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Compensation Review Guide

Before you jump into Compensation (“Comp”) Review let’s look at some key aspects of the process.

What is Comp Review?

The Comp Review may have various components:

Base Salary

There are two types of salary increases:

  1. Merit increases consider an employee’s performance and market compensation data

  2. Promotion increases align pay with employee’s new promotional role

Target Incentive
  • Employees who are eligible for target incentive amounts will have their variable (e.g., commission) opportunity reviewed 

  • Not all eligible employees’ target incentive amounts will increase; factors considered are: performance, market data, and pay mix for the job 

Equity Grant (if applicable)
  • Equity grants may be awarded to employees being promoted, as well as those who meet the eligibility criteria and are in good performance standing.

  • Comp Reviewers will make equity grant decisions into the Equity Review (if applicable); they will be provided with recommended grant amounts based on type of equity grant (i.e., Promotion or Refresh) and job level.

What are the guidelines?

Base Salary Increases

  • Reward top performers – differentiate base salary increase amounts for high performing employees (e.g., allocate a greater % increase to recognize their performance).

  • Consider lower or no merit increase for employees who are new to the role and/or not yet meeting expectations of the role.

Equity Grants (if applicable)

  • Consider equity grants for employees being promoted as well as top performers.

  • Ideally, we want to differentiate the grants based on performance (e.g., a high performer gets a higher refresh grant amount than a lower performer in the same job).

Making Compensation Recommendations

  • Refer to the salary increase recommendations that may vary based on employees’ performance rating and market competitiveness (e.g., compa-ratio). Comp Reviewers will also need to factor in their budget.

  • For employees with less than 1 year of service, Comp Reviewers may want to factor in their tenure to provide a lower percentage increase than the guidelines.

Navigating Kamsa's Comp Review Tool

Compensation Budget

You will see your total available salary increases budget at the top right hand corner. 

As you enter proposed increases into Kamsa, the total amount used, as well as how much you have remaining (“Under/Over”) will auto-calculate. Each Comp Reviewer should stay within their allocated budget.

Base Salary Increases
  1. View the Recommended New Base Salary (Paid Currency) and enter the new base salary in the Proposed New Base Salary field for each of your employees. The market salary midpoint for each employee’s job is provided in Market Base Salary (Paid Currency) for your reference.

  2. View employees' Current Base Salary Compa-Ratio to see how they compare to market. A compa-ratio of 100% means that the employee is paid exactly at the market midpoint for their job. The competitive market range is considered a compa-ratio between 85% and 115%.

  3. After you enter Proposed New Base Salary (Paid Currency) in Kamsa, the New Base Salary Compa-Ratio will populate.

Equity Grants (if applicable)
  1. In the Equity Review tab of Kamsa, view the Recommended Options Grant and enter the Refresh or Promotion equity grant for each employee in the Proposed Grant Amount column.

  2. Enter any supporting details for grant amounts that differ from the Recommended Options Grant into the Comments field.