phd industrial organizational psychology salary

Industrial Organizational Psychologist Salary Guide 2025

By PsychologyJobs.com Staff Writer

Industrial-organizational psychology  studies human behavior within organizations and works to better the function of such organizations using scientific theories.

Industrial-organizational psychology has somewhat become the ‘hot’ branch of psychology, as business owners are becoming increasingly aware of the benefits of the field. In particular, industrial-organizational psychologists work to increase employee productivity, increase efficiency, lower staff turnover rate, and improve morale and employee quality of life.

As a consequence, the average salary for industrial-organizational psychologists is one of the highest within the field of psychology. To learn more about the role and the factors affecting salary, take a look at the information below.

How much does an industrial-organizational psychologist make? 

Industrial-organizational psychologists are amongst the highest earners working within the field of psychology.

According to the  U.S. Bureau of Labor Statistics , the mean annual wage for industrial-organizational psychologists working in the US is $112,690. However, it is also estimated that the lowest 10% of earners make less than $57,440 per year, and the highest 10% of earners make more than $192,000 per year.

Factors affecting salary 

There are many factors that affect the earning potential of an industrial-organizational psychologist. Like all careers, experience and specialization can significantly affect one’s salary. However, for industrial-organizational psychologists, some particular factors play a much larger role than you might expect.

• Education  An individual with a master’s degree in industrial-organizational psychology can expect a starting salary in an entry-level position of around $64,000 per year. Whereas, someone with a doctoral degree in industrial-organizational psychology can expect a starting salary in an entry-level position of around $78,000.

Industrial-organizational psychologists are more in-demand in larger cities. This is because larger corporations tend to be more interested in the type of growth that industrial-organizational psychologists bring. Salaries also tend to be higher in such cities.

Which state has the best pay for industrial-organizational psychologists? 

The average salaries for industrial-organizational psychologists also vary significantly depending on the state.

The best-paying states for industrial-organizational psychologists are:

• California In California, the annual mean wage for industrial-organizational psychologists is $119,100. This is just under 6% more than the average salary for the profession.
• New Jersey  In New Jersey, the annual mean wage for industrial-organizational psychologists is $106,570.

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• Occupational Employment and Wage Statistics

Occupational Employment and Wages, May 2023

19-3032 industrial-organizational psychologists.

Apply principles of psychology to human resources, administration, management, sales, and marketing problems. Activities may include policy planning; employee testing and selection, training, and development; and organizational development and analysis. May work with management to organize the work setting to improve worker productivity.

National estimates for Industrial-Organizational Psychologists Industry profile for Industrial-Organizational Psychologists Geographic profile for Industrial-Organizational Psychologists

National estimates for Industrial-Organizational Psychologists:

Employment estimate and mean wage estimates for Industrial-Organizational Psychologists:

Percentile wage estimates for Industrial-Organizational Psychologists:

Industry profile for Industrial-Organizational Psychologists:

Industries with the highest published employment and wages for Industrial-Organizational Psychologists are provided. For a list of all industries with employment in Industrial-Organizational Psychologists, see the Create Customized Tables function.

Industries with the highest levels of employment in Industrial-Organizational Psychologists:

Industries with the highest concentration of employment in Industrial-Organizational Psychologists:

Top paying industries for Industrial-Organizational Psychologists:

Geographic profile for Industrial-Organizational Psychologists:

States and areas with the highest published employment, location quotients, and wages for Industrial-Organizational Psychologists are provided. For a list of all areas with employment in Industrial-Organizational Psychologists, see the Create Customized Tables function.

States with the highest employment level in Industrial-Organizational Psychologists:

States with the highest concentration of jobs and location quotients in Industrial-Organizational Psychologists:

Top paying states for Industrial-Organizational Psychologists:

Metropolitan areas with the highest employment level in Industrial-Organizational Psychologists:

Metropolitan areas with the highest concentration of jobs and location quotients in Industrial-Organizational Psychologists:

Top paying metropolitan areas for Industrial-Organizational Psychologists:

These estimates are calculated with data collected from employers in all industry sectors, all metropolitan and nonmetropolitan areas, and all states and the District of Columbia. The top employment and wage figures are provided above. The complete list is available in the downloadable XLS files .

