Employee Compensation FAQs FY2026-2027
General Questions
The FY 2026-27 budget includes:
- July 1, 2026: Effective 7/1/26, eligible classified staff will receive a step pay increase if applicable, in alignment with the State of Colorado. Eligibility for a step increase is determined by years of service in the same classified job series.
- August 2026: A 2.5% across-the-board increase to the standard campus rate for graduate students on appointment is effective August 2026.
- January 1, 2027: Effective 1/1/2027, a 1% meritorious salary pool and a $15.9 million (equal to 2%) adjustment pool, for an effective total salary pool of 3%.
- This 3% salary pool is anticipated to be distributed as 2.5% across-the-board (ATB) for university staff and a 2.5% merit pool for faculty and research faculty (based on enrollment and revenue projections).
- The 0.5% adjustment targeted pool will be distributed as follows:
- University Staff: Targeted investment to support salary range progression adjustments for some University Staff
- Faculty: Targeted investment for equity/compression, structural adjustments, and to address market competitiveness
- Research Faculty: Targeted investment to support equity/compression, market competitiveness, and retention
- January 1, 2027: Effective 1/1/2027, a 2.5% across-the-board increase for temporary faculty contract by course rates requiring adjustment.
We recognize that these compensation adjustments differ from what was first proposed to the regents by our campus in February.
CU Boulder and the other campuses typically present proposed budgets to the regents at their February meeting each year based on enrollment and tuition projections for the following academic year.
Following the February meeting this year, the Joint Budget Committee during its April session made last-minute changes to compensation, limiting classified staff changes to the step pay increases and capping our non-resident undergraduate tuition increase at 3%. This meant CU Boulder had to re-evaluate compensation increases to align with the state budget and to ensure a balanced budget on our campus.
Units, colleges, and schools must have an approved employee recognition program to provide performance increases or bonuses outside of regular campus processes.
University Staff
The 2.5% compensation pool for university staff for 1/1/2027 will be an across-the-board (ATB) increase of 2.5% for employees rated as meeting expectations (3 rating) or above, from the 2025-26 performance evaluation cycle.
- The Regents approved the overall compensation framework for faculty and university staff, including a 1 percent meritorious salary pool and a $15.9 million (equal to 2 percent) compression, retention, and adjustment pool, for an effective total salary pool of 3 percent.
- At this stage, those approvals establish the total funding available, but not how it will be distributed.
- Campus leadership determined how the funds in the adjustment pool are allocated across employee groups and priorities.
Addressing compensation to remain competitive in the market is a priority for our campus, and we are taking a holistic, strategic, multi-year approach to these needs across all employee types to address market volatility during the COVID years, during which we lost ground.
As campus finance and HR leaders have analyzed different approaches to the 3% increase pool, applying one pool of 2.5% across the board for university staff has the greatest impact and is the best way to advance staff compensation via pay range progression.
This approach:
- Ensures eligible university staff employees benefit meaningfully from this year’s pool, as it results in a larger across-the-board increase for eligible university staff employees.
- Strengthens market competitiveness and reduces the risk of falling behind external salary trends.
- Supports movement through pay ranges for eligible university staff.
To be eligible for the 2.5% ATB increase effective 1/1/2027, university staff employees must meet the following criteria:
- Be in an active, regular (not temporary or working retiree) university staff appointment on the effective date (January 1)
- AND have a completed performance evaluation for the most recent performance cycle with a rating of meeting expectations or higher (3, 4, or 5)
- OR new hires effective on or before September 1 who were not eligible to participate in the most recent performance evaluation cycle must be meeting expectations in the role as confirmed by the hiring unit during the HR roster review process
- AND current employees with a transfer, promotion, or base pay increase effective on or before November 15 will remain eligible for an increase on January 1, if the above criteria are also met, unless specified otherwise in the terms of an offer letter, MOU, or addendum.
- New employees hired after September 1 are not eligible.
- Current employees with a transfer, promotion, or base pay increase effective after November 15 will not be eligible for the January 1 increase. Hiring units should plan the new salary for these appointments accordingly. Units should work with their PMC consultant on the timing of any occupied staff position changes.
