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Software Team Leader Salary in the United States

How much does a Software Team Leader make in the United States?

As of September 01, 2026, the average salary for a Software Team Leader in the United States is $130,828 per year, which breaks down to an hourly rate of $63.

However, a Software Team Leader's salary can vary significantly. Here’s a look at the typical salary range:

  • Top Earners (90th percentile): $145,747
  • Majority Range (25th-75th percentile): $121,955 to $138,637
  • Entry-Level (10th percentile): $113,877
Salary Factors Salary-Boosting Skills Salary by Experience Related Job Salaries Top Paying Cities Explore Related Jobs

Key Factors That Influence Software Team Leader Salaries

A Software Team Leader'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, education and company size can directly affect your earning potential.

How Experience Level Affects Software Team Leader Salaries?

Experience is a primary driver of a Software Team Leader'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): $140,755
  • Early Career (1-2 years): $163,596
  • Mid-Level (2-4 years): $131,444
  • Senior-Level (5-8 years): $148,779
  • Expert (over 8 years): $173,299
Levels Salary
Applicati... Level Software Team Leader$140,755
Applicati... Level Software Team Leader$163,596
Software ... Level Software Team Leader$131,444
Applicati... Level Software Team Leader$148,779
Applicati... Level Software Team Leader$173,299
View as Graph

How Do Software Team Leader 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 Software Team Leaders. For example, consider the average annual salaries in these key locations:
  • District of Columbia: $144,853.
  • California: $144,303.
  • Massachusetts: $142,380.

Top Paying Cities for Software Team Leaders

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: $165,013
  • San Francisco: $163,207
  • Oakland: $159,767

What Skills Can Increase a Software Team Leader's Salary?

Demanded Skills for the Role:

  • Leadership (Mentioned in 6.5% Job Postings): Knowledge of and ability to employ effective strategies that motivate and guide other members within our business to achieve optimum results.
  • Root Cause Analysis (Mentioned in 1.54% Job Postings): In science and engineering, root cause analysis (RCA) is a method of problem solving used for identifying the root causes of faults or problems. It is widely used in IT operations, telecommunications, industrial process control, accident analysis (e.g., in aviation, rail transport, or nuclear plants), medicine (for medical diagnosis), healthcare industry (e.g., for epidemiology), etc. RCA can be decomposed into four steps: Identify and describe clearly the problem. Establish a timeline from the normal situation up to the time the problem occurred. Distinguish between the root cause and other causal factors (e.g., using event correlation). Establish a causal graph between the root cause and the problem.RCA generally serves as input to a remediation process whereby corrective actions are taken to prevent the problem from reoccurring. The name of this process varies from one application domain to another.
  • Software Development (Mentioned in 1.32% Job Postings): Software development is the process of conceiving, specifying, designing, programming, documenting, testing, and bug fixing involved in creating and maintaining applications, frameworks, or other software components. Software development is a process of writing and maintaining the source code, but in a broader sense, it includes all that is involved between the conception of the desired software through to the final manifestation of the software, sometimes in a planned and structured process. Therefore, software development may include research, new development, prototyping, modification, reuse, re-engineering, maintenance, or any other activities that result in software products. Software can be developed for a variety of purposes, the three most common being to meet specific needs of a specific client/business (the case with custom software), to meet a perceived need of some set of potential users (the case with commercial and open source software), or for personal use (e.g. a scientist may write software to automate a mundane task). Embedded software development, that is, the development of embedded software, such as used for controlling consumer products, requires the development process to be integrated with the development of the controlled physical product. System software underlies applications and the programming process itself, and is often developed separately.
Skills Demand Percentage
Leadership 6.5%
Root Cause Analysis 1.54%
Software Development 1.32%
See More Skills

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 Software Team Leader's salary.

  • Team Development: Can increase your salary by up to 9%.
  • SQL Server: Can increase your salary by up to 9%.
  • Insight: Can increase your salary by up to 8%.
Skill Salary Salary % Increase
Team Development $142,603
9%
SQL Server $142,603
9%
Insight $141,294
8%
Get Latest Data

Software Team Leader Salary by Industry: Top Paying Sectors

For Software Team Leader roles, the industry you choose can affect earning potential by as much as 28% (the gap between the highest and lowest paying industries). Data shows that the Internet and Energy & Utilities sectors offer the strongest compensation, at 15% above the average. In contrast, Software Team Leader positions in Edu., Gov't. & Nonprofit or MFG Nondurable typically offer lower base pay, as these industries often view Software Team Leader as a support function rather than a direct revenue driver.

The top paying industries for a Software Team Leader

Industry Sector Average Annual Salary Average Hourly Rate Pay vs.Avg
Internet$150,452$72.015%
Energy & Utilities$143,911$69.010%
Construction$141,294$68.08%
Insurance$139,986$67.07%
Transportation$138,678$67.06%

How Education impacts a Software Team Leader's Salary?

Your level of education can impact your salary potential. While many Software Team Leaders enter the field with a Bachelor's Degree degree, higher education can lead to more specialized and higher-paying roles.

According to our 100% employer-reported salary data, the median salary for a Software Team Leader with a Bachelor's Degree is between $131,014 and $139,491).

Software Team Leader Salaries by Degree Level

Typical Education for Software Team Leader
Degree Level % of user with this level of education
No Diploma 11.4%
High School 11.4%
Associates 2.3%
Bachelors 56.8%
Masters 29.5%
Doctorate 0.0%
View as Graph

Software Team Leader Salary: Hourly Rate, Weekly Pay, and Monthly Pay

Understanding how a Software Team Leader'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 September 01, 2026
$121,955
Average $130,828/year
$138,637
$10,163
Average $10,902/month
$11,553
$2,345
Average $2,516/week
$2,666
$59
Average $63/hour
$67
Annual Salary Monthly Pay Weekly Pay Hourly Wage
75th Percentile $138,637 $11,553 $2,666 $67
Average $130,828 $10,902 $2,516 $63
25th Percentile $121,955 $10,163 $2,345 $59

Most common benefits for Software Team Leader

  • Social Security
  • 401 (k)
  • Disability
  • Healthcare
  • Pension
  • Time Off (days)

Common company salaries for Software Team Leader

Here are companies hiring for Software Team Leader and their salaries, click below for more details.

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FAQ about Software Team Leader

1. What industry pays the highest salary for Software Team Leader?

The Internet industry offers the highest average compensation for Software Team Leader roles, with salaries approximately 15% above the market median.

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.)

With the most extensive online, real-time compensation data available, Salary.com helps you pinpoint your exact pay target.

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