The percentile wage estimate is the value of a wage below which a certain percent of workers fall. The median wage is the 50th percentile wage estimate—50 percent of workers earn less than the median and 50 percent of workers earn more than the median. More about percentile wages.

Other OEWS estimates and related information:

May 2023 National Occupational Employment and Wage Estimates

May 2023 State Occupational Employment and Wage Estimates

May 2023 Metropolitan and Nonmetropolitan Area Occupational Employment and Wage Estimates

May 2023 National Industry-Specific Occupational Employment and Wage Estimates

May 2023 Occupation Profiles

Technical Notes

Last Modified Date: April 3, 2024

Ph.D. in I-O Psychology: Degree Guide

Staff Writers

Contributing Writer

Learn about our editorial process .

Updated August 20, 2024 · 5 Min Read

Courtnee James

Reviewed by

Megan Pietrucha

Contributing Reviewer

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Are you ready to discover your college program?

Are you considering a doctoral degree in psychology ? You may be interested in learning about a Ph.D. in industrial-organizational (I-O) psychology.

I-O psychologists focus on how employees behave at work. They aim to improve the work environment, including employee performance, satisfaction, and safety in the workplace.

Explore degree requirements, career information, and valuable resources for prospective psychology doctoral candidates.

Popular Online Psychology Doctoral Programs

Learn about start dates, transferring credits, availability of financial aid, and more by contacting the universities below.

Why Get a Ph.D. in Industrial-Organizational Psychology?

Industrial-organizational psychologists can find employment opportunities in many different organizations and workplace settings. A Ph.D. prepares you to pursue research, academic, and consultancy roles. You may also pursue licensure from state psychology boards.

A Ph.D. often leads to higher wages. The U.S. Bureau of Labor Statistics (BLS) reports that the median pay for psychologists is $92,740 annually . In comparison, Industrial-organizational psychologists earn a median annual salary of $147,420 nationwide. The top 90% earn $151,880 yearly, according to the BLS.

Example Curriculum

A school's course offerings can depend on its faculty, research focus, and resources. As a result, I-O psychology graduate degree program courses tend to vary between institutions.

However, a Ph.D. in industrial-organizational psychology typically includes the following common components.

Ph.D. students must complete graduate I-O psychology coursework in a variety of areas, including research methods and statistics, ethics and professional issues, and behavioral science. Required courses build on existing knowledge and prepare learners for the next steps toward graduation, like practicums, dissertations, and internships.

Practicums allow students to observe professionals working in their field and specialty area. Students often act as observer-participants and help with daily activities as their supervisors deem appropriate.

Practicum-related conditions and graduation requirements vary among schools and programs, often depending on candidates' experience levels. Many students begin practicum work in their second year of study.

Dissertation

Most Ph.D. in industrial organizational psychology programs expect candidates to produce a dissertation or an extensive written document based on original ideas and research. A dissertation demonstrates that the student has mastered advanced concepts and can contribute to their field by conducting meaningful research.

While a dissertation committee helps keep candidates on track throughout the process, a dissertation is a solitary effort requiring stamina and discipline.

Involving less supervision than practicums, internships are similar to regular jobs. Students pursuing a Ph.D. in industrial-organizational psychology must often complete an internship.

Some learners complete their internship requirements during their third year, while others wait until the fifth or sixth year. Contact the program's dissertation advisor or committee if you have any questions about internships.

What Can You Do With a Ph.D. in Industrial-Organizational Psychology?

Psychologists with a Ph.D. in industrial-organizational psychology apply their specialized knowledge to several fields, including:

• Human resources
• Administration
• Post-secondary education

Armed with a versatile skill set, graduates can pursue diverse career paths working as:

• Professional development leaders
• Talent management specialists
• Behavioral analysts
• HR organizational development specialists
• Industrial relations specialists
• Optimization advisors
• Research Psychologist
• Consultants

Depending on your training and area of specialization, an industrial-organizational psychology degree can open doors to many exciting job opportunities.

$154,380 Average Annual Salary Source: BLS

Earning a Ph.D. vs. a Psy.D.

