As of August 01, 2026, the average salary for a Software Development Engineer in the United States is $128,509 per year, which breaks down to an hourly rate of $62.
However, a Software Development Engineer's salary can vary significantly. Here’s a look at the typical salary range:
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A Software Development 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, education and company size can directly affect your earning potential.
Experience is a primary driver of a Software Development 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:
| Levels | Salary |
|---|---|
| Software ... Level Software Development Engineer | $81,027 |
| Software ... Level Software Development Engineer | $104,275 |
| Software ... Level Software Development Engineer | $127,699 |
| Software ... Level Software Development Engineer | $147,742 |
| Software ... Level Software Development Engineer | $169,841 |
What Am I Worth?
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 Development Engineers. For example, consider the average annual salaries in these key locations:
Demanded Skills for the Role:
| Skills | Demand Percentage |
|---|---|
| Analysis | 2.68% |
| Software Development | 4.7% |
| Software Engineering | 2.8% |
| Skill | Salary | Salary % Increase |
|---|---|---|
|
Open Source
|
$133,649 |
4%
|
|
Container
|
$132,364 |
3%
|
|
Innovation
|
$132,364 |
3%
|
|
Kubernetes
|
$132,364 |
3%
|
|
Python
|
$131,079 |
2%
|
|
AWS
|
$131,079 |
2%
|
For Software Development Engineer roles, the industry you choose can affect earning potential by as much as 27% (the gap between the highest and lowest paying industries). Data shows that the Energy & Utilities and Aerospace & Defense sectors offer the strongest compensation, at 14% above the average. In contrast, Software Development Engineer positions in Retail & Wholesale or MFG Nondurable typically offer lower base pay, as these industries often view Software Development Engineer as a support function rather than a direct revenue driver.
| Industry Sector | Average Annual Salary | Average Hourly Rate | Pay vs.Avg |
|---|---|---|---|
| Energy & Utilities | $146,500 | $70.0 | 14% |
| Aerospace & Defense | $143,930 | $69.0 | 12% |
| Internet | $142,645 | $69.0 | 11% |
| Biotechnology | $141,360 | $68.0 | 10% |
| Software & Networking | $140,075 | $67.0 | 9% |
Your level of education can impact your salary potential. While many Software Development Engineers 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 Development Engineer with a Bachelor's Degree is between $122,135 and $128,293).
Software Development Engineer Salaries by Degree Level
| Degree Level | % of user with this level of education |
|---|---|
| No Diploma | 0.3% |
| High School | 2.0% |
| Associates | 1.4% |
| Bachelors | 46.1% |
| Masters | 44.2% |
| Doctorate | 6.0% |
Understanding how a Software Development 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 August 01, 2026Salaries for a Software Development Engineer can change over time, reflecting shifts in market demand and the overall economy. The median salary decreased from $125,991 in 2023 to around $124,752 in 2025, reflecting changes in demand, location, experience, and the wider economy. For a detailed analysis of Software Development Engineer salary trends, .
| Year | Average Annual Salary |
|---|---|
| 2022 |
View More
|
| 2023 | $125,991 |
| 2024 | $126,241 |
| 2025 | $124,752 |
| 2026 |
View More
|
| 2027 |
View More
|
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The Energy & Utilities industry offers the highest average compensation for Software Development Engineer roles, with salaries approximately 14% above the market median.
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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