- Temporary appointments (including working retirees) and limited-term appointments of 12 months or less are not eligible.
- Employees with a performance rating below meeting expectations (1 or 2 rating) are not eligible for the January 1 increase.
“ATB” is the abbreviation used for “across-the-board." This means the same rate (2.5%) applies to all eligible employees who are meeting performance expectations.
An increase that raises an employee’s continuing/ongoing salary is considered a “base-building” pay increase. A non-base building pay increase is temporary and has an end date.
Newly hired employees within the past four months should have already been hired at current market rates and are eligible for increases in future cycles, but not immediately after hire.
- Although different systems, classified staff and university staff jobs still have many similarities, more so than with faculty, and alignment between university staff and classified staff is desirable when possible. The state of Colorado is implementing an ATB increase for classified staff for the next two years.
- For Colorado’s Equal Pay for Equal Work Act, substantially similar positions need to be treated consistently with regard to pay. For university staff, substantially similar jobs exist across campus departments, colleges and schools, so a campus-wide consistent approach is required. For faculty, substantially similar work is discipline-based which tends to exist within a department or within a research project. This allows pay practices for faculty to be managed at the unit level, which is not the case for university staff. A consistent campus-wide approach for performance management for university staff is under review so that a performance-based process can be utilized more effectively again in the future once this work is completed.
- Classified staff pay increases follow a different cycle that aligns with State of Colorado personnel system laws and rules and the State of Colorado Partnership Agreement with the employee organization Colorado WINS. Classified staff typically receive pay increases on July 1 of each year (instead of January 1 for non-classified employees) when approved by the Colorado Legislature.
- Please review the Classified Staff Pay Increase FAQs. *
- Refer to the Classified vs University Staff Comparison Chart to learn more about these two different staff personnel systems.
Eligible employees will receive the increase in their January 2027 paychecks, which will be issued at the end of the month.
Eligible employees will receive a salary increase notification email during the fourth week of January. The email notification template will be provided in advance to each college, school, and division HR leader in advance for reference. Units may communicate their own messages of thanks or any other unit specific considerations in advance or as a follow-up to the centrally sent notifications.
Range progression refers to how an employee’s salary may move through their assigned salary range over time. CU Boulder’s compensation approach recognizes that employees may progress within their range as they gain experience, develop expertise, and continue contributing at their current level.
Salary ranges provide room for this progression while also allowing the university to respond to differences in experience, responsibilities, performance, market conditions, and other compensation considerations.
When salaries do not progress within ranges over time, experienced employees may remain relatively low in their salary ranges. At the same time, competitive labor markets may require the university to hire new employees at higher points within those ranges.
Targeted range progression adjustments are intended to support appropriate salary growth over time, better align salary placement with time in current level, and help reduce compression between experienced employees and newer hires.
The primary focus is University Staff employees who have spent several years at their current level but whose salaries have not progressed as far within their salary ranges based on their time in current level.
Time in current level and current position within the salary range are key factors used to identify employees for potential adjustments. Generally, employees with more time at their current level may be expected to have progressed farther within the salary range.
Specific eligibility criteria, current salary placement, and available funding will determine the adjustments that can ultimately be made.
A promotion or move to a different level typically begins a new period of range progression. This means time in a previous position or level does not count toward time in current level.
Your previous experience is valuable and may have been considered when your salary was established. For this initiative, however, range progression is based on the time you have spent in your current position and at your current level.
No. Range progression increases are not automatic or guaranteed to occur each year. They depend on available funding, university compensation priorities, and an employee’s salary placement within their range.
Affected employees will receive information about their individual salary adjustment and effective date through the university’s established compensation communication process.
Faculty, including Research Faculty
The 2.5% compensation pool for faculty and research faculty for 1/1/2027 will be a merit exercise influenced by performance rating and allocated by the unit based on their current salary procedures.