Doctoral programs in industrial-organizational psychology confer either a Ph.D. or a doctor of psychology (Psy.D.). These programs differ in focus, course content, and training methods.

The Ph.D. is ideal for research-focused students seeking careers at research institutions and universities. The Psy.D. best serves those interested in working with organizations.

The primary difference between a Ph.D. and Psy.D. in psychology is that a Ph.D. focuses on psychology theories and research, while a Psy.D. emphasizes practical skills in working with clients.

A Ph.D. program's admission requirements usually include:

• A master's degree
• A high GPA (e.g., 3.6 or 3.7)
• High GRE scores (e.g., 302 on the revised GRE test)
• Essays, interviews, and letters of recommendation

The program length for Ph.D. programs is usually between 5-8 years. Coursework includes a focus on teaching and research methods and statistics. Regarding financial aid for psychology students , Ph.D. programs will likely waive tuition and offer a stipend for research assistance and teaching endeavors.

Psy.D. admission requirements commonly include:

• A minimum 3.0 GPA
• Verbal GRE score of 150 or higher; quantitative GRE score of 141 or higher
• Letters of recommendation, essays, and interviews

A Psy.D. or Ph.D. program takes about 4-6 years to complete. Coursework includes a focus on applying psychology in practice with groups and individuals.

Many Psy.D. programs don't waive tuition or pay a stipend. Psy.D. students typically accumulate more debt than those who attend Ph.D. programs.

Learn more about industrial-organizational psychology degrees .

Licensure and Board Certification

Most states require licensure to practice as an I-O psychologist, but the requirements differ among states. Check the state's licensing board for specific requirements.

The American Board of Organizational and Business Consulting Psychology, an American Board of Professional Psychology member, offers an I-O psychology board certification. Certification is optional for industrial-organizational psychologists to practice, but each state has different requirements. The steps to getting certified include:

• Earn a doctoral degree, such as a Psy.D., from a program accredited by the American Psychology Association (APA).
• Complete the mandatory APA-accredited internship/work experience hours.
• Hold a license to practice as a psychologist.
• Submit a practice sample.
• Pass an oral examination.

Professional Organizations

Society for industrial and organizational psychology.

SIOP members enjoy access to online research publications, business resources, job listings, and fellowship opportunities. SIOP's website features a special section for students, which lists resources like internship and entry-level job openings, training program information, and career development workshop opportunities.

Emotional Intelligence Consortium

Founded in 1996, the Consortium strives to uphold high standards of practice for professionals studying emotional intelligence in the workplace. While students and professionals may apply for membership, applicants must demonstrate a record of publishing in peer-reviewed journals. However, the Consortium's online resources, including personal training sessions and networking events, are freely accessible.

Society of Psychologists in Leadership

SPL is a membership-based professional society of students, psychologists, and researchers exploring managerial, executive, and consulting roles in the workplace. Members can participate in career development and mentoring services, conferences, and networking opportunities.

Page last reviewed on February 23, 2024

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Psychology PhD Salary: Top Specializations, Roles, and Pay Factors

Explore how specialization, work environment, and negotiation strategies influence Psychology PhD salaries across various roles.

Choosing a career path with a Psychology PhD involves weighing various factors, including potential earnings. Understanding salary expectations is crucial for making informed decisions about specializations and work environments.

This article explores the top-earning psychology PhD specializations, roles across different settings, and key factors influencing salaries in this field.

Highest-Earning Specializations

Choosing a specialization significantly impacts earning potential, with certain fields offering higher financial rewards due to demand and complexity.

Industrial-Organizational

Industrial-organizational psychology applies psychological principles to workplace environments to optimize employee performance and enhance organizational structures. Professionals often work as consultants, advising companies on best practices for employee engagement and productivity. The growing recognition of scientifically-backed strategies in business has driven demand for these psychologists. Salaries in this field can be competitive, with experienced professionals earning upwards of $120,000 annually. This specialization attracts those who enjoy using research and data analysis to address business challenges.

