Software Developer · Salary Comparison · 2026
Software Developer Salary: Houston, TX vs Austin, TX
Side-by-side comparison of salary, taxes, cost of living, and take-home pay for Software Developers in Houston, TX and Austin, TX, based on BLS OEWS 2026 data.
1Which City Pays More After Tax?
Higher Gross Salary
✓ Austin, TX
$128,000 vs $140,000
Better Purchasing Power
✓ Houston, TX
$119,626 vs $112,903
Best Take-Home (COL-Adj)
✓ Houston, TX
$110,535 vs $104,323
2
Detailed Comparison
| Metric | Houston, TX | Austin, TX | Diff |
|---|---|---|---|
| Median Annual Salary | $128,000 | $140,000▲ | -$12,000 |
| 25th Percentile | $98,000 | $108,000▲ | -$10,000 |
| 75th Percentile | $165,000 | $182,000▲ | -$17,000 |
| 90th Percentile | $205,000 | $225,000▲ | -$20,000 |
| Cost of Living Index | 107 | 124 | -17 |
| State Income Tax | 0%▲ | 0% | — |
| COL-Adjusted Median | $119,626▲ | $112,903 | +$6,723 |
| Est. Annual Take-Home | $118,272 | $129,360▲ | -$11,088 |
| COL-Adj. Take-Home | $110,535▲ | $104,323 | +$6,212 |
| Total Employment | 28,000 | 38,000 | -10,000 |
▲ = Higher value wins for this metric. Diff = Houston, TX minus Austin, TX.
3Summary Analysis
On paper, Austin, TX pays $12,000 more (median: $128,000 vs $140,000). However, after adjusting for cost of living (index 107 vs 124), Houston, TX provides better purchasing power ($119,626 vs $112,903 equivalent). Houston, TX has no state income tax, which is a significant advantage.
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Data: U.S. Bureau of Labor Statistics OEWS · 2026 · Cost-of-living indices from composite metro area data. Take-home estimates approximate only — consult a tax professional for accurate figures.