Figuring out how much to pay your people is always a delicate balancing act. First, you want to offer enough that you attract the best and earn their loyalty; for example, PayScale’s 2015 Compensation Best Practices Report found that “seeking higher pay elsewhere” was one of the two top reasons employees might leave a company.
Determining employee salaries is tricky business when it comes to the health and growth of your small firm. On the one hand, nabbing and retaining the best and brightest talent possible can play a critical role in the future growth of your organization. On the other hand, bloated payroll can hinder the success of your business.