– Fair Market Value Compensation Analysis
Your up-to-date remuneration
Fair market value (FMV) remuneration is the remuneration that the company would have to pay to a third party to perform the same work as that being valued. More precisely, it is the total remuneration in cash and profit that the company would pay for the work performed, including gross salaries and social security contributions actually paid and charged to company expenses. In this context, FMV compensation is an objective measure based on various factors which, when combined, provide a neutral and justifiable remuneration.
What we do
Why fair market value compensation analysis?
FMV compensation analysis can be used to determine the right salary when creating a new position, to determine the salary to be paid to an associate or new partner, or to evaluate your existing salary scale. It’s important to compare your company’s compensation with the current job market. Your compensation package and your offer are part of what makes your company attractive to present and future employees.
In some cases, FMV compensation analysis is also used in litigation or divorce cases. Your lawyer or notary may recommend that you carry out this exercise to support decisions or obligations of parties in a personal or professional separation situation.
The contribution of our team:
In this type of exercise, we observe and analyze several criteria when assessing the value of a salary. Among these criteria, we often consider the skill set required to do the job, the qualifications needed, the degree of responsibility, the tasks to be performed on a daily basis, and the working conditions under which the job must be performed.
Then we analyze the market to find comparisons and draw up average salary scales according to the criteria and their degree of importance, to give you the real picture on salary evaluation.