Neuropsychology

Neuropsychology examines the relationship between the brain and behavior, often focusing on cognitive disorders. Neuropsychologists work in hospitals, research institutions, or private practices, addressing conditions like traumatic brain injuries, dementia, and learning disabilities. The specialized nature of this work contributes to its high earning potential, with salaries ranging from $90,000 for entry-level positions to $150,000 or more for seasoned professionals. This field appeals to those intrigued by the complexities of the human brain.

Forensic psychology bridges psychology and the legal system, applying psychological principles to legal matters. Forensic psychologists collaborate with law enforcement agencies, court systems, or correctional facilities to assess individuals involved in legal proceedings. Their expertise is vital in areas like criminal profiling and competency evaluations. Salaries for forensic psychologists range from $80,000 to over $140,000, depending on experience and case complexity. This specialization is ideal for those interested in the intersection of psychology and law.

Roles In Varied Work Environments

Psychology PhD holders can work in diverse environments, each offering unique opportunities and influencing compensation.

Private Practice

Private practice offers autonomy, allowing psychologists to set their schedules and tailor services to specific client needs. Professionals in this setting can set their own rates, leading to substantial earnings for those with a strong client base and reputation. However, managing business aspects like marketing and billing is essential. Building a niche market and networking are critical for attracting and retaining clients in this competitive field.

Clinics And Hospitals

Psychologists in clinics and hospitals collaborate with multidisciplinary teams to provide comprehensive care. This environment offers exposure to a diverse patient population and a wide range of psychological issues. Salaries in these settings are often stable and include benefits, making them appealing to those seeking job security. Working in a hospital or clinic also provides opportunities for professional development through collaboration and varied case experiences.

Universities

Academic roles in universities allow psychologists to engage in teaching, research, and mentorship. These positions suit individuals passionate about advancing the field through scholarly work and educating future psychologists. University positions often require publishing research, which can enhance professional reputation. While academic salaries may not match those in private practice or industry, the intellectual fulfillment and opportunities for growth are significant.

Factors That Can Shape Salary

Several factors influence the salary of a Psychology PhD holder, leading to variations in earnings. Geographic location plays a key role, with urban areas often offering higher pay to offset living costs, while rural regions may offer lower salaries but a reduced cost of living.

Experience and tenure also significantly impact earnings. As psychologists gain experience, their expertise often leads to higher pay and roles with greater responsibilities, such as supervisory positions. Networking can further enhance a psychologist’s reputation, resulting in better opportunities.

Licensure and certifications can also elevate earning potential. Additional training or credentials in advanced therapeutic techniques or specialized assessments can make a psychologist more desirable to employers and clients. These qualifications demonstrate expertise and commitment, serving as a strong negotiating tool during compensation discussions.

Approaches To Compensation Discussions

Navigating compensation discussions is essential for Psychology PhD holders aiming to maximize earnings. Researching typical salary ranges for similar roles in your area and specialization is crucial. Resources like Glassdoor and the Bureau of Labor Statistics can provide valuable insights.

Clearly articulating your value proposition is key. Highlight unique contributions, such as innovative techniques or specialized skills, and provide examples of successful projects where your expertise led to positive outcomes. Demonstrating how your skills align with an organization’s goals can reinforce your case and justify higher compensation.

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Industrial-Organizational Psychology Degree and Career Guide

• I/O Psychology Guide Home
• Job Description
• 8 Reasons to Earn Your I/O Degree Online

Advancing Your Career

• Master’s in I/O Psychology
• PhD in Organizational Psych
• PsyD in Organizational Psych

Industrial-Organizational Psychology Salary: What You Can Earn

Find out what you could earn as an industrial-organizational psychologist.

The salary range for psychologists can vary widely based on a variety of factors, including years of experience in the field, where you live, and the location and size of the company or organization you work for. The type of company (profit or non-profit, for example) may come into play as well.

Median Annual I/O Psychology Salary

Organizational psychology has a strong salary potential and an encouraging job market, despite the small size of the field. Here are salaries, job growth and state median pay.

National data

Median Salary: $147,420

Projected job growth: 5.8%

10th Percentile: $45,860

25th Percentile: $90,100

75th Percentile: $219,410

90th Percentile: $219,810

Source: U.S. Bureau of Labor Statistics (BLS) 2023 median salary; projected job growth through 2033. Actual salaries vary depending on location, level of education, years of experience, work environment, and other factors. Salaries may differ even more for those who are self-employed or work part time.

