Salary Comparison

Software Engineer Salary:
Austin, TX vs Houston, TX

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

Austin, TX
$159,836
/ year
+14%
difference
Houston, TX
$140,646
/ year
Bottom line: Houston offers better purchasing power despite Austin paying more gross. How is this calculated? →
Metric
Austin
Houston
Median Gross Salary
Annual, before tax
$159,836✓ higher
$140,646
Entry Level
0–2 years experience
$103,365✓ higher
$90,955
Senior Level
8+ years experience
$247,158✓ higher
$217,484
Est. Take-Home Pay
After income tax + FICA
$107,181✓ higher
$95,599
Purchasing Power
Equivalent in median-CoL city
$142,711
$143,516✓ higher
Cost of Living Index
Relative to US median (1.00)
1.12×
0.98×✓ lower
Percentile 10 (Low)
Bottom 10% of earners
$103,365✓ higher
$90,955
Percentile 90 (High)
Top 10% of earners
$247,158✓ higher
$217,484

What if you move from Austin to Houston?

Gross salary change
$19,190
14% decrease
Take-home change
$11,582
per year after tax
Purchasing power change
+$805
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 1.00×). Full methodology →

Salary Range Comparison

Austin, TX$159,836
P10: $103,365Median: $159,836P90: $247,158
Houston, TX$140,646
P10: $90,955Median: $140,646P90: $217,484

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Frequently Asked Questions

▶Does a Software Engineer earn more in Austin or Houston?

The median Software Engineer salary in Austin, TX is $159,836/yr compared to $140,646/yr in Houston, TX. Austin pays 14% more in gross terms.

▶Is a Software Engineer salary worth more in Austin or Houston after cost of living?

After adjusting for local cost of living, your Austin salary has the purchasing power of $142,711/yr in a median-cost city, vs $143,516/yr for Houston. Houston offers stronger real purchasing power.

▶What is the take-home pay for a Software Engineer in Austin vs Houston?

After estimated taxes, a Software Engineer in Austin, TX takes home approximately $107,181/yr, vs $95,599/yr in Houston, TX. These are estimates based on standard federal tax rates and do not account for state/local taxes or deductions.