Compensation Glossary
Welcome to ERI SalaryExpert's compensation glossary, your resource for commonly used terms, formulas, and phrases related to compensation.
Slope
The slope of the line represents how much each unit change of the independent variable X changes the dependent variable Y. The slope (m) tells you how hard it would be to run up the straight line, i.e. how steep it is. The larger "m" is, the steeper the slope. A perfectly horizontal line has a slope of zero. A line that makes a 45-degree angle with its base has a slope of 1.
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Compa-Ratio
Market Pricing
Red Circle Rate
FICA
Turnover
Mix
Market Index
Coefficient of Determination
Aging Survey Data
Lead-Lag Pay Structure Policy
Restricted Stock
Foreign Earned Income Exclusion
Consumer Price Index (CPI)
Cost of Living
Linear Regression
Mode
Geographic Differential
Works Council
Quartile
Salary Grade
Defined Contribution Plans
Compensable Factors
Benchmarking
Annual Incentive
Year of Service
Lump Sum Merit
Gender Pay Gap
General Salary Increase
Minimum Wage
Job Evaluation
Midpoint Progression
Pay Range Overlap
Salary Range
Lead Pay Structure Policy
Pay Grade
Defined Benefit Plans
Broadbanding
Merit Increase
Standard Deviation
Lag the Market
Internal Equity
Market Based Salary Increase Budget
Salary Structure Change
Stock Option Incentive
Median
Hours of Work
Demotion
Green Circle Rate
Cost of Labor
Pay Equity
Shift Differentials
Bonus
Range Penetration
Range
Benchmark Job
Total Rewards
Standard Error of Estimate
Range Spread
Individual Retirement Account (IRA)
Promotional Increase
Percentile
Long-Term Incentive Plan
Step Rates
Sales Compensation
Job Family
Black-Scholes Model Z
Mean
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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