Salary benchmarking: What are the average salaries in India for top roles

Are you a hiring manager or a founder struggling to figure out what the average salary in India is for a role you are hiring for?

Well, you’ve come to the right place!

In this blog, you will get a clear understanding of multiple roles and what the industry standards are in terms of salaries for each of them.

We have done all the research so you won’t have to! So, let’s get right to it! In this blog, I have covered the following points…

• What is the average salary?
• Difference between average salary and median salary
• Why is salary benchmarking important?
• Factors affecting how to decide the salary of employees
• The average salary for different roles
  • Product manager  average salary
  • Software engineer average salary
  • Full stack developer average salary
  • Front end developer average salary
  • Back end developer average salary
  • Design engineer avreage salay
  • Product marketing average salary
  • Digital marketing average salary
  • Sales representative average salary
  • HR manager’s average salary
  • Recruitment specialist average salary
• FAQs

Download a compiled report of all top roles and their average salary in India 

 

What is the average salary?

Average salary for many job roles is reported by a variety of organisations and governmental bodies. This helps us understand the economy by assisting job seekers in salary negotiations and also assisting firms in remaining competitive in retaining employees.

The average salary, also known as the mean salary, is determined using all available salary information.

This data is also collated based on respondents’ reported earnings.

Definition of average salary

Average wage is essentially equal to the sum total amount of the employee salaries within the sample divided by the number of respondents. The average salary for everyone questioned is the outcome.

For one profession, industry, discipline, household, age, degree of education, or based on other factors, average pay data can be provided. It is crucial to keep in mind that anomalous readings could distort the average value.

Difference between average and median salary

The median and average incomes are both indicators of central tendency or the “middle of the market.”

In order to ensure that employees receive competitive pay while the company is still controlling overall costs, many firms set their employee pay goals at either the average or median rate.

However, understanding the reasons for the disparity between average and median salaries is also crucial because they can affect how your organisation decides to pay employees.

Average or mean salary

While we have already looked at the definition of average salary, let’s go through it in short again. By adding up all the salaries for a particular group of employees and then dividing the total by the number of workers in the group, you can determine the average base, mean, or average salary.

For example, in the month of January, A’s salary is Rs. 20,000/-, B earns 45,000/- and C gets paid 25,000/- for the month.

The average salary would be the sum of these 3 (A, B and C) divided by 3. So, (20,000 + 45,000 + 25,000)/3 = 90,000/3 = 30,000

So the average salary in this particular company which has 3 employees is Rs. 30,000/-

Median Salary

By ranking the salaries of a group of employees from lowest to highest, you can determine the median base salary.

How? By finding the wage that is in the middle of the distribution. As a result,  50% of the earnings will fall below the median and 50% of salaries rise above the median.

Let’s look at the same example as above, where A earns Rs. 20,000/-, B earns 45,000/- and C gets Rs. 25,000/- So, if you arrange the salaries in ascending order, first you have 20,000 then 25,000 ad then lastly 45,000.

So the midpoint or the middle value or median salary here is Rs. 25,000/-

Why is salary benchmarking important?

Now that we have looked at what the average salary is and what the median salary is, let’s understand why it is very important for companies to keep track of average salaries for various roles.

1. If you’re trying to figure out how much to pay a newly hired employee, knowing the average will give you a benchmark that you can work with.
2. You will be able to set competitive salaries for new hires based on industry trends.
3. The above factor is not just in the case of new hires. There is only so long before employees will lose interest in a firm if there is a competition, or several competitors, providing a better deal.
4. Salary benchmarking offers organisations unbiased and accurate salary-related information. This helps them make decisions that are effective, non-discriminatory, and possibly very beneficial to long-term business development and sustainability.
5. If you are aware of the average salary in the industry, you will also be able to judge if any applicant is asking for very high pay and hence avoid the chances of overpaying.

Factors affecting how to decide the salary of employees

One of the main topics of disagreement between employers and employees is compensation. Employees offer their services to the company; they give the organisation their time, effort, talents, and knowledge. The employer rewards employees for their dedication by paying them.

The amount of remuneration given to the employee depends on his competence, the type of work he does, and how much effort he puts in. In addition, a number of additional internal and external factors can influence compensation.

1. Law of demand and supply of labour

Without a doubt, the forces of supply and demand for human resources influence the choice of payment.

Employees with unique skill sets and knowledge acquired through experience are paid more than those with common skills that are widely in demand in the labour market. However, because of the government’s mandated minimum wage and salary levels in addition to employee unions’ bargaining power, the larger availability of potential employees for some jobs may not result in wage reductions below a floor level.

