What is the compa-ratio for an employee that earns $75,000 per year, but the midpoint for the role is $85,000 per year?
What is the compa-ratio for an employee that earns $75,000 per year, but the midpoint for the role is $85,000 per year?
The compa-ratio is calculated by dividing the employee's salary by the midpoint for the role. In this case, the employee earns $75,000 per year, and the midpoint for the role is $85,000 per year. The formula is: (Employee Salary / Midpoint) * 100. Therefore, the compa-ratio is (75000 / 85000) * 100 = 88 percent. This indicates that the employee’s salary is 88 percent of the midpoint salary.
The midpoint is actually $85,000 - but the answer is correct.