Software engineer salary in US remains a trending topic as we move into 2025. My analysis of the latest compensation data shows the average software developer makes around $120,000 per year.
This piece gives you a detailed breakdown of software engineer salary in US at different experience levels, cities, and companies. The real numbers—not just vague ranges—show what employers pay in 2025. This information helps whether you want to switch careers, ask for a raise, or just know more about tech compensation today.
Average Software Engineer Salary in the US (2025)
The software engineer salary numbers for 2025 in the US vary quite a bit. US software engineers earn an average of $88,019.13 per year. The median salary sits at $81,598.40, which gives us a better picture since it isn’t affected by the highest and lowest earners.
The difference between these numbers makes sense. A small group of software engineers earn really high salaries, which pushes the average up. You can see this in the standard deviation of $54,277.04, suggesting big differences in what people make.
The salary range runs from $25,908 to $1.32 million annually. Most software engineers make $43,639.40 of a median salary.
Contract workers earn an hourly software engineering salary of $42.32 on average. The median rate gives us a clearer viewpoint at $39.23 per hour.
Software Engineer Salary by Seniority Level
The average software engineer salary in US markets starts at $74,439.74 per year or $35.79 per hour. This is what most bachelor’s degree graduates can expect when they enter the field with little professional experience.
Your pay takes a big jump after 2-3 years. Mid-level engineers make $103,336.40 yearly ($49.68 hourly) on average. That’s 39% more than entry-level positions.
Moving up to senior level brings another boost. Senior software engineers in US markets earn $129,062.81 yearly ($62.05 hourly). This is 25% higher than mid-level roles and 73% more than entry positions. Engineers typically reach this level after 4-6 years. The data backs this up – engineers with 4 years of experience earn around $144,857.
The highest pay comes at the top levels. Lead software engineers earn $150,333.33 yearly ($72.28 hourly). Principal engineers make about the same at $150,000 ($72.12 hourly).
| Level | Annual Salary | Hourly Salary |
| Lead | $150,333.33 | $72.28 |
| Principal | $150,000.00 | $72.12 |
| Senior | $129,062.81 | $62.05 |
| Executive | $114,000.00 | $54.81 |
| Mid-Level | $103,336.40 | $49.68 |
| Entry-Level | $74,439.74 | $35.79 |
Salary by Education and Experience
The type of degree you hold directly affects your earning potential. Master’s degree holders earn the highest average compensation at $118,782.83 annually ($57.11 hourly). This represents a 27% premium over Bachelor’s degree holders who make $93,357.05 annually ($44.88 hourly).
Engineers with Associate degrees earn $70,000 annually ($33.65 hourly) – nowhere near what their Bachelor’s counterparts make.
The current job market shows an interesting trend despite these pay differences. Bachelor’s degrees remain the standard requirement across the industry
Master’s degree positions make up just 18.10% of job postings. The higher compensation could make this additional education worth considering for engineers who want to maximize their earnings.
Years of experience and salary progression
Experience drives bigger salary jumps than education. The data shows several turning points in a typical career path:
New engineers with 0-1 years of experience earn similar salaries (around $81,500). Salaries jump significantly at the 2-year mark. Average compensation rises to $108,258.72 – a 33% increase that matches the shift from entry-level to mid-level positions we discussed earlier.
The biggest jump happens at 4 years of experience. Average compensation reaches $144,857.50, which is 77% higher than starting salaries. Salary growth then slows down. Engineers with 6 years make $143,824.50, and 10-year veterans earn $148,100.
These findings point to smart career planning. Focus on quality experience in your first 4 years. Choose education based on your specialty goals. Look for leadership opportunities after 6 years to avoid hitting the mid-career salary ceiling.
Top Paying Cities for Software Engineers
Location is a vital factor that determines software engineer salaries in US markets. The salary patterns across the country show some surprising trends beyond the usual tech hubs.
| City | State | Average Annual Salary | Average Hourly Salary |
| Orlando | FL | $241,737.60 | $116.22 |
| San Francisco | CA | $200,000.00 | $96.16 |
| Scottsdale | AZ | $188,635.20 | $90.69 |
| Columbus | OH | $187,200.00 | $90.00 |
| Cambridge | MA | $175,800.00 | $84.52 |
| Morganville | NJ | $166,400.00 | $80.00 |
| San Diego | CA | $162,100.00 | $77.94 |
| New York | NY | $155,000.00 | $74.52 |
| Menlo Park | CA | $153,920.00 | $74.00 |
| White Bear Lake | MN | $150,000.00 | $72.12 |
Orlando, FL and other high-paying cities
Orlando leads America as the highest-paying city for software engineers with an exceptional $241,737.60 average annual salary ($116.22 hourly). This unexpected leadership highlights Florida’s growing tech scene and tax benefits.