The vast majority of the available resources are not employable due to low talent and low skill, hence this component alone does not lead to reduced remuneration. Therefore, the law of demand and supply plays a small role among many other factors.

2. Cost of living

The cost of products and services rises as the cost of living does. It varies from region to region both within and between countries. The increases or decreases in pay are based on the (CPI) consumer price index, which calculates the average change in the cost of everyday items such as food, clothing, fuel, and healthcare services during a given time period.

Perks such as the Dearness Allowance, City compensatory allowances etc. are paid in order to maintain fairness among employees posted in various locations and to offset the rising cost of living.

3. Globalization

Higher pay levels have emerged as a result of globalisation in several economic areas. Large-scale changes in the remuneration structures of businesses across industries have been sparked by the advent of multinational corporations and mega-corporations.

Sectors like information technology, hospitality, biotechnology, electronics, financial services, and others are seeing a compensation boom.

4. Affordability and budget of the employer

Large conglomerates, international corporations, and organisations with a high-profit margin can afford to pay their employees more than other organisations. Additionally, the severe competition and sector-specific economic downturn could limit a company’s capacity to offer better pay.

5. Employee’s worth

In some companies, all employees receive time rates regardless of how well they perform. Meaning,  many situations, workers are compensated for simply being present at work rather than for their performance. However, a lot of businesses in the private sector use a performance based pay system.

The majority of the time, they conduct performance appraisals, which offer information for setting pay scales. It separates top performers from non-performers and low performers. Also, here factors such as employee’s level of education and years of work experience also come into play!

Click here to check out our salary structure free tool now!!

The average salary in India for different roles

Here, I have listed down average salaries and salary ranges for a plethora of roles that (SMEs) small and medium-scale enterprises/companies usually hire for.

These ranges are not set in stone but are a well-researched number that could serve as a guide for you. In addition, if have also mentioned the changes in salaries for changes in years of experience or certain other similar factors. So, let’s get right to it!

Product manager average salary in India

This is a highly technical role and calls for applicants and people who have very specific domain knowledge along with post-graduation degrees in management.

An employee in product management typically makes INR 16 LPA annually. This would amount to a take-home of about 1,33,000 Indian rupees a month.

The average income and compensation rates rise as experience levels do. The lowest (for new employees) frequently fluctuates around INR 7 LPA, while the maximum (for managers with 8-10 years of experience and/or an MBA/management degree) can go as high as 35 LPA. This range is really wide.

Let’s have a look!

Years of experience	Average salary	Salary range
1 – 3 years	9 LPA	7 – 12 LPA
3 – 5 years	15 LPA	10 – 17 LPA
5 – 8 years	17 LPA	16 – 20 LPA
8 – 10 years	25LPA	19 – 35 LPA

Software engineer average salary in India

On average, a software engineer draws an average salary of INR 5.8LPA. This would mean, on average, a take home salary of INR 48,000/- per month.

This is for someone with 0-2 years of experience. As experience goes up, the income levels and average salary too go up. While that is an average, the lowest (for freshers) usually tends to be around INR 3LPA and the highest (for software engineers with 5-7 years of experience) can go as high as 13LPA.

This is an extremely wide range. And how you set the salary for any software engineer you hire will depend on many of the factors that I had listed above.

Click here to check out and download a template of a software engineer’s job description 

The following is a well-researched report, and we have segregated the average salaries and ranges based on years of experience and area of specialization

Here, all salaries are mentioned in LPA i.e. Lakhs per annum

Full stack developer average salary in India

Average salary overall in India for a full stack developer is around 6 LPA. Below is a breakup based on the level of experience you want in a candidate

Years of experience	Average Salary	Salary range
0 – 1 years	4 LPA	4 – 7 LPA
1 – 4 years	5.9 LPA	5 – 10 LPA
4-7 years	9 LPA	8 – 12 LPA
7-10 years	10.2 LPA	9.5 – 14 LPA

Click here to check out and download a template of a Full stack developer’s  job description 

Front end developer average salary in India

A front-end developer in India typically makes approximately 5 LPA.

