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The phrase "average amount of compensation" is correct and usable in written English.
It can be used when discussing the typical or mean payment received for work or services rendered.
Example: "The average amount of compensation for this position is significantly higher than the industry standard."
Alternatives: "typical compensation level" or "mean compensation amount".
Exact(4)
Here is a place where it might be appropriate for government to apply a slight nudge not to change the average amount of compensation but just to change the method in which it is calculated.
The average amount of compensation was 2,300 euros.
The average amount of compensation was 3,900 (200 43,867) euros per patient.
According to the compensation data of the PIC, the average amount of compensation per treatment injury awarded by the PIC was approximately 3,900 euros.
Similar(56)
The mean amount of compensation was 2,300 euros.
In a Japanese study, it was reported that 87.1% of dispute cases were awarded compensation with an average amount of US$38,937, and 38.1% of cases judged not to involve error were also compensated a total of US$1,000,000 to resolve disputes [ 5].
The average amount of debt was $13,691.
How is the amount of compensation calculated?
The amount of compensation has yet to be decided.
"The amount of compensation being offered is totally insufficient".
No amount of compensation will make it private again.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com