
Bonus
Mix
Lead-Lag Pay Structure Policy
Lump Sum Merit
Geographic Differential
Aging Survey Data
Job Evaluation
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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.
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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