Years of experience	Average salary	Salary range
0 – 1 years	3.7 LPA	2.5 – 4.5 LPA
1 – 4 years	4.7 LPA	3.5 – 6 LPA
4-7 years	6 LPA	5 – 8 LPA
7-10 years	10.2 LPA	9.5 – 14 LPA

Back end developer average salary in India

Average salary overall in India for a back-end developer is around 5.5 LPA. Below is a breakup based on the level of experience you want in a candidate

Years of experience	Average salary	Salary range
0 – 1 years	4.5 LPA	3 – 6 LPA
1 – 4 years	5.9 LPA	4 – 7 LPA
4-7 years	9 LPA	7 – 13 LPA

Design engineer Salary in India

A design engineer in India typically makes approximately 5 LPA.

Years of experience	Average salary	Salary range
0 – 1 years	4.5 LPA	3 – 6 LPA
1 – 4 years	5.9 LPA	4 – 7 LPA
4-7 years	9 LPA	7 – 13 LPA

Click here to check out our blog on salary breakup and its rules in India now!!

Product marketing average salary in India

The average annual for product marketing professionals in India is 16 LPA, with salaries ranging from 6 Lakhs to 35 Lakhs. Below is a breakup based on the level of the experience you want in a candidate.

Now, while product marketers are people who are hired with experience, at the rare chance that you may hire a fresher, we have included that data too!

Years of experience	Average salary	Salary range
0 – 1 years	4.5 LPA	3.1 – 6 LPA
1 – 4 years	6.5 LPA	5 – 9 LPA
4 – 7 years	14 LPA	10 – 17 LPA
7 – 10 years	20 LPA	17 – 35 LPA

Digital marketing average salary in India

A marketing employee makes INR 4.8LPA on average a year. This would equate to a take-home pay of approximately INR 40,000. Someone with 0–2 years of experience should receive this.

The average salary increase along with experience levels. Even while the figure is an average, the lowest (for new hires) often hovers around INR 3.5LPA, and the highest (for marketers with 5-7 years of experience) can go as high as 17LPA. This range is really broad. And many of the things I had stated above will affect how you determine the wage for every software engineer you recruit.

Click here to check out and download for free a template of a content writer’s job description 

Below is a breakup based on the level of experience you want in a candidate.

Years of experience	Average salary	Salary range
1 – 3 years	4.5 LPA	3.1 – 6 LPA
3 – 5 years	6.2 LPA	5 – 8 LPA
5 – 8 years	7.8 LPA	6 – 12 LPA
8 – 10 years	15 LPA	10 – 19.5 LPA

Sales representative average salary in India

On average, a sales representative makes around 2.2LPA. This basically means, that on a monthly basis, a sales representative’s average salary is in the range of Rs. 18,000/- to Rs. 24,000/-

It is important to understand that this is an industry average for sales representatives that you are hiring as freshers. The number will go up in two scenarios…

1. When you get sales representatives that are more experienced.
2. If you are hiring in an industry which requires high technical knowledge such as SaaS and IT products.

Click here to download a template of a sales representative’s job description 

Years of experience	Average salary	Salary range
0 – 3 years	1.2 LPA	0.8 – 2 LPA
3 – 5 years	2.5 LPA	2 – 3 LPA
5 – 7 years	3.5 LPA	3 – 4 LPA

HR manager average salary in India

A HR manager typically earns 7 LPA on average. This simply indicates that a sales representative makes an average income of around Rs. 58,000/- every month.

However, the lowest an HR manager earns in India is around 40,000/- a month. Considering this is a managerial role, the salaries could go as high as 20-24LPA in case an applicant has a post-graduation degree in HR or has an MBA from a good B-School!

Click here to download a template of an HR manager’s job description 

Years of experience	Average salary	Salary range
1 – 3 years	5 LPA	4 – 6 LPA
3 – 5 years	7.5 LPA	6 – 10 LPA
5 – 8 years	15 LPA	9 – 18 LPA
8 – 10 years	20 LPA	17 – 24 LPA

Recruitment specialist average salary in India

With less than one year of experience to as much as nine years, recruitment specialist salaries in India range from 2 lakhs to 9 lakhs, with an average yearly income of 4 lakhs.

Years of experience	Average salary	Salary range
0 – 3 years	3.5 LPA	2 – 5 LPA
3 – 7 years	4.9 LPA	4 – 6.5 LPA
7 – 9 years	8 LPA	6 – 9 LPA

You can also click here to download a template of a recruitment specialist’s job description 

Click here to check out our blog on salary breakup and its rules in India now!!

FAQ

 

Not to be considered as tax, legal, financial or HR advice. Regulations change over time so please consult a lawyer, accountant  or Labour Law  expert for specific guidance.