Setting the right salary is crucial for attracting and retaining top talent. A high volume of applications doesn’t always mean the right candidates are applying.
In the competitive Australian job market, offering a fair and competitive salary can make the difference between securing the ideal candidate and losing them to a competitor.
This guide walks you through how to determine salary using practical steps, data-driven tools, and real-world insights – including TalentVine’s Salary Guide Tool.
Before you dive into salary ranges, get clear on the role itself:
- Job Title and Description – Does the title reflect the actual responsibilities?
- Key Responsibilities – What will this person be accountable for daily?
- Required Skills and Experience – What’s essential vs. desirable?
A clear job scope allows you to benchmark the role accurately in the market.
2. Research Market Rates
Start with industry data – and skip the guesswork.
Use TalentVine’s Salary Guide Tool to compare average salaries for similar roles across location, industry, and experience level. It’s designed for Australian employers looking to stay competitive and informed.
You’ll also find recruiter fee benchmarks and time-to-hire stats to help shape your full hiring strategy.
3. Consider Internal Equity
It’s not just about what the market pays – it’s about fairness inside your business too.
Compare the proposed salary to what current employees in similar roles earn. Internal pay equity boosts morale and retention, and it helps you avoid awkward salary conversations later.
4. Factor in Total Compensation
Salary is important – but it’s just one part of the equation.
Consider the full package:
- Bonuses and Commissions
- Benefits (e.g. superannuation, insurance, wellness)
- Work-life balance perks like hybrid work or extra leave
Sometimes, a slightly lower base salary is balanced by higher overall value.
5. Adjust for Experience and Qualifications
No two candidates are the same. Be flexible within your range based on:
- Seniority
- Certifications or licenses
- Industry-specific expertise
This ensures you’re rewarding real value, not just filling a budget line.
6. Stay Legally Compliant
Double-check that the salary aligns with:
- Australian minimum wage laws
- Relevant modern awards or enterprise agreements
- Anti-discrimination and Fair Work standards
A quick review now can save major legal headaches later.
7. Document and Communicate Clearly
Once you’ve landed on a number:
- Write down why you chose the salary – this helps others like finance or hiring managers see the logic behind it.
- Explain the offer transparently – Be clear about the base, bonuses, benefits, and growth opportunities.
It sets the tone for trust and professionalism from day one.
Bonus: Get Help from Data-Driven Recruiters
When in doubt, ask the experts.
When you post a role on TalentVine, you can include a question for all recruiters to answer.
One of the most popular questions is asking them to suggest a suitable salary range based on similar roles they’re currently working on. It’s an effective way to crowdsource real-time salary benchmarking from industry specialists.
Whether you’re hiring in healthcare, finance, tech, or trades – you’ll find specialist recruiters who can advise on salary benchmarks and candidate expectations.
Plus, you can compare recruiter fees, reviews, and success rates before committing.
Ready to Hire Smarter?
Determining salary is just the start of building a high-performing team.
With TalentVine, you can go beyond job ads and spreadsheets.
Tap into a platform built for modern hiring – where transparency, data, and flexibility come standard.
Explore TalentVine today to make faster, smarter hiring decisions without the guesswork.
More insights: Check out our thoughts on what the future of recruitment might look like.
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Do you have a recruitment question?
Call or email our friendly customer service team to get an answer to your recruitment questions.
The post How to Determine Salary: A Practical Guide for Australian Employers appeared first on TalentVine.
