Annual Compensation Review
What you need to know
Sandia’s annual compensation review for non-represented employees takes place after year-end performance management reviews.
Managers review variable pay recommendations and may modify as needed.
Recommendations and final increases and awards must fit within the annual salary budget guidelines from the Department of Energy (DOE).
About the Annual Compensation Review Cycle
Each year, Sandia’s Compensation team analyzes external market data and internal employee pay across jobs to develop the annual Compensation Increase Plan (CIP) proposal, which is submitted to National Nuclear Security Administration (NNSA) for approval. The CIP establishes the budget available for annual base salary increases and variable pay – delivered through the Sandia Performance Incentive Plan (SPIP) and Management Incentive Plan (MIP).
Key Dates and Required Actions
Annual Compensation Review Timeline Delayed
The Annual Compensation Review timeline will be delayed. The Comp Tool will not open the week of November 24 as originally scheduled due to the recent government shutdown. Once the Compensation Increase Plan is approved, a revised timeline will be communicated.
These dates are subject to change; return to this page to stay informed about what’s happening and when. The timeline below reflects information for regular, non-represented employees.
| Date* | What’s Happening | Required Action |
|---|---|---|
| Sept. 30, 2025 | Compensation freeze file | Active employees in regular, non-represented jobs on this date will be included in the review. Base increases and variable pay awards will be based on the job title and salary as of this date. |
| Nov. 24, 2025, through 5 p.m. MST/4 p.m. PST Dec. 9, 2025 | Comp Tool Opens | Compensation review meetings occur. Managers make final compensation decisions in the Comp Tool. |
| Dec. 27, 2025 | Annual base increases are effective at the start of the pay period. | |
| Jan. 5, 2026 | Employee compensation notices for annual base increases and variable pay awards (Sandia Performance Incentive Plan and Management Incentive Plan) available for review and release by managers. | Managers should discuss compensation results with eligible employees by EOD Jan. 9. |
| Jan. 12, 2026 | Compensation notices are automatically released by the system to all eligible employees. | |
| Jan. 16, 2026 | Annual base increases and variable pay awards (SPIP and MIP) paid. Employees must be active, on-roll and in an eligible, non-represented position on Jan. 9. |
Resources
Check out the links below to learn more about your compensation opportunity and the annual compensation review process. You need access to Sandia’s internal web to view these resources. Also note, manager resources are available for review by managers only.
Please be advised that some links on this webpage lead to placeholder documents. These documents are being provided in advance. Check back regularly for the most current information and updates. Thank you for your patience and understanding.
- Comp Review 2025: Variable Pay Determinations in a Pay for Performance Framework
- Manager Guide to Conducting Compensation Discussions (2025)
- Manager’s Guide to Reviewing and Completing Compensation Recommendations (2025)
- Sandia Compensation Review Summary (MIP and SPIP) (2025)
- What’s Notable (2025)
- CIP Summary (2025)
- 2025 Compensation Review Training Part 1: Philosophies, Principles, and Practices (Recording)
- 2025 Compensation Review Training Part 2: Comp Tool (Recording)
- 2025 Compensation Review Manager Training (Slide Deck)
- 2025 Compensation Review HRBP Training (Slide Deck)
Please be advised that some links on this webpage lead to placeholder documents. These documents are being provided in advance. Check back regularly for the most current information and updates. Thank you for your patience and understanding.
Questions? Send questions to HR Solutions. Request a chat or call 505-284-4700.
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Quick Tip
Managers take note!
Go to manager resources for the tools you need to make your annual compensation recommendations, and complete the process through Sandia’s Comp Tool.