Compensation Clerk in Texas Career Overview

As a Compensation Clerk, you play a vital role in the financial operations of an organization. Your responsibilities primarily revolve around collecting, verifying, and processing employee compensation data. This position is essential to ensure that payroll metrics are accurate, which directly impacts organizational efficiency and employee satisfaction.

Key aspects of your role include:

  • Data Management: You handle sensitive employee information, ensuring all compensation records are up-to-date and reflect the most current organizational guidelines.

  • Compliance: Staying informed about state and federal regulations related to employment and compensation is a significant part of your responsibilities. Your attention to detail helps the organization avoid legal complications.

  • Collaboration: You frequently work alongside HR personnel, accounting departments, and managers to facilitate a smooth payroll process. Your work ensures that all parties have the most accurate information regarding employee compensation.

  • Reporting: Generating reports on compensation trends and discrepancies is part of your job. This data helps in decision-making processes and assists management in financial planning.

  • Problem Solving: You address discrepancies in compensation records and payroll issues, resolving them efficiently to maintain trust within the workforce.

Your role is foundational to the financial health of an organization; accurate compensation processing not only ensures employee motivation and retention but also aligns with the organization's overall financial strategy.

Compensation Clerk Salary in Texas

Annual Median: $49,680
Hourly Median: $23.88

Data sourced from Career One Stop, provided by the BLS Occupational Employment and Wage Statistics wage estimates.

Required Education To Become a Compensation Clerk in Texas

To become a Compensation Clerk in Texas, you typically need to fulfill certain educational qualifications and training requirements. Here are the relevant college degree programs that can help you prepare for this career:

  • Human Resources Management and Services: This degree program focuses on the essential aspects of managing human resources, including compensation strategies, benefits administration, and labor relations.

  • Human Resources Management and Personnel Administration: This program provides a broad understanding of human resources functions, emphasizing personnel administration and compensation management.

  • Business Administration and Management: A degree in business administration equips you with foundational knowledge in management practices, financial principles, and organizational behavior, all of which are relevant for managing compensation effectively.

  • Business Administration: Similar to business administration and management, this program offers a comprehensive understanding of business operations, including essential skills in finance and management that are applicable to compensation roles.

  • Labor and Industrial Relations: This specialized program focuses on the relationship between employers and employees, exploring topics such as wage determination, collective bargaining, and compensation systems in various industries.

In addition to a degree, pursuing internships or entry-level positions related to human resources or compensation during your studies can be beneficial for gaining practical experience in the field.

Best Schools to become a Compensation Clerk in Texas 2024

University of Phoenix-Arizona

Phoenix, AZ

In-State Tuition:$9,552
Out-of-State Tuition:$9,552
Admission Rate:N/A
Graduation Rate:18%
Total Enrollment:88,891

Southern New Hampshire University

Manchester, NH

In-State Tuition:$15,000
Out-of-State Tuition:$15,000
Admission Rate:96%
Graduation Rate:41%
Total Enrollment:164,091

Western Governors University

Salt Lake City, UT

In-State Tuition:$7,404
Out-of-State Tuition:$7,404
Admission Rate:N/A
Graduation Rate:49%
Total Enrollment:156,935

Colorado Technical University-Colorado Springs

Colorado Springs, CO

In-State Tuition:$12,036
Out-of-State Tuition:$12,036
Admission Rate:N/A
Graduation Rate:20%
Total Enrollment:24,808

Grand Canyon University

Phoenix, AZ

In-State Tuition:$16,407
Out-of-State Tuition:$16,407
Admission Rate:78%
Graduation Rate:45%
Total Enrollment:101,816

Liberty University

Lynchburg, VA

In-State Tuition:$15,467
Out-of-State Tuition:$15,467
Admission Rate:99%
Graduation Rate:66%
Total Enrollment:96,709
Compensation Clerk Job Description:
  • Compile and record employee time and payroll data.
  • May compute employees' time worked, production, and commission.
  • May compute and post wages and deductions, or prepare paychecks.

Compensation Clerk Required Skills and Competencies in Texas

  • Attention to Detail: You must be meticulous in handling financial data and compensation records. Small errors can lead to significant discrepancies in payroll and financial reporting.

  • Analytical Skills: You should be able to assess compensation data and identify trends or discrepancies. This involves analyzing pay structures and comparing them with industry standards.

  • Mathematical Proficiency: A strong understanding of mathematics is necessary for calculating compensation figures, taxes, and benefits.

  • Organizational Skills: You need to manage large amounts of information, maintain accurate records, and keep track of various compensation data points. Strong organizational skills will help you work efficiently.

  • Communication Skills: You will often need to explain compensation policies and practices to employees or collaborate with HR and finance departments. Clear, concise communication is essential.

  • Technical Skills: Familiarity with payroll software, spreadsheets, and databases is important. You should be comfortable using various tools to manage and analyze compensation data.

  • Problem-Solving Skills: You must be able to address issues that may arise regarding employee compensation, such as disputes or errors. Critical thinking will allow you to find effective solutions.

  • Confidentiality: You will handle sensitive information related to employee compensation and must maintain discretion and uphold privacy standards.

  • Regulatory Knowledge: Understanding federal and state labor laws, tax regulations, and industry standards concerning compensation will enhance your effectiveness in the role.

  • Interpersonal Skills: Building and maintaining professional relationships within the organization is vital. You will work with a variety of personnel and should be approachable and collaborative.

Job Duties for Compensation Clerks

  • Compute wages and deductions, and enter data into computers.

  • Process and issue employee paychecks and statements of earnings and deductions.

