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As of August 01, 2026, the average salary for a Software Development Engineer in Tennessee is $120,092 per year, which breaks down to an hourly rate of $58.
However, a Software Development Engineer's salary can vary significantly. Here’s a look at the typical salary range:
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Software Development Engineer Salaries by Percentile
| Annual Salary |
Monthly Pay |
Weekly Pay |
Hourly Wage |
|
| 75th Percentile | $130,384 | $10,865 | $2,507 | $63 |
| Average | $120,092 | $10,008 | $2,309 | $58 |
| 25th Percentile | $110,629 | $9,219 | $2,127 | $53 |
Subsplash - Nashville, TN
MI Softech - Collierville, TN
SpaceXAI - Memphis, TN
Oracle - Nashville, TN
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 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 | $75,720 |
| Software ... Level Software Development Engineer | $97,445 |
| Software ... Level Software Development Engineer | $119,335 |
| Software ... Level Software Development Engineer | $138,064 |
| Software ... Level Software Development Engineer | $158,716 |
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:
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:
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 | $136,904 | $66.0 | 14% |
| Aerospace & Defense | $134,503 | $65.0 | 12% |
| Internet | $133,302 | $64.0 | 11% |
| Biotechnology | $132,101 | $64.0 | 10% |
| Software & Networking | $130,900 | $63.0 | 9% |
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.
| Annual Salary | Monthly Pay | Weekly Pay | Hourly Wage | |
|---|---|---|---|---|
| 75th Percentile | $130,384 | $10,865 | $2,507 | $63 |
| Average | $120,092 | $10,008 | $2,309 | $58 |
| 25th Percentile | $110,629 | $9,219 | $2,127 | $53 |
Ready to take the next step in your career? Browse thousands of current Software Development Engineer job openings on our job board. Use the search bar below to find your perfect match.
Experian
Franklin, TN
Experian | Franklin, TN
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Job Description. Job Description. Staff Software Engineer. Automations Team. Location. Hybrid, Nashville TN (remote candidates welcome with quarterly trave... more
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37389, TN
BNH | 37389, TN
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Oracle
Nashville, TN
Oracle | Nashville, TN
Job Description. As a Sr. Principal Member of Technical Staff, you will work with other senior engineers and product management to define requirements for ... more
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ITR
Oak Ridge, TN
ITR | Oak Ridge, TN
Job Description. Job Description. Fully remote opportunity. Must be eligible for a federal security clearance (U.S. Citizenship is required). Kubernetes. P... more
5 Days Ago
ITR
Oak Ridge, TN
ITR | Oak Ridge, TN
Job Description. Job Description. Mid -level (2-5 years). Must be eligible for a security clearance (US Citizen). Must be able to work 100% onsite in Oak R... more
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