Salary Comparison

AI Engineer Salary:
Austin, TX vs Chicago, IL

Side-by-side gross salary, after-tax take-home pay, and purchasing power comparison. Updated June 2026.

Austin, TX
$205,729
/ year
+6%
difference
Chicago, IL
$193,908
/ year
Bottom line: Austin wins on all three metrics โ€” higher salary, more take-home pay, and greater purchasing power. How is this calculated? โ†’
Metric
Austin
Chicago
Median Gross Salary
Annual, before tax
$205,729โœ“ higher
$193,908
Entry Level
0โ€“2 years experience
$133,044โœ“ higher
$125,399
Senior Level
8+ years experience
$318,124โœ“ higher
$299,844
Est. Take-Home Pay
After income tax + FICA
$137,717โœ“ higher
$129,679
Purchasing Power
Equivalent in median-CoL city
$183,687โœ“ higher
$168,616
Cost of Living Index
Relative to US median (1.00)
1.12ร—โœ“ lower
1.15ร—
Percentile 10 (Low)
Bottom 10% of earners
$133,044โœ“ higher
$125,399
Percentile 90 (High)
Top 10% of earners
$318,124โœ“ higher
$299,844

What if you move from Austin to Chicago?

Gross salary change
$11,821
6% decrease
Take-home change
$8,038
per year after tax
Purchasing power change
$15,071
equivalent real income

Take-home pay is estimated using 2024 US federal tax brackets (single filer) + 7.65% FICA, or a blended international effective rate. Purchasing power converts gross salary to an equivalent in a US median cost-of-living city (index 1.00ร—). Full methodology โ†’

Salary Range Comparison

Austin, TX$205,729
P10: $133,044Median: $205,729P90: $318,124
Chicago, IL$193,908
P10: $125,399Median: $193,908P90: $299,844

Frequently Asked Questions

โ–ถDoes a AI Engineer earn more in Austin or Chicago?

The median AI Engineer salary in Austin, TX is $205,729/yr compared to $193,908/yr in Chicago, IL. Austin pays 6% more in gross terms.

โ–ถIs a AI Engineer salary worth more in Austin or Chicago after cost of living?

After adjusting for local cost of living, your Austin salary has the purchasing power of $183,687/yr in a median-cost city, vs $168,616/yr for Chicago. Austin offers stronger real purchasing power.

โ–ถWhat is the take-home pay for a AI Engineer in Austin vs Chicago?

After estimated taxes, a AI Engineer in Austin, TX takes home approximately $137,717/yr, vs $129,679/yr in Chicago, IL. These are estimates based on standard federal tax rates and do not account for state/local taxes or deductions.