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Payroll specialist: pay, job outlook and how to become one

Updated October 26, 2026. Based on U.S. Bureau of Labor Statistics and O*NET data. Published by Humblebee.

$58,260median pay per year, or $28.01 an hour, May 2025[1]
  1. $39,500lowest 10% earn less
  2. $47,99025th percentile
  3. $58,260median
  4. $69,60075th percentile
  5. $81,350top 10% earn more
Middle half of workers in the inner band[4]Median for all US jobs, $50,980[2]

Payroll and timekeeping clerks had a median pay of $58,260 a year, above the median for all occupations[1][2]. Employment is projected to fall 15.9% from 2025 to 2035[3].

Job growth, 2025–35
-15.9%[3]
Openings per year
11,400[5]
Typical entry education
High school diploma or equivalent[6]

How much do payroll specialists make?

The official BLS category is Payroll and Timekeeping Clerks. In May 2025, the median pay was $58,260 a year, or $28.01 an hour[1]. Half of workers earned more and half earned less[1]. The mean (average) was $59,630 a year, or $28.67 an hour[7]. The median for all occupations was $50,980[2].

The range was wide. The lowest-paid 10% earned less than $39,500 a year, and the highest-paid 10% earned more than $81,350[4]. BLS publishes percentile wages, not a starting salary[8].

Measure Annual Hourly
10th percentile[4][9] $39,500 $18.99
25th percentile[4][9] $47,990 $23.07
Median[1] $58,260 $28.01
75th percentile[4][9] $69,600 $33.46
90th percentile[4][9] $81,350 $39.11

These figures cover wage and salary workers, full time and part time. They leave out the self-employed and do not include nonproduction bonuses or the cost of benefits[10]. About 153,140 people held these jobs in May 2025[11].

Pay by state and city

The District of Columbia had the highest median annual wage at $74,670, followed by California at $65,340 and Washington at $64,560[12]. D.C. had only 270 jobs[12].

The most jobs were in California (20,590), Texas (13,220) and Florida (10,910), followed by New York (8,400) and Georgia (6,720)[13].

Among metro areas with at least 100 jobs[14], San Francisco-Oakland-Fremont, CA had the highest median at $80,510. San Jose-Sunnyvale-Santa Clara, CA came next at $77,950, then Santa Rosa-Petaluma, CA at $68,870[14]. New York-Newark-Jersey City, NY-NJ had the most jobs, 7,770, with a median of $63,500[15]. Los Angeles-Long Beach-Anaheim, CA followed with 6,600 jobs and a median of $65,040[15].

Show median pay in 50 states and DC
StateMedian per yearJobs
District of Columbia[12]$74,670270
California$65,34020,590
Washington$64,5603,560
Colorado$64,1402,580
Massachusetts$63,6703,280
New Hampshire$63,090800
Alaska$62,210360
Connecticut$62,2001,540
Hawaii$62,070700
Illinois$61,3905,580
Minnesota$61,3202,790
New York$61,0408,400
Oregon$60,9802,890
New Jersey$60,7504,290
North Dakota$60,600300
Georgia$59,9906,720
Maryland$59,7601,870
Rhode Island$59,370410
Wisconsin$59,3102,590
Virginia$58,2503,400
Nevada$58,2201,390
Maine$57,360590
Ohio$57,2705,820
Kansas$56,5901,400
Delaware$56,430320
Utah$56,4301,590
Michigan$56,1604,050
Pennsylvania$55,6905,170
Vermont$55,340270
Montana$55,040530
Nebraska$54,900910
Texas$54,09013,220
Iowa$54,0801,230
Missouri$54,0803,460
Indiana$53,7704,020
North Carolina$53,5503,630
New Mexico$53,230820
Kentucky$52,8901,670
South Carolina$52,2401,550
Wyoming$51,940160
Florida$51,91010,910
Idaho$51,790800
Tennessee$51,7803,680
Louisiana$50,8002,160
Arizona$50,2103,540
Oklahoma$49,9202,470
South Dakota$47,680370
West Virginia$47,460580
Alabama$46,1701,360
Arkansas$46,1101,220
Mississippi$45,1701,330

How to become a payroll specialist

Here is the typical path into the occupation[6]:

The training details come from a BLS profile called Financial Clerks, which covers payroll clerks together with other related occupations, so it describes a wider group[16]. That profile says these clerks typically need a high school diploma or equivalent and learn their duties on the job[17]. It lists communication, math and organizational skills as important qualities[18][19][20].

O*NET places the job in Job Zone Three, which it describes as needing medium preparation and some previous work-related skill, knowledge or experience[21]. The facts here do not give a training length in weeks or months.

