Software Developer · Salary Comparison · 2026
Software Developer Salary: Indianapolis, IN vs Austin, TX
Side-by-side comparison of salary, taxes, cost of living, and take-home pay for Software Developers in Indianapolis, IN and Austin, TX, based on BLS OEWS 2026 data.
1Which City Pays More After Tax?
Higher Gross Salary
✓ Austin, TX
$108,000 vs $140,000
Better Purchasing Power
✓ Indianapolis, IN
$120,000 vs $112,903
Best Take-Home (COL-Adj)
✓ Indianapolis, IN
$107,388 vs $104,323
2
Detailed Comparison
| Metric | Indianapolis, IN | Austin, TX | Diff |
|---|---|---|---|
| Median Annual Salary | $108,000 | $140,000▲ | -$32,000 |
| 25th Percentile | $82,000 | $108,000▲ | -$26,000 |
| 75th Percentile | $140,000 | $182,000▲ | -$42,000 |
| 90th Percentile | $174,000 | $225,000▲ | -$51,000 |
| Cost of Living Index | 90 | 124 | -34 |
| State Income Tax | 3.15% | 0%▲ | +3.15% |
| COL-Adjusted Median | $120,000▲ | $112,903 | +$7,097 |
| Est. Annual Take-Home | $96,649 | $129,360▲ | -$32,711 |
| COL-Adj. Take-Home | $107,388▲ | $104,323 | +$3,065 |
| Total Employment | 15,000 | 38,000 | -23,000 |
▲ = Higher value wins for this metric. Diff = Indianapolis, IN minus Austin, TX.
3Summary Analysis
On paper, Austin, TX pays $32,000 more (median: $108,000 vs $140,000). However, after adjusting for cost of living (index 90 vs 124), Indianapolis, IN provides better purchasing power ($120,000 vs $112,903 equivalent). Austin, 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.