Cost Reduction Engineer Salary in the United States

How much does a Cost Reduction Engineer make in the United States?

As of May 01, 2026, the average salary for a Cost Reduction Engineer in the United States is $66,518 per year, which breaks down to an hourly rate of $32.

However, a Cost Reduction Engineer's salary can vary significantly. Here’s a look at the typical salary range:

  • Top Earners (90th percentile): $74,489
  • Majority Range (25th-75th percentile): $56,713 to $70,691
  • Entry-Level (10th percentile): $47,786
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View as table View as graph 25% $56,713 10% $47,786 90% $74,489 75% $70,691 $66,518 50%(Median) Didn’t find job title? Click

Cost Reduction Engineer Salaries by Percentile

Annual
Salary
Monthly
Pay
Weekly
Pay
Hourly
Wage
75th Percentile $70,691 $5,891 $1,359 $34
Average $66,518 $5,543 $1,279 $32
25th Percentile $56,713 $4,726 $1,091 $27
Check out Cost Reduction Engineer Job Openings in the United States
Manager Procurement Principal Cost Engineer

J&J Family of Companies - Cincinnati, OH

Cost Engineer Hybrid

PM2CM - Verona, OH

Staff Accountant

Nikon Metrology, LLC - MEDICINE LAKE, MN

Regional Engineer

Lane Enterprises Inc - BEALETON, VA

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Key Factors That Influence Cost Reduction Engineer Salaries

A Cost Reduction Engineer's salary isn't a fixed number. It's shaped by several important factors. Below, we'll explore how your years of experience, geographic location and company size can directly affect your earning potential.

How Experience Level Affects Cost Reduction Engineer Salaries?

Experience is a primary driver of a Cost Reduction Engineer's salary. As you build your skills and take on more complex tasks, your compensation generally increases. Here's how the average salary grows at different career stages:

  • Entry-Level (less than 1 year): $64,203
  • Early Career (1-2 years): $64,884
  • Mid-Level (2-4 years): $65,837
  • Senior-Level (5-8 years): $67,320
  • Expert (over 8 years): $68,524
Levels Salary
Entry Level Cost Reduction Engineer$64,203
Intermediate Level Cost Reduction Engineer$64,884
Senior Level Cost Reduction Engineer$65,837
Specialist Level Cost Reduction Engineer$67,320
Expert Level Cost Reduction Engineer$68,524
$64,203 0 yr
$64,884 < 2 yrs
$65,837 2-4 yrs
$67,320 5-8 yrs
$68,524 > 8 yrs
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What Am I Worth?

How Do Cost Reduction Engineer Salaries Vary from State to State?

Your salary can change significantly depending on where you work. States with a higher cost of living and strong industrial sectors often pay more to attract Cost Reduction Engineers. For example, consider the average annual salaries in these key locations:

  • District of Columbia: $73,649.
  • California: $73,370.
  • Massachusetts: $72,392.

Top Paying Cities for Cost Reduction Engineers

Salaries can also vary between different cities. Major metropolitan areas or cities with a high demand for technicians often offer more competitive pay. Here are a few examples of average annual salaries in different U.S. cities:

  • San Jose: $83,900
  • San Francisco: $82,981
  • Oakland: $81,232

What Skills Can Increase a Cost Reduction Engineer's Salary?

Demanded Skills for the Role:

  • Innovation (Mentioned in 6.83% Job Postings): The ability and process of implementing new ideas and initiatives to improve organizational performance.
  • Infection Control (Mentioned in 6.71% Job Postings): Infection control is the discipline concerned with preventing nosocomial or healthcare-associated infection, a practical (rather than academic) sub-discipline of epidemiology. It is an essential, though often underrecognized and undersupported, part of the infrastructure of health care. Infection control and hospital epidemiology are akin to public health practice, practiced within the confines of a particular health-care delivery system rather than directed at society as a whole. Anti-infective agents include antibiotics, antibacterials, antifungals, antivirals and antiprotozoals. Infection control addresses factors related to the spread of infections within the healthcare setting (whether patient-to-patient, from patients to staff and from staff to patients, or among-staff), including prevention (via hand hygiene/hand washing, cleaning/disinfection/sterilization, vaccination, surveillance), monitoring/investigation of demonstrated or suspected spread of infection within a particular health-care setting (surveillance and outbreak investigation), and management (interruption of outbreaks). It is on this basis that the common title being adopted within health care is "infection prevention and control."
  • Leadership Education (Mentioned in 0.34% Job Postings): Educational leadership is the process of enlisting and guiding the talents and energies of teachers, students, and parents toward achieving common educational aims.
See More Skills
Skills Demand Percentage
Innovation 6.83%
Infection Control 6.71%
Leadership Education 0.34%
What skills can make your compensation higher?
Mastering certain specialized skills can lead to a significant increase in pay. Here are examples of skills and the potential impact they can have on a Cost Reduction Engineer's salary.
  • Leadership Education: Can increase your salary by up to 33%.
  • Innovation: Can increase your salary by up to 32%.
  • Coordination: Can increase your salary by up to 13%.
Skill Salary Salary % Increase
Leadership Education
$88,469
33%
Innovation
$87,804
32%
Coordination
$75,166
13%
Healthcare Services
$73,835
11%
Confidentiality
$72,505
9%
Clinical Skills
$72,505
9%
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Cost Reduction Engineer Salary: Hourly Rate, Weekly Pay, and Monthly Pay

Understanding how a Cost Reduction Engineer's annual salary breaks down can help with budgeting. Below, you can see the average hourly rate, weekly pay, and monthly pay for this role. Use the buttons to switch between different pay periods.

Last Updated on May 01, 2026

Salary Trends for Cost Reduction Engineer

Salaries for a Cost Reduction Engineer can change over time, reflecting shifts in market demand and the overall economy. The median salary decreased from $65,592 in 2023 to around $63,682 in 2025, reflecting changes in demand, location, experience, and the wider economy. For a detailed analysis of Cost Reduction Engineer salary trends, .

Average Annual Salary of Cost Reduction Engineer Over Time

2022
$???
2023
$65,592
2024
$65,941
2025
$63,682
2026
$???
2027
$???
Year Average Annual Salary
2022
View More
2023 $65,592
2024 $65,941
2025 $63,682
2026
View More
2027
View More

Most common benefits for Cost Reduction Engineer

Social Security
401(k)
Disability
Healthcare
Pension
Time Off (days)
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Common company salaries for Cost Reduction Engineer

Here are companies hiring for Cost Reduction Engineer and their salaries, click below for more details.

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Where Does Our Salary Data Come From?

Salary.com provides salary estimates, histograms, trends, and comparisons using data from employer job postings and third-party sources.

We offer detailed salary information across multiple percentiles for your reference. (Click here to learn Why the Salary Midpoint Formula Is Crucial for Achieving Pay Equity.)

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