What payroll specialists do

O*NET describes the work as compiling and recording employee time and payroll data. It may include working out hours, wages and deductions, or preparing paychecks[22]. Common tasks include:

Workers report titles such as Payroll Clerk, Payroll Coordinator and Payroll Specialist[24].

Where they work

The profile that covers this wider group of financial clerks says they are employed in many industries and usually work in offices[25]. It lists insurance carriers and related activities as the largest employer group, at 19%[26]. It also says most of these clerks work full time[27].

Job outlook

BLS projects employment to fall 15.9% from 2025 to 2035, from about 159,600 to 134,300 jobs, a drop of 25,400[3]. For all occupations, BLS projects growth of 3.5%[28]. BLS names automation as a factor: as more payroll and timekeeping work is automated, fewer workers are needed[29].

Even so, BLS expects about 11,400 openings a year on average[5]. Openings count more than new jobs. They also include spots left by workers who retire or move to other occupations[5]. Each year, 4.7% of workers leave the labor force and 4.8% move to a different occupation[30].

Is it a good fit?

The entry path asks for a high school diploma or equivalent and no related experience, with training on the job[6]. Median pay was above the all-occupations median[1][2]. The outlook is the main caution. Employment is projected to fall, and BLS points to automation[3][29]. Openings still run at about 11,400 a year, which include workers who leave or switch occupations[5][30]. The job suits people who are comfortable with records, math and keeping files organized[23][19][20].

Related occupations from O*NET, with BLS median pay and projected growth[31].

Frequently asked questions

How much does a payroll specialist make an hour?
The median pay for payroll and timekeeping clerks was $28.01 an hour in May 2025, and the mean was $28.67[1][7].
What education do you need to be a payroll specialist?
BLS lists a high school diploma or equivalent, with no related work experience and moderate-term on-the-job training[6].
Is payroll specialist work in demand?
Employment is projected to fall 15.9% from 2025 to 2035, though about 11,400 openings a year are expected[3][5].
What is the highest paying state for payroll specialists?
The District of Columbia had the highest median annual wage at $74,670, followed by California at $65,340[12].

