TL;DR

  • BLS reports Texas Software Engineer median pay at $130,500. Adjusted for state cost of living, real purchasing power equals $134,342.
  • Cost adjustment is small — neither an arbitrage state nor a high-cost penalty.
  • P25-P75 spread runs $102,060 to $160,240; P10 floor $79,490, P90 ceiling $174,710.
  • Nominal: #16/51 · Real: #8/51 — ranking shifts by 8 positions after RPP.

Wage breakdown — Texas

Percentile Nominal (BLS) Real (BEA RPP-adjusted)
P10 (entry tier)$79,490$81,830
P25 (lower quartile)$102,060$105,065
P50 (median)$130,500$134,342
P75 (upper quartile)$160,240$164,958
P90 (top tier)$174,710$179,854
Mean$133,280$137,204
Employment151,460 Software Engineers in Texas

Cost of living — BEA Regional Price Parity

ComponentTexas index (US = 100)
All-items RPP97.1
Goods98.1
Services92.4
Rents97.5

Texas's overall RPP (97.1) is close to the national 100 baseline; nominal and real wage move roughly together.

After-tax take-home — Texas (2024 BLS · 2024 tax year, single filer)

Layer-by-layer take-home math at the BLS median

LayerAmountNote
Gross BLS P50 (Software Engineer)$130,500nominal median
Federal income tax−$20,13815.4% effective; std deduction $15,750 applied
State income tax$0no state income tax
FICA (SS 6.2% + Medicare 1.45%)−$9,983SS capped at $183,600 wage base
Take-home (after-tax)$100,37976.9% of gross
Real take-home (RPP-adjusted)$103,334÷ (97.1 / 100) BEA cost-of-living

What the Texas state-tax burden means for Software Engineer take-home

Texas levies no state income tax on wages, which is worth roughly $6,525 a year for a Software Engineer at the BLS median compared with the national-average state burden (≈5%). After the favorable cost of living, real take-home is $103,334higher than the nominal after-tax figure because RPP is below 100.

Computed from 2026 IRS federal brackets (Rev. Proc. 2025-32), 2026 state DOR brackets, and 2026 FICA rates. Single filer, standard deduction, no other adjustments. See methodology · tax for limitations (married filers, ITM/SALT itemizers, retirement deferrals, HSA, dependent credits, etc.).

National context

Across the United States, BLS reports a national median of $133,080 for Software Engineers with mean pay of $144,570 and total employment of 1,654,440. Texas sits at #16 on nominal pay and #8 on real (cost-adjusted) pay among the 51 states and DC. After cost adjustment, Texas climbs 8 positions — the cost of living is favorable relative to the wage.

Frequently asked questions

How much does a Software Engineer make in Texas?
BLS reports a median annual wage of $130,500 for Software Engineers in Texas as of the latest OES release. That is the 50th-percentile figure — half earn more, half earn less. The 25th-percentile is $102,060 and the 75th-percentile is $160,240.
What is the real (cost-adjusted) Software Engineer salary in Texas?
After BEA RPP adjustment (regional price parity index 97.1 for Texas), the real-wage equivalent is $134,342 — what the $130,500 nominal salary actually buys. Quartiles in real terms: $105,065 to $164,958.
How are Texas Software Engineer salaries calculated on this page?
Nominal wages come from BLS Occupational Employment and Wage Statistics (OES) — annual employer surveys, May 2026 reference period. Real-wage figures use BEA Regional Price Parities (2023 vintage) to adjust for state-level cost of living. No self-report or jobs-board data is mixed in.
What does the top of the Software Engineer pay scale look like in Texas?
The 90th percentile lands at $174,710. That tier typically reflects senior roles, specialty certifications, high-cost-of-living metros within the state, or union-negotiated rate cards. Below that, the P75 quartile is $160,240.
Why is the BEA RPP for Texas different from a single CPI number?
BEA splits regional price parity into three components — goods, services, and rents — reweighted to the BEA's national consumption basket. Texas's overall index of 97.1 reflects rents 97.5, services 92.4, and goods 98.1.
Should I negotiate based on the BLS median for Texas?
The BLS median is a calibration anchor, not a ceiling. Use it to validate that an offer is in-band — anything well below the P25 in this state is a flag, anything above the P75 typically requires demonstrable specialty depth, niche credentials, or a high-COL metro within Texas.
How does remote work affect software engineer pay in Texas?
Remote-first companies typically anchor pay to one of three reference markets (Bay Area, NYC, or a national average) regardless of where the engineer lives. Texas-resident engineers working remotely for high-CoL companies can earn well above the in-state BLS median; the BEA RPP-adjusted real wage advantage is meaningful. Conversely, location-adjusted remote bands compress the spread.

Sources & methodology

  • U.S. Bureau of Labor Statistics — Occupational Employment and Wage Statistics (OES), SOC 15-1252, 2024 reference period.
  • U.S. Bureau of Economic Analysis — Regional Price Parities, 2023 vintage (all-items, goods, services, rents).
  • Real-wage figures = nominal BLS wage ÷ (state RPP / 100).
  • See the methodology page for full computation details and limitations.

Cross-comparison: see how Texas Software Engineer pay ranks against the other 254 state × occupation pages on the Real Wage Atlas → — four-way ranking by real wage, after-tax take-home, state-tax savings, and cost-of-living arbitrage.