New Survey Indicates Tech Compensation is on the Rise

The average salary of a U.S. employee in the technology sector reached $96,370 last year, an increase of 7.7 percent over 2014. Meanwhile, average salaries for professionals in this vertical hit six figures in seven markets in 2015.

These numbers come courtesy of tech careers site Dice, which released the data from its latest annual salary survey just last week.

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Not surprisingly, Silicon Valley topped the 2015 metro area list, with the average tech salary there at $118,243, an increase 5 percent from the previous year. New York is next on the list, with an average 2015 tech salary of $106,263, and the highest year-over-year growth at 11 percent. Los Angeles ($105,091 at 10 percent annual growth), Boston ($103,675 at 7 percent), Seattle ($103,309 at 4 percent), Baltimore/Washington, D.C. ($102,873 at 5 percent), Minneapolis ($100,379 at 9 percent), and Portland, Ore. ($100,309 at 10 percent) were the other top-earning markets.

Bonuses and contract rates are also on the rise. The average bonus in 2015, according to Dice, was $10,194, a 7 percent increase from the year prior. (Thirty-seven percent of tech professionals received bonuses in both 2014 and 2015.)

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Contractors in tech have also been feeling the love. There was a 5 percent increase in hourly rates, reaching an average of $70.26 an hour, and those in the health care, industrial/chemical, professional services, and utilities/energy arenas did better than that.

“The competition for tech talent today is undeniable,” said Dice President Bob Melk. “Demand for skilled talent and low unemployment rates for tech professionals aren’t making the hiring landscape any easier. Employers realize offering competitive pay is a necessity. What’s promising is the tech industry recognizes the need to fill open seats as well as to reward tech talent for their hard work.”

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