As an IT director/CTO (who cares about titles anyway, right?) at a mid-size private enterprise, I feel that my current salary ~111K is very fair, however, bonuses for IT management as well as key staff are still important. I believe that it's critical to continue to have staff engaged in strategic results for the company and bonus-driven incentives for my hard workers have proven to be successful not only to keep focus on key deliverables but also to retain and thank my key employees.
Outside of salary, I believe that overall happiness and 'healthiness' of an IT group is very critical - pay is only a single (and individual) aspect; continued technical training, proper staffing levels (to balance maintenance with deployment of new technologies/solutions), flexibility and a good interpersonal mix is a balance that will keep staff on-board people happy.

After all - who wants to go to a job they hate every day, even if it does pay $5 to $10K more?
-Cetek