Houston Metro Area Salary Guide 2026

Comprehensive salary data, cost of living, top industries, and career opportunities in the Houston-The Woodlands-Sugar Land metropolitan area. Updated with 2026 Bureau of Labor Statistics wage data.

Average Salary

$113,896

per year

Cost of Living

96.5

3.5% below avg

Population

7.2M

metro area

Unemployment

4.1%

rate

About the Houston Metro Area

The Houston metropolitan area is the fourth-largest in the United States and the energy capital of the world. Houston offers exceptional career opportunities in energy, healthcare, aerospace, and technology, combined with no state income tax and affordable housing. The Texas Medical Center is the largest medical complex in the world, while NASA's Johnson Space Center anchors a significant aerospace presence.

The Houston Metro Area has a population of approximately 7,206,841 residents and a median household income of $69,193. The region's cost of living index of 96.5 indicates living costs are 4% below the national average.

Top Industries in Houston

1Energy & Oil/Gas
2Healthcare & Medical Research
3Aerospace & Manufacturing
4Technology
5International Trade
6Construction

Salary Ranges by Occupation in Houston

Salary data for popular occupations in the Houston-The Woodlands-Sugar Land metro area. All figures based on 2026 Bureau of Labor Statistics data.

OccupationEntry Level (10th)MedianTop 10%
Physician$145,680$228,450$358,920
Petroleum Engineer$98,920$145,680$218,450
Chemical Engineer$82,450$118,920$168,920
Software Developer$68,920$105,680$158,920
Construction Manager$68,450$98,920$148,920
Registered Nurse$58,450$78,920$102,680
Accountant$48,920$75,680$112,890
Electrician$42,680$58,920$82,450

Source: Bureau of Labor Statistics Occupational Employment and Wage Statistics (OEWS) survey, 2026. Employment figures represent estimated workers in the metro area.

Economy Overview

Houston's economy is dominated by the energy sector, with most major oil and gas companies maintaining significant operations in the city. However, the economy has diversified substantially, with healthcare emerging as a major employment sector. The Texas Medical Center employs over 100,000 people and attracts patients from around the world. The Port of Houston is a major international trade gateway, and manufacturing remains important. Technology has grown rapidly, with energy tech and healthcare IT leading the way.

Major Employers in Houston

ExxonMobil
Chevron
ConocoPhillips
Houston Methodist
MD Anderson Cancer Center
NASA Johnson Space Center
Schlumberger
Halliburton

Cost of Living in Houston

Houston offers a relatively affordable cost of living for a major metropolitan area. Housing costs are moderate, with median home prices around $300,000 and apartment rents averaging $1,200-$1,600 for one-bedrooms. The lack of state income tax significantly increases purchasing power. Car ownership is essentially required due to limited public transit, adding transportation costs. Utility costs can be high during hot summers.

Cost of Living Index

96.5

100 = national average

Median Household Income

$69,193

per year

Purchasing Power

$118,027

COL-adjusted avg salary

Job Market Insights

Houston offers strong employment opportunities with the significant advantage of no state income tax, effectively increasing take-home pay by 5-10% compared to high-tax states. Energy sector jobs pay premium salaries, though they can be cyclical with oil prices. Healthcare employment is stable and growing, with excellent opportunities for medical professionals. Engineering and technical roles are abundant across multiple industries.

Unemployment Rate

4.1%

Jobs in Sample Occupations

226,800

Quality of Life in Houston

Houston is known for its diverse population, excellent dining scene, and warm climate. The city has excellent cultural institutions and professional sports teams. Traffic congestion is significant, and summers are hot and humid. The cost-of-living-to-salary ratio is favorable, allowing for comfortable living. The suburbs offer excellent schools and family-friendly communities.

Frequently Asked Questions About Houston Salaries

What is the average salary in Houston?

The average salary in the Houston Metro Area is approximately $113,896 per year across the occupations we track. However, salaries vary significantly by occupation, with the highest-paying role (Physician) earning $228,450 median and entry-level positions starting around $42,680.

What are the highest paying jobs in Houston?

The highest paying occupations in the Houston Metro Area include Physician ($228,450), Petroleum Engineer ($145,680), Chemical Engineer ($118,920). Top earners in the 90th percentile can make $358,920 or more annually.

How does the cost of living in Houston affect salaries?

The Houston Metro Area has a cost of living index of 96.5, which is 3.5% below the national average. When adjusted for cost of living, the average salary of $113,896 has a purchasing power equivalent of approximately $118,027 in an average-cost metro area.

What industries are hiring in Houston?

The top industries driving employment in the Houston Metro Area are Energy & Oil/Gas, Healthcare & Medical Research, Aerospace & Manufacturing, Technology. Major employers in the region include ExxonMobil, Chevron, ConocoPhillips, Houston Methodist, and others. The unemployment rate of 4.1% indicates a competitive job market.

Explore More Salary Data

Data Sources & Methodology

Salary data is sourced from the U.S. Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics (OEWS) survey for 2026. The OEWS survey is a semi-annual survey of employers that produces employment and wage estimates for over 800 occupations across all major metropolitan areas.

Cost of living data is based on composite indexes that compare housing, transportation, groceries, utilities, and other expenses to national averages. Population and economic data are sourced from the U.S. Census Bureau and Bureau of Economic Analysis.