What is the Average Total Compensation?
Total compensation is the total amount of money an employer pays an employee for their services. It includes wages, salaries, bonuses, commissions, and other forms of remuneration. It is important to understand what the average total compensation is for a given job, as it can help you determine if you are being paid a fair wage.
The U.S. Bureau of Labor Statistics (BLS) recently released data showing that total employer compensation costs for civilian workers averaged $41.86 per hour worked in September 2022. This figure is up from $41.39 in September 2021, and is the highest average total compensation since the BLS began tracking the data in 2006.
The BLS also reported that total employer compensation costs for private industry workers averaged $40.37 per hour worked in September 2022. This figure is up from $39.90 in September 2021, and is the highest average total compensation since the BLS began tracking the data in 2006.
When looking at total employer compensation costs, it is important to note that wages and salaries account for the largest portion of the total compensation costs. In September 2022, wages and salaries accounted for an average of $32.81 per hour worked. This figure is up from $32.39 in September 2021, and is the highest average wages and salaries since the BLS began tracking the data in 2006.
In addition to wages and salaries, employers also pay benefits such as health insurance, retirement plans, and paid leave. In September 2022, benefits accounted for an average of $8.88 per hour worked. This figure is up from $8.50 in September 2021, and is the highest average benefits since the BLS began tracking the data in 2006.
When looking at the average total compensation, it is important to note that the figures provided by the BLS are averages and may not reflect the total compensation costs for a particular job. For example, the average total compensation for a CEO may be much higher than the average total compensation for a retail salesperson.
Overall, the average total compensation for civilian workers in September 2022 was $41.86 per hour worked. This figure is up from $41.39 in September 2021, and is the highest average total compensation since the BLS began tracking the data in 2006. It is important to understand what the average total compensation is for a given job, as it can help you determine if you are being paid a fair wage.