Salary Tools for Accountants Key Terms

Stay in check by focusing on accountant salary tool terms

By Jennifer Ehlenfeldt, Freelance Writer

Finding the right accountant salary tools to use is an important aspect of recruiting and retaining the best accountants possible. Without the proper tools and software, you could lose some of your best accountants to a firm that better understands compensation and salary options.

Look for salary tools to help you keep track of payroll, but don't forget about analytical tools that will help you keep track of accountant salary trends to determine what you should be paying your accountants. Review a few key terms associated with salaries and the software available for managing your payroll.

Salary range and median salary

Salary range is the basic pay scale from the minimum wage an employee receives to the maximum wage an employee with the same duties or position receives. The median salary is the salary amount calculated as the midpoint of that range.
Try: Berkeley human resources glossary defines the salary range. GradsOnline defines the median salary in its glossary of terms. The glossary also includes other salary tool terms.

Certified public accountant and certified management accountant

The certified public accountant, CPA, and certified management accountant, CMA, differ in several ways that may affect how their salaries are determined. The CPA is licensed, or certified, in the geographic area, while a CMA has gone through a more intense accreditation process by the Institute of Management Accountants and has educational and practical accounting experience.
Try: The certified public accountant and certified management accountant are defined at the NYSSCPA.org website.

Competitive compensation

Competitive compensation is a means of determining pay for accountants and other professionals. Salary is based on merit or productivity. While an accountant may have a base salary, that amount is adjusted based on the amount of accounts or business an individual brings in or handles.
Try: RSM McCladrey reviews the competitive compensation theory and explains how it works.

Attendance bonus

An attendance bonus is the compensation an employer rewards an employee with for never missing work. The compensation can be a one-time bonus, or a company can choose to award their employees each pay period, once a month or whenever they wish.
Try: Salary.com defines the attendance bonus.

Performance management tool

The performance management tool, PMT, is a type of software used to outline an accountant position duties, qualifications needed, skills and basic performance expected. The PMT is often used as part of a salary tool to outline job openings.
Try: The performance management tool is defined in an article at Rensselear.

Salary survey software

Salary survey software is software designed to keep a company up to date on the latest news and trends associated with industry-specific salary changes. Used as part of an accountant salary tool it can keep your salaries competitive with the company down the street.
Try: Read how salary survey software works at the Economic Research Institute.