To be eligible for a faculty merit increase effective 1/1/2027, employees must meet the following criteria:
- Be in an active, regular research faculty or regular faculty appointment on the effective date (January 1) AND
- Have a completed performance evaluation for the most recent performance cycle with a rating of meeting expectations or higher (3, 4, or 5) OR
- New hires effective on or before September 1 who were not eligible to participate in the most recent performance evaluation cycle must have a performance plan in place, if required by applicable campus guidelines, and will be assigned either a “Meeting Expectations” rating or NMS (No Merit Score) by the hiring unit on the merit roster. Assigning “Meeting Expectations” will allow the employee to receive a merit increase, and assigning NMS means the employee will be ineligible for a merit increase effective January 1.
- New employees hired after September 1 are not eligible.
- Current employees with a transfer or base compensation increase effective after November 15 will not be eligible for the January 1 increase. Hiring units should plan the new salary for these appointments accordingly.
- Employees transferring or receiving a base compensation increase effective on or before November 15 will remain eligible for a merit increase January 1, if all other eligibility criteria are also met.
- Employees with a performance rating below meeting expectations (1 or 2 rating) are not eligible for the January 1 increase.
- Temporary and working retiree employees, research affiliates, visiting researchers, and postdoctoral fellows are also not eligible.
The following faculty employees with an active appointment as of September 1 are eligible:
- Tenured and Tenure-Track faculty
- Teaching faculty on multi-year contracts
- Institute Directors
- Scholars-in-Residence (appointment more than 12 months)
- Artists-in-Residence (appointment more than 12 months)
- Research faculty (PRAs, Research Associates, Postdoctoral Associates, and Research Professors)
- Faculty in administrative appointments (tied to base salary as outlined in a letter of offer)
- Temporary faculty (see temporary faculty section)
- Working retirees
- Temporary and visiting researchers
- Research affiliates
- Postdoctoral fellows (job codes 1438 and 3201)
- Graduate student faculty (see Graduate Assistantships section)
Annual salary adjustments for faculty are merit-based and support current employees' salaries remaining competitive. Newly hired employees are eligible for merit increases in future cycles but not immediately after hire.
- For Colorado’s Equal Pay for Equal Work Act, substantially similar positions need to be treated consistently with regard to pay. For university staff, substantially similar jobs exist across campus departments, colleges and schools, so a campus-wide consistent approach is required.
- For faculty, substantially similar work is discipline-based, which tends to exist within a department or within a research project. This allows pay practices for faculty to be managed at the unit level, which is not the case for university staff. A consistent campus-wide approach for performance management for university staff is under review so that a performance-based process can be utilized more effectively again in the future once this work is completed.
Eligible employees will see these changes in their January 2027 end-of-month paychecks.
Eligible employees will receive a salary increase notification email during the fourth week of January. Units may communicate their own messages of thanks or any other unit-specific considerations in advance or as a follow-up to the centrally sent notifications.
Classified Staff
No, due to a challenging budget environment—including a projected $1.5 billion shortfall driven in part by federal funding reductions—the Joint Budget Committee did not include a cost-of-living adjustment (COLA) for state classified employees in the proposed Long Bill (state budget).
- The State of Colorado is continuing with the Step Pay Program, as outlined in the 2024 Amended Partnership Agreement in COWINS Article 31.6, which provides base salary increases to eligible State classified employees at certain milestone years. On July 1, 2026, eligible classified employees may receive an increase to the step pay rate for their July 1 job pay range based on total completed years in their current job series as of June 30, 2026.
- Please review the Classified Staff Step Pay Information web page for more information.
- The final July 1 pay rate for classified employees is rounded to the nearest whole dollar if full-time and to two decimal places if part-time.
- Updated FY26-27 classified staff pay ranges are available from the Colorado Department of Personnel & Administration (DPA).
- Classified staff and non-classified staff (university staff, faculty, students, etc.) are different personnel systems with different laws and policies that govern them.
- Classified staff positions are part of the State of Colorado personnel system and governed by a Partnership Agreement negotiated between the State and the classified staff union, Colorado WINS.
- Requirements for setting pay for classified employees are set by the state legislature, the Colorado Department of Personnel & Administration (DPA), and the Partnership Agreement.
- University staff, faculty, and student positions meet the criteria under state law to be exempted from the Colorado personnel system. As such, these positions are not classified staff and are not subject to the state of Colorado rules, procedures or Partnership Agreements that govern classified positions.
