Manage All Aspects of Every Compensation Package

Retain top talent by helping your team understand there is more to their compensation than their base salary with HRSoft’s total compensation management software.
Total Compensation Management

Retain Talent with Better Budget Allocation

Reward high performers and retain top talent with HRSoft’s salary management capabilities.

Empower your organization to strategically allocate compensation budgets while ensuring competitiveness, fairness and alignment with business objectives.


Automate Bonus Calculation Processes

When you have various plan designs that need to fit your organization’s unique demographic, choose HRSoft for total compensation management.

Automate complex bonus calculations and facilitate review and leader discretion to ensure accurate, timely and fair distribution of bonuses aligned with your organization’s performance metrics.


Manage Future Financial Incentives with Ease

Retain key talent by offering future financial incentives, including long-term incentives and bonus deferrals.

HRSoft is a flexible solution for distributing and managing compensation awards over an extended period while remaining compliant and supporting various deferred compensation arrangements.


Ensure Fair Pay for Contributions & Performance

Ensure employees are compensated fairly for their contributions based on tenure and performance during their incentive period, including changes in jobs or areas of responsibility.

Establishing sophisticated proration rules helps to maintain equity and motivation among employees even as roles evolve.


Give Timely Rewards Outside of Regular Cycles

Promote a culture of recognition by rewarding employees for exceptional performance and contributions outside the regular compensation cycle.

This approach boosts morale and encourages continuous high performance and engagement throughout your organization.


Offer Short-Term Incentives for Dynamic Work

Implement, manage and optimize incentive programs that operate on shorter timeframes than traditional annual or quarterly programs.

HRSoft allows you to align more closely with real-time performance metrics and business objectives so you can adapt quickly to changing conditions and reward performance more dynamically.

Related Resources

Simplify Complex Compensation Strategies

Give your team the tools they need to make better compensation decisions from day one.

Frequently Asked Questions

Total compensation management is the strategic approach to managing all components of an employee’s compensation. This includes base salary, bonuses, benefits, stock options, retirement plans and other incentives. The goal of total compensation management is to ensure that all aspects of compensation are effectively integrated and aligned with the organization’s goals, thereby attracting, motivating, and retaining employees while maintaining cost-effectiveness.
Total compensation management software is designed to help organizations manage and streamline their compensation processes. This software typically includes features for salary planning, bonus distribution, benefits administration, and equity management. It provides analytics and reporting capabilities, enabling HR professionals, managers and other stakeholders to make data-driven decisions about employee compensation and to ensure compliance with regulatory requirements.

A typical compensation package includes:

  • Base salary or hourly wage
  • Bonuses or performance incentives
  • Health, dental, and vision insurance
  • Retirement plan options (e.g., 401(k) or pension plans)
  • Paid time off (vacation, sick leave, holidays)
  • Life and disability insurance
  • Employee assistance programs
  • Additional perks (e.g., gym memberships, tuition reimbursement, stock options)
An example of total compensation includes an employee’s base salary plus additional components such as health insurance, retirement contributions, bonuses, stock options, paid time off and other benefits. For instance, an employee might receive a base salary of $70,000 per year, a $5,000 annual bonus, $10,000 in health and dental benefits and $3,000 in retirement plan contributions, making their total compensation $88,000 annually.
To calculate total compensation, you sum all components of an employee’s pay and benefits package. For example, if an employee has a base salary of $60,000, a $4,000 annual bonus, $6,000 in health benefits, $2,000 in retirement contributions, and $3,000 worth of PTO, their total compensation would be $75,000. Next, select the appropriate incentive vehicles, such as stock options, restricted stock units (RSUs) or performance shares, based on the organization’s objectives and the desired impact on participant behavior. Establishing a fair and motivating vesting schedule is crucial to retaining talent, with longer vesting periods often used to promote loyalty. Communication is key throughout the process, ensuring that participants understand the plan’s structure, objectives and how their performance directly influences their rewards. The LTIP should be regularly evaluated and adjusted based on organizational performance and industry benchmarks. Also, collaborate with legal and financial experts to navigate regulatory and tax considerations.
A total compensation statement is a detailed document provided to employees that outlines the full value of their compensation package. This statement includes a breakdown of their base salary, bonuses, benefits, retirement contributions and any other perks. It aims to provide transparency and help employees understand the total value of what they receive from the employer beyond just their paycheck.
A total compensation strategy is a comprehensive plan developed by an organization to attract, motivate and retain employees through a well-rounded compensation package. This strategy considers the mix of base salary, bonuses, benefits and other incentives. It aligns with the organization’s goals and market conditions, ensuring competitiveness and fairness in compensation practices.
Total rewards is a holistic approach to employee value, integrating both tangible and intangible rewards. While total compensation includes all forms of monetary payment and benefits received by an employee, total rewards also include non-monetary components such as career development opportunities, work-life balance initiatives, recognition programs and a positive work environment.
Salary management is the process of administering and overseeing employee salaries within an organization. It involves establishing salary structures, determining pay scales, conducting market salary analyses, ensuring equitable pay practices and managing salary adjustments based on performance, tenure and market conditions. Effective salary management helps maintain internal fairness and external competitiveness, which supports your organization’s talent management goals.