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The Software engineer role is one of the most sought after job titles in the IT and tech industry. The growth prospects and lucrative software engineer salaries make it an attractive career option. With an average base annual salary of $92,046, software engineering is increasingly in-demand and a highly desirable career path.
According to a report by Evans Data Corporation, there were approximately 23.9 million software developers in the world in 2018. The number reached 26.4 million in 2019 and is projected to grow by 28.7 million by 2024.
Despite such significant numbers, hiring software engineers remains the second biggest challenge for managers. It’s a highly competitive field requiring job-specific skills like knowledge of tools used in the organization and programming languages.
But before you dive deep deeper into the skill requirements, it’s important to know what you might be expected to do as a software engineer and the salaries that you can expect.
Software Engineer Salaries: An Overview
The salary of a software engineer will vary depending on the job location, years of experience, job titles, and other factors that the organization might consider while hiring you.
According to Glassdoor, the annual base salary of a software engineer in the United States ranges between $63,000 to $134,000.
The salary varies in the following ways according to your job title.
- Entry Level Software Engineer – $75,000
- Principal Software Engineer– $120,000
- Software Development Engineer– $92,000
- Software Development Engineer In Test (SDET)– $83,000
- Software Engineer II – $98,000
Software Engineer Salaries: According to Years of Experience
Relevant work experience does count when negotiating your salary. In fact, this is the second most important hiring criteria — according to the State of Software Development report — next to only the willingness to learn.
Here’s a breakdown of annual average base salary according to years of experience as reported by Indeed.com.
- Less than 1 year – $101,692
- 1 to 2 years – $104,478
- 3 to 5 years – Data not available
- 6 to 9 years – $119,502
- More than 10 years – $136,909
These are some really encouraging numbers! What’s more, Indeed pegged the average base salary for a Software Engineer at $108,829 per year in the United States.
Software Engineer Salaries: According to Job Location
Your job location impacts your salary — a lot. So if you’re open to exploring opportunities globally, then here are some of the most lucrative annual salaries by country for software engineers, according to Indeed.
- United States – $108,829
- Switzerland – $105,113
- Canada – $98,238
- Denmark – $76,064
- Norway – $77,590
In the United States, some of the top cities with the highest annual software engineer salaries are:
- San Francisco – $156,565
- San Jose – $148,268
- New York – $139,735
- Seattle – $131,483
- Boston – $125,207
How Can You Be a Software Engineer?
Make no mistake, soft-skills like collaboration, problem-solving, creativity, planning and communication are equally important. As we said earlier, it’s a highly competitive field. It topped the “Best Jobs in America” list by U.S. News and World Report for the year 2020.