- Compensation for classified employees was approved by the Colorado Legislature in the 2026-27 Long Bill, and this does not apply to university staff, faculty, students, or other CU employee populations.
Updated FY26-27 classified staff pay ranges are available from the Colorado Department of Personnel & Administration.
Temporary faculty & graduate assistantships
A base-building, 2.5% across-the-board increase for temporary faculty contracts by course rates requiring adjustment will be effective January 2027. A 2.5% across-the-board increase to the standard campus rate for graduate students on appointment (in eligible job codes) is effective August 2026. Any stipend increases for graduate students in those programs will be determined at the departmental level with the approval of the Graduate School.
Contract by course faculty compensation schedules will be reviewed by units and adjusted as needed by 2.5% effective January 2027.
Eligible employees include temporary faculty who have an active appointment for the spring 2027 semester in the following jobs:
- Lecturer
- Teaching faculty (on a less than one-year, 12-month appointment)
- Scholars-in-Residence (on a less than one-year, 12-month appointment)
- Artists-in-Residence (on a less than one-year, 12-month appointment)
- Visiting faculty (on a less than one-year, 12-month appointment)
- Faculty Fellow (excluding administrative appointments)
- The 2.5% across-the-board compensation update will go into effect with the start of the academic year 26-27. Graduate students on appointment will not be receiving a 2.5% increase in January 2027.
- For information regarding graduate students on assistantship appointments, please see the Graduate School website for more details.
Graduate students on assistantship appointment in job codes 1502, 1503, 1505, & 1506.
Each department shall communicate the new temporary faculty contract rates and graduate student compensation directly with eligible employees in their respective areas following their usual notification processes.
Campus Minimum Wage
Effective 1/1/2027, the starting rate at CU Boulder will increase from $16.82 per hour to $18.17 per hour for student assistants. This move will allow the campus to make a vital investment in the stability of our workforce - stability that results in a more enriched and impactful student experience and that makes CU Boulder a more competitive employer.
The campus minimum wage for staff is currently $18.90/hour. Leadership will determine if this will change in 2027, and more information will be shared as decisions are made.
The campus starting rate will increase to $18.17 per hour for student assistants effective 1/1/2027.
The City of Boulder minimum wage is increasing to $18.17/hour effective 1/1/27. CU Boulder must pay at least the City of Boulder minimum wage.
The new campus starting rate applies to student assistant employees of the campus.
Campus funds will be allocated to budget model support units for general fund regular salaried staff and general fund students paid hourly. Schools and colleges receive the estimated general fund starting rate in July with their initial continuing budget. Other categories of employees will be funded by the hiring unit.
- By the end of January 2027, regular staff employees will receive notifications outlining their final January pay rate and how it was determined.
- Department HR Liaisons are responsible for notifying temporary and student employees of their new pay rates.
No, since this is a University initiative, the starting rate applies to all eligible positions.
- No, as with other starting rate increases, Employee Services will automatically increase the pay rate in HCM for any positions below the new starting rate.
- Additionally, campus HR will partner with Employee Services to upload all campus-wide pay increases effective January 1. Departments do not need to make these entries.
- For student assistants, if departments wish to increase the pay above the new starting rate, they will be responsible for making those adjustments.
- No, pay rates for new or active job postings in Avature (CU Boulder Jobs) will be updated as needed by the Human Resources (HR) Talent Acquisition (TA) team.
- Job postings maintained on sites outside of Avature (CU Boulder Jobs) will need to be updated by the hiring unit unless you are already working with the HR TA team.
No, not at this time. Departments may follow up with HR to review options for any specific impacts if needed.
HR & Payroll Questions
- Budget and Fiscal Planning, Human Resources and the Provost’s Office will coordinate these compensation increases and will work with System Employee Services to upload the new pay rates to HCM. HR Liaisons will be able to review compensation and confirm payroll after updates are entered into HCM.
- HR Liaisons should avoid making personnel actions effective or entering pay rate changes in HCM during the salary upload review and entry process.
Allocations for general fund employees are provided through the budget model design parameters. Departments with employees funded by other sources will need to self-fund the increases for those employees.
