As of July 01, 2026, the average salary for a Payroll Administrator II in Arizona is $71,293 per year, which breaks down to an hourly rate of $34.
However, a Payroll Administrator II's salary can vary significantly. Here’s a look at the typical salary range:
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A Payroll Administrator II's salary isn't a fixed number. It's shaped by several important factors. Below, we'll explore how your years of experience, geographic location, and company size can directly affect your earning potential.
Experience is a primary driver of a Payroll Administrator II's salary. As you build your skills and take on more complex tasks, your compensation generally increases. Here's how the average salary grows at different career stages:
| Job Role | Years of Experience | Average Salary |
|---|---|---|
| Payroll Administrator I | 0-2 years | $60,902 |
| Payroll Administrator II | 2-4 years | $71,293 |
| Payroll Administrator III | 4-7 years | $82,483 |
| Payroll Administrator IV | 7+ years | $100,134 |
| Payroll Team Lead | 7+ years | $86,671 |
What Am I Worth?
Your salary can change significantly depending on where you work. States with a higher cost of living and strong industrial sectors often pay more to attract Payroll Administrator IIs. For example, consider the average annual salaries in these key locations:
Payroll Administrator II salary potential scales significantly with company size. Data shows that Enterprise companies (5,000+ employees) pay the highest average salary at around $79,741. While startup companies pay approximate $67,437.
| Company Size | Employees | Average Salary |
|---|---|---|
| Startup | 1~50 | $67,437 |
| Growth Stage | 51~500 | $71,325 |
| Established | 501~5000 | $77,005 |
| Enterprise | 5000+ | $79,741 |
For Payroll Administrator II roles, the industry you choose can affect earning potential by as much as 60% (the gap between the highest and lowest paying industries). Data shows that the Healthcare and Construction sectors offer the strongest compensation, at 30% above the average. In contrast, Payroll Administrator positions in Hospitality & Leisure or Edu., Gov't. & Nonprofit typically offer lower base pay, as these industries often view Payroll Administrator II as a support function rather than a direct revenue driver.
| Industry Sector | Average Annual Salary | Average Hourly Rate | Pay vs.Avg |
|---|---|---|---|
| Healthcare | $92,681 | $45.0 | 30% |
| Construction | $85,552 | $41.0 | 20% |
| Aerospace & Defense | $81,987 | $39.0 | 15% |
| Business Services | $79,848 | $38.0 | 12% |
| Insurance | $76,283 | $37.0 | 7% |
Understanding how a Payroll Administrator II's annual salary breaks down can help with budgeting. Below, you can see the average hourly rate, weekly pay, and monthly pay for this role. Use the buttons to switch between different pay periods.
Last Updated on July 01, 2026For a Payroll Administrator II, the most direct path to higher earnings is advancing to the Payroll Administrator III role. This promotion typically comes with a significant pay increase, bringing the average annual salary to $82,483 - a projected growth of 16% over your current level.
Ready to take the next step in your career? Browse thousands of current Payroll Administrator II job openings on our job board. Use the search bar below to find your perfect match.
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