Facts and sources

  1. BLS OEWS, May 2025: the median wage for Payroll and Timekeeping Clerks in the US was $58,260 per year and $28.01 per hour. Half of workers earned more and half earned less. BLS OEWS, May 2025
  2. BLS OEWS, May 2025: the median annual wage for all occupations in the US was $50,980. BLS OEWS, May 2025
  3. BLS Employment Projections: employment of Payroll and Timekeeping Clerks is projected to decline 15.9% from 2025 to 2035, from about 159,600 to 134,300 jobs (a change of -25,400). These counts include self-employed workers. BLS Employment Projections
  4. BLS OEWS, May 2025, annual wage percentiles for Payroll and Timekeeping Clerks: 10th percentile $39,500, 25th percentile $47,990, 75th percentile $69,600, 90th percentile $81,350. The 10th percentile means 10% of workers earned less. BLS OEWS, May 2025
  5. BLS Employment Projections: about 11,400 openings for Payroll and Timekeeping Clerks are projected each year, on average, from 2025 to 2035. Openings include jobs that open when workers retire or move to other occupations, not only new jobs. BLS Employment Projections
  6. BLS Employment Projections, typical path into Payroll and Timekeeping Clerks: education needed for entry: High school diploma or equivalent; work experience in a related occupation: None; typical on-the-job training: Moderate-term on-the-job training. BLS Employment Projections
  7. BLS OEWS, May 2025: the mean (average) wage for Payroll and Timekeeping Clerks was $59,630 per year and $28.67 per hour. BLS OEWS, May 2025
  8. BLS OEWS FAQ: a percentile wage is a boundary. The median (50th percentile) separates the highest-paid 50% from the lowest-paid 50% of workers in the occupation. OEWS publishes percentile wages, not a starting salary. BLS OEWS, May 2025
  9. BLS OEWS, May 2025, hourly wage percentiles for Payroll and Timekeeping Clerks: 10th percentile $18.99, 25th percentile $23.07, 75th percentile $33.46, 90th percentile $39.11. BLS OEWS, May 2025
  10. BLS OEWS FAQ: OEWS covers part-time and full-time workers paid a wage or salary. It does not cover the self-employed, owners and partners in unincorporated firms, household workers or unpaid family workers. OEWS wages do not include nonproduction bonuses or employer costs of benefits such as health insurance or retirement contributions. BLS OEWS, May 2025
  11. BLS OEWS, May 2025: about 153,140 people were employed as Payroll and Timekeeping Clerks in the US (wage and salary jobs, not counting self-employed workers). BLS OEWS, May 2025
  12. Median annual wage for Payroll and Timekeeping Clerks in every state with published data, May 2025 (table on this page). BLS OEWS, May 2025
  13. BLS OEWS, May 2025, states with the most Payroll and Timekeeping Clerks jobs: California 20,590; Texas 13,220; Florida 10,910; New York 8,400; Georgia 6,720. BLS OEWS, May 2025
  14. BLS OEWS, May 2025, metro areas with the highest median annual wage for Payroll and Timekeeping Clerks (areas with at least 100 jobs): San Francisco-Oakland-Fremont, CA $80,510; San Jose-Sunnyvale-Santa Clara, CA $77,950; Santa Rosa-Petaluma, CA $68,870; Santa Cruz-Watsonville, CA $68,380; Kahului-Wailuku, HI $67,740; Fort Collins-Loveland, CO $67,710; Boston-Cambridge-Newton, MA-NH $66,930; Seattle-Tacoma-Bellevue, WA $66,630. BLS OEWS, May 2025
  15. BLS OEWS, May 2025, metro areas with the most Payroll and Timekeeping Clerks jobs: New York-Newark-Jersey City, NY-NJ 7,770 (median $63,500); Los Angeles-Long Beach-Anaheim, CA 6,600 (median $65,040); Atlanta-Sandy Springs-Roswell, GA 4,260 (median $62,710); Chicago-Naperville-Elgin, IL-IN 4,170 (median $62,920); Dallas-Fort Worth-Arlington, TX 3,800 (median $60,230); Houston-Pasadena-The Woodlands, TX 3,260 (median $54,090). BLS OEWS, May 2025
  16. The BLS Occupational Outlook Handbook profile "Financial Clerks" covers Payroll and Timekeeping Clerks together with other related occupations, so its text describes the wider group. BLS Occupational Outlook Handbook
  17. Occupational Outlook Handbook, How to Become One. BLS Occupational Outlook Handbook
  18. Occupational Outlook Handbook, How to Become One: Important Qualities. BLS Occupational Outlook Handbook
  19. Occupational Outlook Handbook, How to Become One: Important Qualities. BLS Occupational Outlook Handbook
  20. Occupational Outlook Handbook, How to Become One: Important Qualities. BLS Occupational Outlook Handbook
  21. O*NET 43-3051.00: Job Zone Three: Medium Preparation Needed. Previous work-related skill, knowledge, or experience is required for these occupations. For example, an electrician must have completed three or four years of apprenticeship or several years of vocational training, and often must have passed a licensing exam, in order to perform the job. O*NET OnLine
  22. O*NET description of Payroll and Timekeeping Clerks. O*NET OnLine
  23. O*NET task list for Payroll and Timekeeping Clerks. O*NET OnLine
  24. O*NET 43-3051.00 sample job titles reported by workers: Payroll Assistant, Payroll Clerk, Payroll Coordinator, Payroll Representative, Payroll Specialist, Payroll Technician, Personnel Assistant, Personnel Technician. O*NET OnLine
  25. Occupational Outlook Handbook, Work Environment. BLS Occupational Outlook Handbook
  26. BLS Occupational Outlook Handbook, largest employers of financial clerks in 2025: Insurance carriers and related activities 19%. BLS Occupational Outlook Handbook
  27. Occupational Outlook Handbook, Work Environment: Work Schedules. BLS Occupational Outlook Handbook
  28. BLS Employment Projections: employment in all occupations is projected to grow 3.5% from 2025 to 2035. BLS Employment Projections
  29. BLS Employment Projections, factor affecting employment of Payroll and Timekeeping Clerks: Productivity change - share decreases as more payroll and timekeeping work is automated, reducing the need for these workers. BLS Employment Projections
  30. BLS Employment Projections, 2025-35 annual average for Payroll and Timekeeping Clerks: 4.7% of workers leave the labor force each year and 4.8% move to a different occupation. BLS Employment Projections
  31. Related occupations (O*NET) with BLS pay, growth and entry education. O*NET OnLine

Notes are for reading the data only. They are not facts and cannot be cited: use the wage_scope and percentile_meaning facts instead. OEWS employment (jobs in May 2025) and Employment Projections employment (2025, includes self-employed) are different measures and can differ. O*NET education shares come from a small survey of workers in the occupation, not from all workers. The Occupational Outlook Handbook text covers a wider group of occupations than this page.

This page includes information from the O*NET 31.0 Database by the U.S. Department of Labor, Employment and Training Administration (USDOL/ETA). Used under the CC BY 4.0 license. O*NET® is a trademark of USDOL/ETA. CareerFacts has modified all or some of this information. USDOL/ETA has not approved, endorsed, or tested these modifications.