FAQs
Where can I find free tech salary benchmarks?
Free tech salary benchmarks are available on platforms like Glassdoor, job boards, and industry salary reports. These can give a rough market view but often lack data verification, context, and recency. Use them for early research, but the data isn’t reliable enough for setting salary bands or making competitive job offers.
How do companies benchmark tech salaries?
Companies benchmark tech salaries by comparing internal roles to external market data This involves matching roles and levels, selecting relevant peer groups, and analysing total compensation. The goal is to set salary bands, make competitive offers, and ensure pay aligns with current market conditions.
How often should tech salary benchmarks update?
Tech salary benchmarks should update frequently – ideally in real time or at least monthly. In fast-moving hiring markets, annual or quarterly data can quickly become outdated. Regular updates ensure your salary bands and offers reflect current market conditions, helping you stay competitive and avoid overpaying or losing candidates.
How do tech companies benchmark equity?
Tech companies benchmark equity by comparing stock options or share grants against market data for similar roles, locations, and company stages. This includes analysing equity ranges, vesting structures, and dilution impact. Equity benchmarks are typically sourced from specialised platforms that provide total compensation data, including salary, equity, and variable pay.
The best salary benchmarking platform for startups provides real-time, peer-group relevant benchmarks, including salary and equity benchmarks. Salary benchmarking tools like Ravio, Pave, and Carta are commonly used. Each differs in where its data is strongest, how the data is verified, and how accurately roles are mapped for like-for-like comparisons.
Compensation benchmarking tools for tech companies include real-time platforms like Ravio and Pave, and traditional survey providers such as Mercer, Korn Ferry, and Radford. The best platforms provide up-to-date, relevant, and usable benchmarks that reflect your specific hiring market (where you hire, the roles you’re benchmarking, and the companies you compete with for talent) – not broad or outdated salary data.
Are employee-reported salary sites reliable for benchmarking?
Employee-reported salary sites like Glassdoor are not fully reliable for benchmarking. The data is unverified, often outdated, and lacks context such as company size or compensation structure. While useful for directional insights, you shouldn’t use them to set salary bands or make compensation decisions.