A salary range is an interval of pay for a position or job category, with a lower and upper amount. A posted range is not your agreed salary, a guarantee of its maximum, or an estimate of take-home pay. To check an offer or paycheck, identify the pay period, the job and location covered, and which compensation is included.
A useful comparison follows the records from the advertisement to the written offer and then to payroll. This guide includes original range calculations and selected California and New York transparency examples checked November 1, 2026. State rules are jurisdiction-specific; this is not a complete survey of every pay-transparency law.
What does a posted salary range tell you?
A posting might show an annual salary range, an hourly wage range, or several ranges for different locations or levels. Before comparing the numbers, confirm that you are looking at the same role, schedule, location, and pay basis.
Do not assume the top number is available for every applicant. Ask what distinguishes positions or candidates within the interval and whether the displayed range describes hiring pay or an internal pay structure. A company can use words such as “band,” “grade,” and “range” differently; the underlying terms matter more than the label.
| Amount | What it describes | Question to ask |
|---|---|---|
| Advertised range | Lower and upper pay amounts for the stated opportunity | Which location, level, schedule, and compensation components does it cover? |
| Agreed base pay | The salary or wage rate in the actual offer or agreement | What amount applies to me and when does it begin? |
| Variable compensation | Potential bonuses, commissions, tips, or other contingent pay | What conditions and payment dates apply? |
| Net pay | Pay after the actual payroll deductions | Which taxes, benefits, and other deductions affect this check? |
Our base-pay guide explains why base compensation differs from gross earnings that include extra pay. Neither amount is automatically the cash deposited into your account.
How do you calculate a midpoint and compare an offer?
Assume a fictional annual base-pay range runs from $52,000 to $68,000 for one position. The written offer is $58,000, with no other compensation included in these calculations.
- Width: $68,000 − $52,000 = $16,000.
- Arithmetic midpoint: ($52,000 + $68,000) ÷ 2 = $60,000.
- Offer above the minimum: $58,000 − $52,000 = $6,000.
- Position within the interval: $6,000 ÷ $16,000 = 37.5% of the distance from the minimum to the maximum.
This position calculation is not a percentile ranking of workers. It does not show that 37.5% of employees earn less, or that the offer is automatically fair or unfair. To evaluate the opportunity, you still need the job scope, qualifications, schedule, location, and actual offer terms.
An employer might use a market reference point when designing its pay structure, but you cannot infer that reference point simply by averaging two numbers in a posting. Ask whether any stated midpoint is an arithmetic midpoint or a separately defined compensation benchmark.
Does a pay range include bonuses, commissions, or benefits?
Read the posting and the applicable law. A base-salary range and an advertised total-compensation estimate are not interchangeable. Request a breakdown rather than assuming that a potential bonus or equity value is guaranteed cash pay.
For example, New York’s pay-transparency FAQs distinguish the advertised base-pay range from benefits and other compensation. Additional information can be listed separately. The agency also explains that fixed pay can be stated, while an open-ended amount such as “and up” does not satisfy its range requirement.
A useful offer comparison has separate lines for guaranteed base pay, contingent amounts, benefit costs, and payment conditions. Do not add an employer’s insurance contribution to the salary and then expect that combined amount as wages on each pay stub.
What do California and New York require in covered postings?
These examples show why location and employer coverage matter. They do not establish a nationwide posting rule.
California: check the pay scale and the scope of the position
The California Labor Commissioner’s Equal Pay Act FAQs explain that employers with 15 or more employees must include a pay scale in covered job postings. The agency interprets this to include positions that may be filled in California, in person or remotely. Its guidance also addresses employee counting and applicant or employee requests for a pay scale.
The agency defines the posting pay scale as a good-faith salary or hourly range the employer reasonably expects to pay upon hire. Check its current guidance for commission or piece-rate arrangements and other details; do not assume that every advertised “total compensation” figure is the required wage range.
New York: a good-faith range relates to the actual opportunity
New York’s pay-transparency guidance generally covers private employers with four or more employees for covered advertised job, promotion, or transfer opportunities. Geographic and reporting relationships affect coverage.
Its FAQs explain that the range must reflect what the employer genuinely believes it is willing to pay when posting. They address different locations or seniority levels, as well as good-faith revisions during hiring. A wide range should not be treated as permission to conceal the actual opportunity. If you think a posting violates a rule, preserve it and review the responsible agency’s process rather than relying on a general online summary.
How does the agreed salary connect to a paycheck?
Use the actual agreed rate, not the minimum, maximum, or midpoint from the advertisement. Confirm how payroll divides an annual salary and what dates the payment covers.
For example, assume the fictional $58,000 annual salary is paid in 24 equal semimonthly installments for a full year, with no unpaid time or adjustments. Each regular gross installment is $58,000 ÷ 24 = $2,416.666…, approximately $2,416.67 before payroll rounding and deductions. A monthly average is $4,833.33; that is not the amount of each semimonthly check.
Check the employer’s cent-rounding method against the annual total. Twenty-four rounded checks of $2,416.67 add up to $58,000.08, so payroll may allocate cents differently. This small arithmetic issue is separate from missing hours, a partial period, or an incorrect rate.
See semimonthly versus biweekly pay for the schedule distinction. A first check covering only part of a period can also differ; our prorated-salary guide explains why the applicable method must be checked.
What should you clarify before relying on the number?
- Pay basis: Is the amount annual, hourly, per piece, or a total-compensation estimate?
- Scope: Which location, level, and expected schedule does this range cover?
- Agreed pay: What specific rate is offered, when does it start, and where is it documented?
- Variable pay: What conditions apply to bonuses, commissions, equity, or allowances?
- Payroll timing: What are the pay frequency, first period, and any approved prorating rules?
- Review terms: Is there a written review process, or are future raises only a possibility?
A salary or job title also does not alone decide overtime eligibility. Review the DOL’s exemption overview and the actual duties, pay requirements, and applicable state rules. Do not use the top of a salary range as a substitute for that analysis.
Common questions about salary ranges
Does the maximum mean I will eventually earn that amount?
No. A maximum is not a promise of progression. Ask about the written pay-review process and any conditions that apply.
Is the midpoint necessarily the average pay of current employees?
No. An arithmetic midpoint comes from the two endpoints. It does not reveal actual employee pay or a market survey result.
Is a salary range my take-home pay?
No. It usually describes a wage or salary amount before deductions, as specified in the posting. Net pay requires the actual payroll calculation.
Can I compare annual and hourly ranges directly?
Only after stating the assumed hours and paid periods. Do not assume guaranteed hours, 52 paid weeks, or identical benefits without checking the terms.