What is my earning potential?

Salaries for industrial-organizational psychologists can be lucrative, with the BLS reporting that the top 10% earned more than $219,810. As with every career, experience plays an enormous factor in salary.

How does an organizational psychologist salary compare to other psychology careers?

Psychologists tend to make a good salary. Compare the median salaries below, broken out by specialty, according to the BLS.

What kinds of companies hire organizational psychologists?

Often, people in this career field will work as independent contractors and consultants. According to the BLS, industrial-organizational psychologists are most frequently employed by the following types of industries:

• Scientific research and development
• Colleges and universities
• State governments

Industrial-Organizational Psychology Salaries by Employer Type

Different industries also tend to pay their workers more or less. Compare the salaries of I/O psychologists in the top-paying industries.

Is there demand for this career?

Demand for industrial-organizational psychologists should increase as more and more organizations and companies acknowledge and require their services to help hire and retain employees. I/O psychologists may also be relied upon to increase productivity in the workplace by identifying potential improvement areas.

What is the job growth for the field?

Employment of organizational psychologists is expected to grow 5.8% through 2033. This is right below the national average for all careers. However, note that national long-term projections of employment growth may not reflect local and/or short-term economic or job conditions, and do not guarantee actual job growth.

The competition can be tough for graduates of I/O psychology until the field widens and job opportunities arise. The BLS reports that since the occupation is still tiny, competition may be fierce for the most desirable jobs. There will also be heavy competition due to the large number of qualified graduates coming out of universities and colleges.

How can I move up in my organizational psychology career?

Graduates with a  master’s degree  can find entry directly into the field as an industrial-organizational psychologist, but the U.S. Bureau of Labor Statistics suggests that getting extensively trained in quantitative research methods or computer science may provide the competitive edge you need to actually land a position in the field. Earning a  PhD  or  PsyD  in I/O psychology can also better prepare you for academic and research roles. To learn more about the education required for industrial-organizational psychologists, research your options, select your program and talk to a school of your choice today.

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• PsyD vs PhD

Industrial Organizational Psychology Salary Ph.D vs Psy.D.

Getting your Ph.D. in Industrial and Organizational Psychology may be a great educational and career choice. An industrial-organizational psychologist helps companies with research design, assessment exercises, interviews and survey work for organizations. These specialist psychologists work in small teams to improve testing programs, HR policies, and other HR issues so that companies can work at a higher and more efficient level.

Industrial-organizational psychologists with a Ph.D. often need to communicate with both high and low-level employees, so it is imperative to be able to explain work and findings to professionals who are not in the psychology field. ( Payscale.com ).

Salary Outlook for Psychologists

Generally, the median salary for all psychologists is high. The Bureau of Labor Statistics states the median salary for all psychologists in 2017 was $77,000. ( BLS.gov ).

BLS also provides the following salary information for other psychologists:

• All other psychologists: $97,400
• Industrial and organizational psychologists: $87,100
• Clinical, counseling and school psychologists: $75,000

In 2017, median salaries for all psychologists in all the following industries were:

• Government: $94,900
• Hospitals: $83,900
• Ambulatory healthcare services: $77,000
• Elementary and secondary schools: $74,400

Salaries for Industrial-Organizational Psychologists

It is reported that the median salary for industrial-organizational psychologists was $87,100 in 2017. The top paid 25% earned $132,500, and the lowest-paid earned $62,280. ( USNews.com ).

Payscale.com reports the average industrial-organizational psychologist salary is $72,200, with a range between $40,000 and $121,000. ( Payscale.com ).

Salary.com reports a salary range for industrial-organizational psychologists between $99,300 and $137,890. ( Salary.com ). The average base salary according to this site is $121,127, and average total compensation is $128,085.

SEE ALSO: 5+ Online Ph.D. Industrial/Organizational Psychology Programs

More information about salaries in this field with a Ph.D. is found at the APA website. The APA states that the Society for Industrial and Organizational Psychology’s 2012 income and employment survey found the starting salary for an I/O psychologist with a master’s was $65,000, but with a Ph.D. was $81,000.

