Compensation in higher education is an inclusive term, since all the benefits associated with teaching, research, work with people, and work with knowledge might be included. But in terms of purchasing power it appears that compensation for work in higher education has lost ground against inflation. In contrast, wage and salary earners in many other nonagricultural industries have at least kept up. As a faculty member the responsibilities one chooses influence the comparative level of compensation one receives, along with a host of other variables. As for administrators, their compensation has also increased in recent years, with the same moderating effect from inflation. The sex of the recipient remains a powerful influence on level of compensation for administrators and faculty members in higher education, but ameliorative procedures are now in use to rectify this. It remains unlikely that a young person would pursue a career in higher education for the money. (Author)