Whereas previous studies on pay satisfaction have focused on analyzing only the direct effects between influencing factors and pay satisfaction, this study proposes and tests a new model that considers the possibility of interactions among influencing factors, thereby seeking to clarify the relationships among various factors and their relative importance. In the process of deriving the factors, a review of theoretical backgrounds and prior studies was conducted, and the perception of the allowance system was added as a new variable in light of the Korean context. The LISREL analysis results using correlation data showed that the theoretical model proposed in this study had no statistically significant difference from the empirical data. Among the five factors established in this study, pay level, pay comparison with others, fairness of individual pay differentials, and perception of the allowance system were analyzed as variables having a significant relationship with pay satisfaction, with the evaluation results from pay comparison with others playing the most important role. Furthermore, perceptions of pay level and the allowance system were found to indirectly affect pay satisfaction through pay comparison and perceptions of fairness in individual pay differentials. However, the relationship between intrinsic rewards and pay satisfaction was found to be non-significant.