Employee Salaries and Benefits

   In the Civilian sector, when you hire a non-contract employee, there are costs involved beyond the Base Salary. Standard costs are FICA(government social security and Medicare), health care, and retirement investments. FICA is a flat 7.65%, Healthcare is an average market rate done annually and Retirement depends on the program the Employer is using. Generally, owners add 33% to the Base salary for the Total Salary of the Employee.

   In the Government sector, there are the same 3 costs, but salaries are generally lower then the Civil sector, so the Benefits are generally a little higher. So, you may see 36-40% average, depending on the base salary. 

Well, Malabar's Base salaries and Benefits have skyrocketed over the last 4 years. The Town Manager 2025/2026 Budget showed she made $200,965 with the additional 83% benefits this year. In comparison, Grant Valkaria's Town Manager made $134,911 with 43% benefits. Melbourne Beach's Town Manager made $162,477 with 35% benefits. 

   In fact, Public Works is the only Department that was not given these crazy benefits. Wonder what they did to become the Red Headed Stepchild. But, it shows that we could keep Staff at a normal Benefit and Salary rate.

   The 2026/2027 budget has a decrease in benefits for everyone but the Fire Department, but are still close to 2x average. I am haughty enough to say I think it is because I came around asking questions, but really I think it is because of House Bill 1329.  HB1329 was signed into law in June 2026. It is a budgeting and transparency Bill that is designed to help Citizens get a clearer picture of what is going on. Budgets are convoluted and vague, at best. This Bill attempts to keep municipalities from continuing this practice.  For part of this, the Town will have to report quarterly the full Payroll; including names, positions, and Total Salary.  They can no longer bury it in a lump sum. It will also show other Employees if there is favoritism amongst Staff, like Public Works.

 With the passage of Florida HB 1329, local government finance officers also need to publicly identify ways to cut their budgets by 10%. I don't think I am going to get invited to that meeting.  Staff recommended to add 10% to our milage this year as they discussed in the July 6th meeting. I hope Legal suggested that doing so would not be in the spirit of the new Bill. Raising millage by 10% in anticipation of the 10% cuts HB 1329 seems shady. ( And that was also bad math by Staff in the report. The current 4.5218 increased 10% would be the 4.974 as stated in the report. However, taking off 10% from 4.974 is 4.477. It should have been proposed at 5.024). Fortunately, Council decided to keep the rollback Millage, so it will be the same 4.54 as last year.