Compensation Glossary
Welcome to ERI SalaryExpert's compensation glossary, your resource for commonly used terms, formulas, and phrases related to compensation.
Shareholder
In terms of corporations, a shareholder is an individual who owns shares (of stock) in a company. Ownership of shares of stock comes with the right to any dividends and voting rights in certain company matters (e.g., board of directors). A shareholder may also be an individual who owns shares in a mutual fund. Both may also be known as stockholders.
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Turnover
Midpoint Progression
Mean
Lead Pay Structure Policy
Lump Sum Merit
Salary Structure Change
Geographic Differential
Merit Increase
Pay Equity
Foreign Earned Income Exclusion
Standard Deviation
Mix
Defined Benefit Plans
Market Based Salary Increase Budget
Stock Option Incentive
Red Circle Rate
FICA
Market Index
Consumer Price Index (CPI)
Hours of Work
Coefficient of Determination
Cost of Living
Quartile
Job Family
Annual Incentive
Salary Grade
Range Penetration
General Salary Increase
Long-Term Incentive Plan
Linear Regression
Compensable Factors
Percentile
Demotion
Median
Compa-Ratio
Pay Grade
Job Evaluation
Market Pricing
Benchmark Job
Range Spread
Sales Compensation
Standard Error of Estimate
Range
Black-Scholes Model Z
Pay Range Overlap
Mode
Lead-Lag Pay Structure Policy
Aging Survey Data
Benchmarking
Defined Contribution Plans
Total Rewards
Restricted Stock
Year of Service
Broadbanding
Gender Pay Gap
Minimum Wage
Green Circle Rate
Step Rates
Cost of Labor
Shift Differentials
Works Council
Bonus
Salary Range
Internal Equity
Lag the Market
Individual Retirement Account (IRA)
Promotional Increase
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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