Division, college, and school HR leaders will review their employees scheduled to receive an increase in the campus budget tool. The timing and process for review depend on the type of employee increase.
An overview of the merit exercise process and timeline is updated annually and communicated by email with additional instructions to each college, school, and division. For research faculty, see the Research Faculty Performance web page.
Continuing Budget Calculations
Under the budget model, funding has already been allocated to schools/colleges for their merit pool. Merit and other general compensation changes will be funded by unit funds, as all tuition revenue is distributed in the model. Summaries will be provided by BFP to each school/college to show the calculated merit increases for the General Fund.
- Faculty: The merit pool will be calculated based on ending FY26 GF continuing budget for faculty. This pool will be allocated to the unit for faculty merit allocations.
- University Staff: The HR university staff roster will be used to determine the funding source(s) for each staff position in a support unit. Departments will review their roster utilizing the campus budget tool to determine whether General Fund funding is from the continuing budget or temporary budget. The final General Fund continuing budget will be applied to the merit increase amount provided by HR.
- Classified Staff: General fund classified salary and benefit budget is allocated on August business per the amount prepared by HR.
- Calculation: General Fund FTE per rosters * HR provided merit amount = General Fund Budget University Staff Salary Allocation.
- The associated general fund benefits will be allocated at the corresponding fringe benefit rate to the benefit budget account code.
- Schools and colleges receive a total revenue allocation each fiscal year through the budget model, which includes the estimated expenditure impact the merit pool. Merit and other general compensation changes funded through that revenue allocation, and no additional funding is provided to schools/colleges. Summaries will be provided by BFP to each school/college to show the calculated merit increases for the General Fund.
- For support units, the continuing budget for merit salary plus benefits for general fund employees will be transferred to the allocation speedtype in January 2027. Half of that will be pulled back as temporary budget reduction simultaneously.
Central campus will allocate the associated benefits budget for all general fund continuing salary increase allocations at the fringe benefit rate to support units. You can find fringe rate details here.
No, the department will need to identify funding for the merit increases for those employees not funded from continuing General Fund budget.
Research Faculty
Targeted Salary Equity and Compression Funding Guidelines for Research Faculty
Overview
Each school, college or institute may authorize salary increases equal to up to 0.5% of its total research faculty salary base. Units may utilize all, some, or none of the available authority based on documented need and sponsor allowability.
- Should be utilized for targeted salary adjustments rather than broad-based increases.
- Is separate from the 2.5% merit increase pool effective January 2027.
- There is no central campus funding associated with this program. Any approved salary adjustment must be supported by available funds in the applicable principal investigator's sponsored project account or other allowable unit-controlled funding sources, consistent with sponsor requirements and university policy.
- May be allocated to one or more individuals based on documented need and sponsor allowability.
Does not create an ongoing central funding commitment. Units must demonstrate the ability to sustain any increase through current and future sponsored project funding or other allowable funding sources.
The 0.5% targeted funding may be used for faculty whose salaries are primarily supported by sponsored projects, grants, contracts, and other funding sources through externally funded research activities. Research faculty job codes eligible for consideration:
- Research Professor series faculty (Assistant Research Professor, Associate Research Professor, Research Professor)
- Research Associates (RAs and Sr RAs)
- Professional Research Assistants (PRAs and Sr PRAs)
- Postdoctoral Scholars/Postdoctoral Associates (job code 1312 only)
Recommendations will be reviewed through the school, college, or institute's established process and approved by the dean or designee prior to implementation. The Central HR Research Faculty team will conduct a review of the proposed salary adjustments for eligibility and total pool calculation requirements.
Recommendations should demonstrate:
- Alignment with the targeted compensation purpose
- Consistent unit methodology
- Appropriate documentation and justification
- Financial sustainability
The 0.5% targeted compensation initiative is separate from the FY2026-27 merit process.
- Research Faculty remain eligible for merit increases through the regular process.
- Targeted salary adjustments may be awarded in addition to merit increases when justified.
- Units should not use targeted funding solely to supplement merit increases.
Oct.15, 2026 – Dec. 3, 2026
- Schools, colleges, and institutes conduct reviews and identify potential adjustments.
- Dean approval process is completed.
