SalariesByCity
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

MetricHouston, TXAustin, TXDiff
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 Index107124-17
State Income Tax0%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 Employment28,00038,000-10,000
▲ = 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.

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.