Wildrose Alliance Party Leader Danielle Smith has created a task force to review MLA pay levels. (CBC)Alberta's Wildrose Alliance party has announced a task force to look into the pay and perks of MLAs, the speaker, cabinet and opposition party leaders.

The task force will come up with "a new way, a better way, the right way to determine MLA pay and compensation," Wildrose Alliance Leader Danielle Smith said Thursday.

The task force will be chaired by Link Byfield, a senator-elect and chairman of the Citizens' Centre for Freedom and Democracy, and Mark Dyrholm, the Calgary chiropractor who ran against Smith in the party's recent leadership race.

Byfield and Dyrholm will look at all the benefits government members receive, which include tax-free allowances, spending accounts and expense accounts. They will consult with experts and party members, and will compare Alberta pay levels with those in other provinces.

"I think what we are looking for is does it pass the reasonable person test?" Smith said. "And I think when you look at all of the different ways in which MLAs, cabinet ministers and the premier are being compensated, I don't think at the moment it does pass the reasonable person test."

The task force will recommend what they think MLA salaries should be. The Wildrose Alliance will then use those numbers in future campaigns.

The public will not be asked for input on pay levels, but Smith believes her party members will be in-step with what the average Albertan thinks about the issue.

Last month, Premier Ed Stelmach announced he was taking an immediate 15 per cent cut to the $81,312 allowance that he receives on top of his salary. His cabinet ministers saw their $63,912 allowances cut by 10 per cent.

However, the Canadian Taxpayers Federation estimated those cuts would only reduce the overall compensation for Stelmach and his cabinet by 5.4 per cent and 3.2 per cent, respectively, bringing Stelmach's pay to $214,069 and cabinet ministers to $190,474.

Those figures include base pay, money for committee work and a tax-free amount, as well as the allowance.