A compensation analyst works in Human Resources focusing on the analysis of employee salaries and benefits to ensure both are fair. The compensation analyst looks at each role and performs an analysis of similar positions both inside and outside of the company to determine the amount of pay a candidate should receive for their work. They provide the figures to upper management to budget for a new employee or plan their financial goals for the year. Their duties include meeting federal guidelines for worker’s compensation, building pay structures for their employer, and reviewing existing salaries.