"General manager" covers a lot of jobs. The Bureau of Labor Statistics counts 3.5 million people in the role, from a retail store manager to the leader running a 300-person division. So the national average tells an owner very little.
Start with which GM you're hiring. Then use the public numbers for your industry and metro, and build the package around how the job will be measured.
2 kinds of general manager
The GM of a location or division. They run one branch or plant, with its P&L and its team. They report to the owner or a COO. Most of the public data describes this job.
The GM who runs the company. In some owner-led companies, the GM runs the whole business while the owner steps back. That job is closer to a COO or president, and the pay should be too. Our COO compensation guide covers that range.
What general managers earn: the public numbers
BLS files general managers with operations managers. Its May 2025 figures for that group, across every industry in the US:
| 25th percentile | Median | 75th percentile | 90th percentile | |
|---|---|---|---|---|
| General and operations managers | $72K | $106K | $167K | $253K |
A GM who owns a full P&L at a company of 40 to 400 people is more likely to land in the top half of that range. The bottom half is full of smaller jobs with the same title.
The numbers also leave out year-end bonuses and profit sharing. For a GM who owns a P&L, that's where the package moves most.
GM pay by industry
The same BLS group, broken out by the industries we recruit in:
| Industry | 25th percentile | Median | 75th percentile |
|---|---|---|---|
| General contractors (building construction) | $79K | $123K | $177K |
| Civil and heavy construction | $97K | $134K | $198K |
| Specialty trades (electrical, plumbing, roofing and the like) | $77K | $105K | $156K |
| Engineering and architecture firms | $108K | $164K | $218K |
| Fabricated metal manufacturing | $89K | $127K | $173K |
| Machinery manufacturing | $101K | $143K | $206K |
| Services to buildings (landscaping, pest control and the like) | $60K | $83K | $119K |
In 5 of the 7 rows, the 75th percentile sits $50K or more above the median. Company size and the scope of the job explain most of that gap, and a public table can't show either one.
GM pay by metro area
All industries, May 2025:
| Metro area | 25th percentile | Median | 75th percentile |
|---|---|---|---|
| Birmingham, AL | $83K | $124K | $176K |
| Huntsville, AL | $88K | $136K | $202K |
| Nashville, TN | $79K | $120K | $171K |
| Atlanta, GA | $77K | $111K | $172K |
Birmingham's median is higher than Atlanta's. That's probably because Atlanta's count includes far more retail and branch managers, which pulls its median down. At the 75th percentile, the 2 cities are within $5K of each other.
If you're recruiting a GM from Atlanta or Nashville into Birmingham, expect them to compare total pay, bonus included, before they compare base.
What moves the number
Size of the P&L. A GM running $40 million in revenue and 200 people is a different hire from one running a $6 million branch. Price the job by the revenue and headcount they'll own.
Who they report to. A GM who reports straight to the owner and runs the business day to day carries more of the company's judgment calls. That costs more than a GM working inside a COO's playbook.
Industry experience. A GM who knows your trade can run a location from the first month. A strong operator from a nearby industry can cost less, and they'll take longer to earn the team's trust.
What they'd walk away from. The best GMs are busy running their own operations and aren't looking. The offer starts from their current total pay, including what their bonus actually paid.
Relocation. If you're opening a new market, your GM may be moving. Plan for the cost, and for a spouse who has to say yes too.
How to structure the package
Base salary. Set it from the data above and what you hear in your first conversations with candidates.
Annual bonus. Tie most of it to the P&L the GM controls, usually location profit or gross margin. Add a smaller piece for something you need fixed, like technician turnover or safety. Write down the formula, the target and the cap.
Long-term pay. For a GM you want for the next 5 years, a profit share or phantom equity that vests over 3 to 5 years gives them a reason to stay through a hard year. Have your CPA and attorney set it up.
The rest. A company truck or vehicle allowance is common for GMs who split their week between the office and the field. Count benefits and time off too, because the candidate will.
Before you make the offer
Ask what the candidate's bonus paid in each of the last 3 years. Plan for a counteroffer, and decide your ceiling before you pick up the phone.
The free offer worksheet at the top of this page lays your offer next to the candidate's current package, line by line.
Once you know the number, our general manager job description template gives you something to post or send. And when your new GM starts, the owner's side of the first 90 days covers what they'll need from you.