How to determine a motivating employee salary and compensation?

I think salary is not a prime element to motivate employees; salary is an amount of money that should be fairly designed in a way that achieves internal, external and individual equity. And in order to reach this equity many dimensions need to be examined;

1. Job evaluation, in order to rank job and grade them according to their job weight achieve internal equity.

2.  Market price, competition, and salary surveys achieve external equity

3. Performance evaluation and acknowledgment awards achieve individual equity.

While motivation; is more liked to engagement, communication, empowerment, work environment, management style and activation.