Miami joins Orlando with average compensation of $140,000, making Florida unique with two cities in the top 14.
Your geographic location can double your salary as a software engineer. Emerging tech centers provide an ideal mix of high compensation and reasonable living costs.
San Francisco, CA
San Francisco remains the premier destination for software engineers with an impressive $200,000 average annual salary ($96.16 hourly). These numbers are 145% higher than the national median.
The Bay Area stands out because tech giants and venture-backed startups compete for the same talent pool. Other California tech centers like Menlo Park ($153,920) and San Diego ($162,100) help maintain the state’s lead in high compensation.
Engineers often receive extra allowances and perks beyond their base salary because San Francisco’s cost of living is about 269% of the national average.
New York, NY
Software engineers in the Big Apple earn an average annual salary of $155,000 ($74.52 hourly), making it the East Coast’s leading tech destination. New York’s software engineer ecosystem focuses on fintech, media, and enterprise solutions, unlike San Francisco’s consumer tech emphasis.
New York-based engineers earn almost 90% more than the national median. Nearby Morganville, NJ is a match for these numbers with annual compensation at $166,400.
What Top Tech Companies Really Pay
Tech giants compete fiercely for top engineering talent with diverse compensation packages. The salary difference between the highest and lowest-paying tech companies is a big deal as it means that $98,000 per year.
Google software engineer salary in US
Google’s engineers make an average of $141,000 yearly ($67.79 hourly). The tech giant ranks 16th among top-paying employers, placing it at the lower end of elite tech companies. While Google’s prestige and exceptional benefits attract talent, several lesser-known companies offer higher base pay.
Software engineer salary in Microsoft US
Microsoft’s compensation data doesn’t appear in the 2025 figures. Microsoft typically matches Google’s packages when compared to other major tech employers. Engineers at similar tech powerhouses like Uber earn $167,000 yearly ($80.29 hourly).
Other top-paying companies in 2025
The companies offering the highest salaries aren’t always household names. Oxford Global Resources tops the list with $239,200 average yearly salary ($115.00 hourly). OpenAI follows with $233,333 ($112.18 hourly).
The top tech employers rank this way:
- Oxford Global Resources
- OpenAI
- APR Consulting
- Console
- Capital One
- Belcan
- Uber
- Ramp Financial
- RJM Technologies
- Pragmatic Resource
Financial institutions make a strong showing. Capital One offers $175,800 yearly while JPMorgan Chase provides $149,100. Consulting firms and specialized tech companies dominate the highest pay scales.
Major tech firms’ total packages often go beyond base salary. Stock options, bonuses, and benefits add significant value. This means Google’s total compensation might outpace smaller firms’ pure salary numbers.
Conclusion
The latest data on software engineer salaries in the United States reveals clear patterns. Experience stands out as the key factor in determining pay. Engineers see their steepest salary growth of up to 77% during the crucial 2-4 year period. A Master’s degree gives professionals a 27% edge in earning potential compared to Bachelor’s degree holders.
Your location makes a big difference in your paycheck. Orlando leads the pack with $241,737 per year. Traditional tech hubs like San Francisco ($200,000) and New York ($155,000) follow close behind. These base salaries paint a clear picture of how much geography affects pay in the tech industry.
FAQs
Q1. What is the average salary for software engineers in the US in 2025? The average annual salary for software engineers in the US in 2025 is $88,019.13, with a median of $81,598.40. However, salaries can range from $25,908 to $1.32 million, depending on factors like experience, location, and company.
Q2. How does experience affect a software engineer’s salary? Experience significantly impacts salary, with the most substantial growth occurring in the first 2-4 years. Engineers with 0-1 years of experience earn around $81,500, while those with 4 years of experience can earn up to $144,857.50, representing a 77% increase from starting salaries.
Q3. Which cities offer the highest salaries for software engineers? Surprisingly, Orlando, FL tops the list with an average annual salary of $241,737.60. Other high-paying cities include San Francisco, CA ($200,000), Scottsdale, AZ ($188,635.20), and New York, NY ($155,000).
Q4. How does education level impact software engineer salaries? Education significantly affects earning potential. Master’s degree holders earn an average of $118,782.83 annually, which is 27% more than Bachelor’s degree holders who earn $93,357.05 on average. Those with Associate degrees earn about 25% less than Bachelor’s degree holders.
Q5. Which companies offer the highest salaries for software engineers? Top-paying companies in 2025 include Oxford Global Resources, OpenAI, and APR Consulting. Interestingly, some lesser-known companies and specialized firms offer higher base salaries than tech giants like Google.
