100 dollar bills fanned out Source: Shutterstock.

As the year waxes to a close, banks and credit unions across the nation are turning their attention to impending salary adjustments for the coming New Year. Staffing services, industry trade groups and consulting firms produce their annual salary guides to assist with the difficult task of gauging market competitive salaries, often charging a hefty fee for the results of their latest market surveys. Financial institutions gobble up these surveys as valid, research-based data upon which they can rely to justify company-wide salary adjustments. Unfortunately, a fatal flaw in these surveys makes their results dubious at best and may lead to inappropriate salary adjustments.

Virtually all compensation surveys conducted for the banking and credit union industries are based on the asset size of the institution. Any tenured banking professional knows that assets, i.e. the combination of loans and investments resulting from bringing in deposits, are easily acquired. Just offer 50 more basis points on a CD rate than your competitors, and watch the money flow in. It can sit as cash or a short-term investment while it waits to be turned into loan assets. Given the right amount of capital, an institution can grow its assets exponentially in a relatively short time.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?


© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dig Deeper


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2023 ALM Global, LLC. All Rights Reserved.