Industry Report8 min readJanuary 15, 2024

2024 Tech Salary Report: Top 10 Cities for Software Developers

A comprehensive analysis of software developer compensation across America's top tech hubs, featuring Bureau of Labor Statistics data on median salaries, cost-of-living adjustments, and real purchasing power.

Key Findings

  • San Francisco leads with $173,783 median salary, but ranks 6th after cost-of-living adjustment
  • Austin and Denver offer the best purchasing power despite lower nominal salaries
  • The national median for software developers is $127,260
  • Top 10% of developers earn over $200,000 in major tech hubs

The State of Tech Salaries in 2024

Software development remains one of the highest-paying professions in America, with median salaries significantly exceeding the national average across all occupations. But where you work matters enormously—both for your paycheck and your purchasing power.

Using official Bureau of Labor Statistics data from the Occupational Employment and Wage Statistics (OEWS) program, we analyzed software developer salaries across 50 major metropolitan areas. Our analysis considers not just nominal salaries, but also adjusts for local cost of living to show where your dollars go furthest.

Top 10 Cities by Median Salary

RankCityMedian SalaryCOL IndexAdjusted Salary
1San Francisco, CA$173,783169.3$102,648
2Seattle, WA$152,907141.6$107,949
3New York, NY$155,187160$96,992
4Boston, MA$154,150149$103,456
5Washington, DC$145,200144$100,828
6Denver, CO$138,339120$115,283
7Austin, TX$133,604110$121,458
8Los Angeles, CA$141,500148.5$95,270
9Chicago, IL$125,800107$117,570
10Atlanta, GA$118,500103.1$114,904

* Adjusted salary calculated using cost-of-living index (national average = 100)

The Cost-of-Living Reality Check

San Francisco's $173,783 median salary is impressive on paper, but with a cost-of-living index of 169.3 (meaning things cost 69% more than the national average), your purchasing power drops to an equivalent of $102,648.

Compare that to Austin, where a $133,604 median salary with a 110 COL index gives you equivalent purchasing power of $121,458—nearly $19,000 more in real terms than San Francisco.

Best Cities for Purchasing Power

When we rank cities by cost-adjusted salary, the picture changes dramatically:

  1. Austin, TX - $121,458 adjusted (best purchasing power)
  2. Chicago, IL - $117,570 adjusted
  3. Denver, CO - $115,283 adjusted
  4. Atlanta, GA - $114,904 adjusted
  5. Seattle, WA - $107,949 adjusted

What This Means for Your Career

If you prioritize salary

Target San Francisco, Seattle, or New York. These cities offer the highest nominal salaries and are home to major tech companies with competitive compensation packages.

If you prioritize lifestyle

Consider Austin, Denver, or Atlanta. These emerging tech hubs offer strong salaries with significantly lower living costs, meaning more money in your pocket.

Methodology

Salary data is sourced from the U.S. Bureau of Labor Statistics Occupational Employment and Wage Statistics (OEWS) program, which surveys employers across the country to produce employment and wage estimates.

Cost-of-living adjustments use regional price parities and cost-of-living indices. Adjusted salary = (Median Salary / COL Index) × 100.

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