IT salaries rise year after year
If you’re searching for a career that offers financial security, look no further than the field of Information Technology (IT). With an average salary nearly double the median pay rate in America and expected to consistently increase year-over-year; Information Technology also has one of the lowest unemployment rates at only 3.5%.
Median Annual Wage of an IT professional
According to the U.S. Bureau of Labor Statistics, the median annual wage for an Information Technology professional was $88,240 in May 2019. This is nearly double the national median of $51,900 and far outpaces annual wages for many other occupations. The surging demand for a tech skill set and expertise is a major contributor to this high salary level.
When it comes to salary, the data from the U.S. Bureau of Labor Statistics shows that job role is a major factor in earning potential. Occupations in programming and software development are the highest paid, with salaries often reaching over $100,000. Systems administration analysts and IT project managers also command high salaries that can range from $75,00-$90,000.
Related: HR & Comp Pros: Try our Information Technology Compensation Survey
What IT roles make the highest salaries?
The highest-paying IT roles are usually executive, management, or director-level positions. For example, Chief Information Officers (CIO) or Chief Technology Officers (CTO) have a median base salary of nearly $150,000 annually, while someone working in Software Development Management commands a median base salary of nearly $132,000. Other high-paying IT roles include Senior Software Engineers and Architects, IT Security Management and Directors, as well as Computer Network Architects.
How does experience affect an IT salary?
Experience has a large impact on how much you can earn within the field of Information Technology. As you gain more knowledge in your current role and progress into higher-level/management positions, you will be rewarded with greater compensation packages. For example, a Software Developer with 1-3 years of experience earns an average of around $77,000 per year. However, salary survey results show that those same Developers can earn upwards of $120,000 annually with 10+ years of experience.
IT salaries by location: US states and cities
The location of an Information Technology role can have a major impact on the salary one earns. Information Technology salaries in the United States vary significantly from state to state and city to city. For example, those working in information systems in states like California, New York, and Massachusetts are typically paid more than their counterparts in other parts of the country due to the higher cost of living in those areas.
Additionally, salary survey participation showed that Information Technology professionals who live and work in cities such as San Francisco, New York City, and Boston can expect to earn even higher salaries than those living elsewhere due to the larger demand for technology talent in these metropolitan areas.
IT salaries by position
Salary survey participation shows that Information Technology salaries by position can vary greatly depending on the type of role and level of experience. For example, Software Engineers typically earn a median of around $93,000 per year, while Database Administrators make around $86,500 annually. More specific positions such as Mobile Application Developers and Systems Analysts are also well compensated with a median salary of around $80,000 and $77,000 respectively. Those with a career in management and those with industry-accepted certifications typically earn more as well.
IT salaries by technology
Depending on your expertise in specific technologies, you can expect to earn much more than the average for IT roles. Those with experience in Cloud Computing and Blockchain technologies tend to make significantly higher salaries due to the increased demand for such skills throughout the industry. Developers who specialize in big data analytics, artificial intelligence (AI), and machine learning also earn higher salaries than their counterparts as these technologies are becoming increasingly popular with businesses of all sizes.
Salary data based on information technology survey
In a recent survey of Information Technology professionals, it was found that the median salary of an IT professional is $90,000 per year. Furthermore, it was found that the salaries of IT professionals vary significantly according to their level of education, job roles, and the specific technologies they specialize in.
For example, Software Engineers earn a median of around $93,000 per year, while Database Administrators make around $86,500 annually. Additionally, those with experience in Cloud Computing and Blockchain technologies tend to make significantly more pay due to the increased demand for such skills throughout the industry.
Lastly, Information Technology professionals who live and work in cities such as San Francisco, New York City, and Boston can expect to earn even higher pay than those living elsewhere due to the larger demand for technology talent in these metropolitan areas.
Overall, Information Technology pay is highly dependent on the specific role and experience level of the individual, as well as their geographic region and technological expertise. Those with higher levels of education, such as a bachelor’s degree, tend to make more money than their counterparts without a bachelor’s degree, and those who live in major cities and specialize in certain technologies are likely to make more than the average salary. Company size also plays a major role. Due to these factors, employers looking to hire or retain IT professionals should do their due diligence when it comes to salary benchmarking.
Information Technology skills associated with higher pay
IT skills that are associated with higher pay include Cloud Computing, Blockchain, big data analytics, artificial intelligence (AI), and machine learning.
Cloud Computing
Cloud Computing expertise is highly sought after due to the scalability, security, and cost savings it provides organizations.
Blockchain technology
Blockchain technology is also becoming popular due to its ability to provide secure transaction records in a distributed manner.
Big data analytics
Big data analytics skills enable businesses to analyze large amounts of data quickly and accurately.
Artificial Intelligence & Machine Learning
Artificial intelligence and machine learning technologies are used for predictive analysis and automated decision-making.
Information Systems
Information Systems (IS) is an interdisciplinary field that integrates technology and business to create systems that produce data-driven solutions. IS professionals are responsible for designing, developing, implementing, and maintaining applications and databases that help a company successfully meet its goals.
Top Paying Companies
The top-paying companies for IT jobs are typically major technology corporations such as Google, Amazon, and Microsoft. These tech giants offer some of the highest pay in the industry, with their software engineers earning an average annual salary of around $124,000. In addition, these companies also offer generous perks such as stock options and other benefits. Other top-paying employers for IT professionals include Apple, Facebook, and Oracle.
What is the highest-paying IT job?
One of the highest-paying IT jobs is that of a software engineer, which is typically associated with large technology corporations such as Google, Amazon, and Microsoft. These tech giants offer some of the highest salaries in the industry, with their software engineers earning an average annual salary of around $124,000.
In addition to this generous salary, these companies also offer generous perks such as stock options and other benefits. Other high-paying IT jobs include Information Systems Analyst, Database Administrator, Mobile Application Developer, and Data Scientist.
Salary data based on Information Technology Survey
According to a recent survey of information technology professionals, salaries for IT roles are highly competitive. The average salary for general IT roles such as IT Administrator and Helpdesk Technician is around $60,000 annually. Those in a more specialized job such as Software Engineer, Systems Analyst, and Web Developer have the potential to earn significantly more with an average salary range of $80,000 – $100,000.
Conclusion
IT salaries can vary greatly based on the type of role and level of employees experience. Professionals who obtain industry-recognized certifications may be able to command higher salaries than those without industry-recognized certifications as employers value professionals with up-to-date knowledge of emerging trends and best practices within the field. The top-paying companies for IT jobs are typically major technology corporations and the highest-paying IT job is that of a software engineer.