University professors in this specialty make $70,000 per year, and those in the private sector make around $100,000. The APA states the median salary overall for industrial-organizational psychologists is $80,000, but the highest earners can make $250,000 or more each year. ( APA.org ).

Salaries Increase with Experience

One of the interesting aspects of this field of psychology with a Ph.D. is how your salary rises with more experience in industrial-organizational psychology. According to Payscale.com, we see the following salaries:

• Less than five years of experience – $61,000 salary
• Five to 10 years of experience – $94,000 salary
• 10 to 20 years of experience – $112,000 salary
• More than 20 years of experience – $131,000 salary

Also, some parts of the country pay a higher wage than others. Payscale states the average wage in the country is $72,998. But in Washington state, the salary for these professionals is 32% higher. This could be because of the many large tech companies that are located in the state, such as Microsoft and Amazon, among many others.

Dallas also pays well in this field, with a 41% boost in salary over the national average. Los Angeles salaries are 11% higher, and New York has salaries that are 12% below the national average. ( Payscale.com ).

Ph.D. in Industrial-Organizational Psychology Outlook

Whether your specialty is Industrial Organizational Psychology or another specialty in the field, you will see plenty of job demand in the coming years. The Bureau of Labor Statistics reports employment for psychologists will rise by 14% through 2026. This rate is faster than average compared to all other occupations.

Further, employment of clinical, school and counseling psychologists will also rise by 14% in the same period of time. It is expected that higher demand for psychological services in schools, companies, mental health centers, and social service agencies will boost demand generally for psychologists. ( BLS.gov ).

Regarding the industrial-organizational psychology field specifically, the job is ranked #2 in Best Science Jobs. ( USNews.com ). USNews.com also reports there will be an 8.5% rise in job demand for I/O psychologists through 2026, which is faster than average. In that period of time, it is estimated there will be 100 new jobs available. This indicates that while the field is growing, the number of jobs is still quite small. So, you should be prepared for intense competition for a limited number of positions.

Increase in Demand for I/O Psychologists Reflects Increasing Health Occupation Demand

The increasing need for all psychologists, including industrial-organizational psychologists with a Ph.D., is occurring simultaneously as increasing demand for overall healthcare services. It is believed there will be a boost in healthcare jobs through 2026 by 18%, which is much faster than all other US occupations. It is expected there will be nearly 2.5 million new jobs added.

SEE ALSO:  How to Choose an Online PhD in Business Psychology

Healthcare jobs, including industrial-organizational psychologists with Ph.D.s, will be adding more jobs than all other job groups. The increase in job demand is largely because as the US population ages, they will want more access to many health care services. Companies also realize that using psychological principles can lead to a rise in productivity in their organizations, which can increase profits and efficiency. ( BLS.gov ).

The field of industrial-organizational psychology with a Ph.D. is a field that is growing and industrial-organizational psychology jobs & salaries are rising. Professionals with a Ph.D. and the most experience can command salaries above $100,000 and even $200,000. However, it is worth noting that this is still a relatively small field, with only approximately 2,000 professionals working in the field in the United States. Only a few hundred jobs open up each year, so the competition for those jobs is expected to be intense.

• Education and Training. (n.d.). Retrieved from  https://www.apa.org/action/science/organizational/education-training.aspx
• Industrial Psychologist. (2017). Retrieved from  https://money.usnews.com/careers/best-jobs/industrial-psychologist
• Industrial-Organizational Psychologist Salary. (n.d.). Retrieved from  https://www.payscale.com/research/US/Job=Industrial-Organizational_Psychologist/Salary
• Healthcare Occupations. (2017). Retrieved from  https://www.bls.gov/ooh/healthcare/home.htm
• Psychologist Salaries. (2017). Retrieved from  https://www.bls.gov/ooh/life-physical-and-social-science/psychologists.htm
• Organizational Psychologist Salary. (n.d.). Retrieved from  https://www1.salary.com/Organizational-Psychologist-Salary.html
• How to Become an Industrial-Organizational Psychologist. (2019). Retrieved from  https://psydprograms.org/how-to-become-an-industrial-organizational-psychologist/