There will probably come a time when you need to start thinking about growing and expanding your company. This is a very exciting time as it shows that you are bringing in high returns and profit, and that your business is certainly going places. In order to grow your business, you will need to take on more staff so that you can efficiently deal with an increased workload. Before you do start hiring for open positions, though, you will need to set some salaries for the roles. This is often a stumbling block for entrepreneurs as they are never truly sure how much they should pay someone to carry out the tasks and jobs associated with a certain position.
Setting your company salaries doesn’t always have to be tricky, though. Here are a few tips that can help you figure out the most competitive salary for each open position you need to fill.
Take Time Developing The Job Description
Firstly, it’s important that you write up a detailed job description for any open position. You can then use this alongside your Elmo HRMS software to help you find the best candidate for the job. Not only that, though, but this description should help you when it comes to the salary too. Your salaries need to be based on the skills and experience that are needed for the role – the detailed job description can give you an idea of just how skilled a job is and how much experience are needed. The more skills and experience, then the higher the salary should be.
Research The Average For Similar Positions
If you have a benchmark for your job’s salary, then this should give you something to go off. Every job will have an average price attached to it, and you can figure this out by researching how much other companies are offering for similar roles. This is extremely easy to do as you just need to look at online recruitment boards to get a quick idea.
Set Up A Company Salary Structure
It’s also important to already have an idea of how much you would raise someone’s salary by if they were to be promoted. Having a company wide pay scale in place will help you with this. You should set salary increments so that they are the same for everyone who works for you, regardless of their role in the business.
Consider The Perks You’ll Include
Every company needs to offer full-time employees financial perks and benefits, such as paid time off for holidays and sickness as well as pension and insurance plans. It’s up to you how big these perks are. Obviously, if you offer a very attractive set of perks, then it could give you some wiggle room to reduce the overall salary as most employees will be happy with these financial extras.
Hopefully, these tips will help you set the salary for all the positions you are currently recruiting for. Don’t forget that some applicants might try to negotiate with you, so it’s also wise to consider how high you’d go for them!