pay management, which is an important function of human resources management in enterprises. Enterprises pay gets relationship with effective management of the entire enterprise human cost of reasonable control, overall satisfaction of staff and internal management of enterprises in the fair and so on, all kinds of problems. This article states the contents of salary management and the function of incentives and analyzes the mistake and reasons in pay administration, and establishes some ways to solve those problems. At the same time, it also analyses a fair and effective pay system to attract and retain the talented in order to encourage employees' enthusiasm for work and improve enterprises' overall performance.