Software Developer Salary in Austin, TX

The headline median of $140,000 is only part of the picture. Austin, TX's cost of living index is 124 (US average = 100), meaning a dollar here buys roughly 81¢ of what it buys in an average US city. The $140,000 salary effectively purchases $112,903 worth of goods and services at national-average prices.

Housing is the single biggest driver of cost-of-living differences between metros. In Austin, TX, housing typically runs 28–35% of gross income for median earners — elevated but still within traditional affordability ranges. For a $140,000 salary, that translates to roughly $44,800/year on housing alone.

State tax plays a meaningful but smaller role. Texas has no state income tax, which is typically worth 4–8% of gross salary versus a high-tax state. For this role, that's roughly $8,400 per year in additional take-home. After state tax and approximate federal FICA (~7.6%), the estimated take-home is $129,360. This excludes federal income tax, which varies by filing status and deductions.

For comparison, here are nearby alternatives: Dallas, TX ($132,000 median, COL 112); Houston, TX ($128,000 median, COL 107); El Paso, TX ($88,000 median, COL 85). If you're optimizing for purchasing power, compare the COL-adjusted column in the table above and pick the highest number. If you're optimizing for career progression, weight total employment and yearly growth in the role — larger markets offer more lateral moves and promotion velocity, even when nominal pay is lower.

The 7.2% year-over-year growth rate for Software Developers in Austin, TX is a leading indicator of market health. Above-average hiring pace suggests strong negotiating leverage, frequent counter-offer opportunities, and a deep pipeline of open roles. For side-by-side comparisons, try the full city ranking for Software Developers or the Texas state overview.