  • Verify attendance, hours worked, and pay adjustments, and post information onto designated records.

Technologies and Skills Used by Compensation Clerks

Enterprise resource planning ERP software

  • Oracle PeopleSoft
  • Workday software

Presentation software

  • Microsoft PowerPoint

Time accounting software

  • Kronos Workforce Payroll
  • Kronos Workforce Timekeeper

Basic Skills

  • Listening to others, not interrupting, and asking good questions
  • Reading work related information

Problem Solving

  • Noticing a problem and figuring out the best way to solve it

Job Market and Opportunities for Compensation Clerk in Texas

The job market for Compensation Clerks in Texas is currently characterized by several key trends:

  • Demand for Compensation Clerks: There is a steady demand for Compensation Clerks across various industries as businesses continue to prioritize effective payroll and benefits administration. This role supports human resources and finance departments, ensuring accurate compensation data management.

  • Growth Potential: The Bureau of Labor Statistics projects a moderate growth rate for roles within the broader category of administrative support. As companies expand and evolve, the need for skilled Compensation Clerks to manage payroll systems and benefit calculations remains essential.

  • Geographical Hotspots:

    • Dallas-Fort Worth Area: This metropolitan region is home to numerous corporations, ranging from tech startups to established businesses, creating a rich landscape of job opportunities.
    • Houston: As one of the largest cities in Texas and a hub for the energy sector, Houston offers a wide range of employment positions for Compensation Clerks, particularly in industries such as oil and gas, healthcare, and manufacturing.
    • Austin: Known for its growing tech industry, Austin presents unique opportunities for Compensation Clerks in tech companies and startups looking to build competitive compensation packages to attract talent.
    • San Antonio: With a blend of military, healthcare, and tourism industries, San Antonio is another key area where Compensation Clerks are in demand, especially within public sector roles.
  • Emerging Trends: Alongside traditional job opportunities, new trends such as remote work and the integration of technology in payroll processing are influencing the market. Many organizations are adopting software solutions that streamline compensation management, which may expand the job roles into tech-adjacent fields.

These factors collectively shape the job landscape for Compensation Clerks in Texas, presenting a range of career paths and opportunities to explore.

Additional Resources To Help You Become a Compensation Clerk in Texas

  • U.S. Bureau of Labor Statistics (BLS)

  • Texas Workforce Commission

    • Access resources regarding employment trends, job training programs, and labor market information specific to Texas.
    • Texas Workforce Commission
  • American Society of Administrative Professionals (ASAP)

  • Society for Human Resource Management (SHRM)

  • National Association of State Personnel Executives (NASPE)

  • The Compensation Research Institute (CRI)

    • Offers research and analysis on compensation trends across various industries, which can be invaluable for understanding the market.
    • Compensation Research Institute
  • LinkedIn Learning

    • Explore courses on compensation management, payroll systems, and related skills that can enhance your qualifications as a compensation clerk.
    • LinkedIn Learning
  • PayScale

    • A resource for compensation data and salary analysis, allowing you to compare compensation packages across different roles and industries.
    • PayScale
  • International Foundation of Employee Benefit Plans (IFEBP)

  • Human Capital Institute (HCI)

These resources will provide you with valuable information and tools to enhance your knowledge and skills in the compensation clerk field.

Frequently Asked Questions (FAQs) About Compensation Clerk in Texas

  • What is the role of a Compensation Clerk?
    A Compensation Clerk is responsible for managing and processing employee compensation data, including payroll, benefits, and job classifications. You ensure that all information is accurate and up-to-date, facilitating compliance with relevant laws and regulations.

  • What qualifications do I need to become a Compensation Clerk in Texas?
    Typically, you will need a high school diploma or equivalent. Additional qualifications such as an associate degree in business administration or human resources can be beneficial. Familiarity with payroll systems and accounting principles is often preferred.

  • What skills are important for a successful Compensation Clerk?
    Key skills include attention to detail, strong mathematical abilities, proficiency in spreadsheet and payroll software, effective communication, and organizational skills. Understanding labor laws and regulations is also crucial.

  • What is the typical salary for a Compensation Clerk in Texas?
    Salaries for Compensation Clerks in Texas can vary based on experience, location, and the size of the organization. As of 2023, the average salary typically ranges from $40,000 to $55,000 per year.

  • Are there opportunities for career advancement in this field?
    Yes, there are opportunities for advancement. With experience, you may move into senior payroll positions, HR leadership roles, or specialized areas such as compensation analysis or benefits administration.

  • What kind of work environment can I expect as a Compensation Clerk?
    You will likely work in an office setting, either in a corporate environment or within a governmental agency. The work is usually performed during regular business hours, but some positions may require overtime during peak payroll periods.

  • How is the job market for Compensation Clerks in Texas?
    The job market for Compensation Clerks in Texas is generally stable, with a consistent demand driven by ongoing needs for payroll and compensation oversight in various industries.

  • What software or tools do Compensation Clerks commonly use?
    As a Compensation Clerk, you will commonly use payroll software like ADP, Paychex, or QuickBooks, as well as spreadsheet applications such as Microsoft Excel for data management and analysis.

  • What are the day-to-day responsibilities of a Compensation Clerk?
    Daily responsibilities typically include processing payroll, maintaining employee records, ensuring compliance with tax laws, assisting employees with compensation-related inquiries, and preparing reports related to employee compensation.

  • Is certification necessary to become a Compensation Clerk?
    While certification is not always required, obtaining credentials such as the Certified Payroll Professional (CPP) can enhance your qualifications and job prospects in the field.