flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Buoyed by construction activity, architect compensation continues to see healthy gains

Architects

Buoyed by construction activity, architect compensation continues to see healthy gains

The latest AIA report breaks down its survey data by 44 positions and 28 metros.


By John Caulfield, Senior Editor | September 11, 2019
2019 AIA Compensation Report, Buoyed by construction activity, architect compensation continues to see healthy gains

Compensation for architects increased, in average, about 12% nationally from early 2017 to early 2019. Charts: AIA Compensation Report

   

The burst in construction spending over the past several years has been a boon to architectural firms, where as an industry payroll employment has grown by an average of 7,500 positions per year over the past six years. About 4,500 of that annual increase in staffing have been for architectural positions.

Demand for architects is reflected in the increased compensation that firms have been bestowing on hires and employees for recruitment and retention. In its latest Compensation Report, the American Institute of Architects (AIA) finds that average compensation across all architectural staff positions averaged in excess of $92,000 at the beginning of 2019, up more than 6% per year from early 2017 levels.

That increase, though, comes with a stinger: the last times architect salaries reached an increase of 6% per year—1999 and 2008—were either just prior to, or as the economy and the construction sector were entering, national economic downturns.

That being said, average architectural compensation has seen substantial growth beyond mere inflation over the past two decades. In 2019 dollars, average architecture compensation in 1990 was just over $70,000. The 12% increase over the past two years was twice the pace of growth in compensation for all workers in the U.S. economy, and 2.5 times the pace of all professional and related state, according to the Department of Labor’s Employment Cost Index.

 

Compensation gains for architectural staff have exceeded those for other workers.

 

The AIA Compensation Report is based on a national survey conducted by AIA and Readex Research earlier this year. Responses from 640 firms with 959 locations are broken down by 28 states, 28 metro areas, and 16 cities. The survey provides in-depth compensation information on 44 positions.

The survey finds wide ranges of compensation by metro and position. For example, the average base pay plus compensation for recent non-licensed graduates was $55,790 nationally. San Jose paid the highest ($65,900) and Pittsburgh the lowest ($45,800). However, the grads hired in San Jose were paying 38.5% of their compensation in rent, whereas in Indianapolis, rent consumed only 16.7% of their paychecks.

 

Architecture salary trends

Average architect salary increases during the last two years continued to be highest across senior- and executive-level staff. And salaries varied widely by company size. For example, the national average for the CEO/president position was $246,130. For firms with fewer than 10 employees, it was $170,436; for firms with 250 or more employees, $435,930.

The same pattern emerges for the Director of Design position: a $193,460 national average, $132,650 for the smallest firms, $235,200 for the largest. For a senior architectural staffer, the national average was $112,960, for smallest firms $82,170, and for the largest firms $128,660.

 

Architectural firms have been improving their employee benefits packages. 

 

Many positions, especially more senior architectural staff, continued to see an increase in the share of their salaries that is non-guaranteed (e.g., overtime, commissions, bonuses, incentive pay, profit sharing, retirement benefits paid, and other cash compensation) versus guaranteed (i.e., base pay). Managing principals now have the largest share of their salary as non-guaranteed pay compared with the other architecture/design positions, with the largest percentage point increase from 2017 in the share of non-guaranteed pay from 28% in 2017 to 42% in 2019.

 

Related content: Top 150 Architecture Firms for 2019

 

In general, firms are improving their benefits packages. Ninety-five percent of firms offer medical coverage to their employees, and 91% offer defined contribution retirement savings plans. Seventy percent offer paid time off for exams and other professional development. But only 41% offer paid parental leave.

Many firms report that in 2018 they encouraged diversity in hiring and actively engaged in steps to enrich their firms’ culture and retain employees throughout different life stages. For example, 36% conducted a salary equity assessment by gender and/or race, and 80% indicated that they have specifically hired, promoted, and/or mentored employees with diverse backgrounds.

Related Stories

| Jul 2, 2012

San Francisco lays claim to the greenest building in North America

The 13-floor building can hold around 900 people, but consumes 60% less water and 32% less energy than most buildings of its kind.

| Jul 2, 2012

Plumosa School of the Arts earns LEED Gold

Education project dedicated to teaching sustainability in the classroom.

| Jun 29, 2012

SOM writes a new chapter at Cincinnati’s The Christ Hospital

The 332,000–sf design draws on the predominantly red brick character of The Christ Hospital’s existing buildings, interpreting it in a fresh and contemporary manner that fits well within the historic Mt. Auburn neighborhood while reflecting the institution’s dedication to experience, efficiency, flexibility, innovation and brand.

| Jun 29, 2012

Benjamin Moore Paints announces new CEO

Robert S. Merritt comes to Benjamin Moore with over three decades of management experience in the restaurant and food preparation and distribution industries

| Jun 29, 2012

Guardian launches industry’s first glass visualizer for interior design

Online tool allows designers to explore the possibilities of glass.

| Jun 28, 2012

Federal applications of renewable energy

U.S. Army Fort Knox: Using the Earth for space heating and cooling. The U.S. Department of Energy’s (DOE) Federal Energy Management Program (FEMP) facilitates the Federal Government’s implementation of sound, cost-effective energy management and investment practices to enhance the nation’s energy security and environmental stewardship.

| Jun 27, 2012

HDR opens office in Beijing

The Beijing office is HDR’s second location in China; the firm’s other office is in Shanghai.

| Jun 27, 2012

KBE Building wins honor for Armed Forces Reserve Center

The construction phase was completed in just 16 months.

| Jun 27, 2012

SOM’s Baker receives honorary doctorate in engineering from Heriot-Watt University

Baker recognized for his career and influential contribution in the field of structural engineering.

| Jun 25, 2012

Living green wall planned for InterContinental Chicago

Project, with price tag of $2 million to $3 million, needs council approval.

boombox1
boombox2
native1

More In Category

Geothermal Technology

Rochester, Minn., plans extensive geothermal network

The city of Rochester, Minn., home of the famed Mayo Clinic, is going big on geothermal networks. The city is constructing Thermal Energy Networks (TENs) that consist of ambient pipe loops connecting multiple buildings and delivering thermal heating and cooling energy via water-source heat pumps.




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021