Dec. 4, 2026
- Final recommendations submitted in Anaplan.
Dec. 5, 2026 – Dec/ 23, 2026
- Central HR Research Faculty team review.
Jan. 1, 2027
- Approved salary adjustments are applied in HCM with merit increases. Notification letters will be issued to employees by the end of January detailing the merit increase and salary adjustment they received.
For salary adjustments to be successfully implemented, they must be submitted in the designated section of Anaplan by COB on December 4, 2026. Units are required to fill in the “Equity Compression Adjustment $” and the “Equity Compression Justification” columns on their Research Faculty Compensation Cycle Roster.
- A dollar amount must be used for the adjustment in the “Equity Compression Adjustment $” column.
- A brief justification explaining the adjustment must be included in the “Equity Compression Justification” column.
- Units are encouraged to use the same Anaplan data input process as used for merit allocations – spreadsheet upload or direct entry.
The 0.5% targeted compensation initiative is intended to help schools, colleges and institutes address documented salary equity and compression for research faculty whose salaries are primarily supported by sponsored projects and other external funding sources.
This is separate from the FY2026-27 merit increase process.
No, the 0.5% targeted initiative is separate from the 2.5% merit increase pool that supports the January 2027 merit increase process.
Eligible employees may receive both a merit increase and a targeted salary adjustment if the unit determines that both are warranted.
Eligible research faculty whose salaries are primarily supported through grants, contracts, sponsored projects, and other external funding sources include:
- Research Professors (all ranks)
- Research Associates (RAs and Sr. RAs)
- Professional Research Assistants (PRAs and Sr. PRAs)
- Postdoctoral Scholars and Postdoctoral Associates (job code 1312 only)
No, the targeted compensation adjustment process is not intended to provide across-the-board salary increases. Instead, it is available to address specific, documented compensation issues identified through a units review process.
Schools, colleges and institutes may use the funding to address:
- Salary equity
- Salary compression
Units must be able to provide a clear rationale for any recommended adjustment.
The 0.5% is based on the total of all eligible Research Faculty base salaries. Units may go up to 0.5% of that total, but not over.
Each school, college, or institute is responsible for establishing a review process and determining how the targeted compensation will be implemented.
The dean, director, or designee will review and approve recommended adjustments in accordance with the school, college, or institute's documented process.
Each school, college or institute may authorize targeted salary adjustments totaling up to 0.5% of its research faculty salary base. This authority does not include a transfer of central funds. Units are responsible for identifying available sponsored project funding or other allowable sources to support approved adjustments. The allocation must be used strategically to address identified compensation concerns.
No, each school, college, or institute must demonstrate that any approved salary adjustments can be sustained through future available funding sources. The targeted allocation does not create an ongoing commitment for additional central funding.
No, the 0.5% targeted compensation initiative provides schools, colleges, and institutes with authority to make targeted salary adjustments; it does not provide central campus funding to support those increases. Any adjustment must be funded through available sponsored project funds or other allowable unit resources and must comply with sponsor requirements and university policy.
Yes, schools, colleges, and institutes may authorize salary increases of up to 0.5% to address equity and compression, contingent on the availability of funds in the applicable principal investigator's sponsored project account and consistent with sponsor requirements. Because there is no central campus funding, units must ensure that both the initial adjustment and future salary commitments can be supported through available sponsored projects or other allowable funding sources.
Yes. postdoctoral scholars and postdoctoral associates in job code 1312 are eligible for consideration when the adjustment aligns with the unit's review criteria and available resources. As with all compensation increases, sufficient funding must be available in the applicable sponsored project account or other allowable funding source, and the adjustment must comply with sponsor requirements.
Yes, approved adjustments will be communicated with the annual merit increase notifications issued via email by the end of January 2027.
Approved targeted salary adjustments will become effective on January 1, 2027, concurrent with the FY2026-27 merit increase process.
Employees who receive an out-of-cycle increase effective 11/16/26 - 1/1/27 are ineligible for a merit increase and targeted compensation initiative. Employees who receive an out-of-cycle increase effective 11/15/26 or prior will retain eligibility. Units should plan this accordingly when requesting an out-of-cycle increase.