The average salary in Silicon Valley is around $100,000 per year. However, this is affected by numerous factors. Read on to see how we came about that figure and what factors affect it.
Have you ever wondered how much the techies in Silicon Valley earn? It’s no secret that Silicon Valley is home to some of the highest salaries in the world, with many people earning six-figure salaries. What happens in Silicon Valley?
Silicon Valley is a renowned region located in the southern part of the San Francisco Bay Area in Northern California, United States. Historically, it refers to the Santa Clara Valley, but over the years, its scope has expanded to include various cities and communities such as Cupertino, Palo Alto, and Mountain View.
Silicon Valley is a global centre for innovation and technology. It is home to many technology companies, ranging from startups to multinational corporations, all concentrated in one of the world’s most significant hubs for technological advancement.
Many of the world’s most influential technology companies, including Apple, Google, Facebook, and Tesla, have headquarters in this region. Silicon Valley’s collaborative and competitive environment fosters rapid technological advancements, encouraging companies to push the boundaries of what is possible.
Having known what Silicon Valley is and what is going on there, let’s now dive into the full details of the topic. What is the average salary in Silicon Valley?

What Is the Average Engineer Salary in Silicon Valley?
An Engineer in Silicon Valley earns around $88,000 to $152,000 (according to PayScale).
The average engineer salary in Silicon Valley by years of experience:
- Less than 1 year — $109,622
- 1-2 years — $112,626
- 6-9 years — $128,821
- More than 10 years — $147,585
An entry-level software engineer’s salary in Silicon Valley starts at around $87,896 and goes as high as $155,990 for a senior specialist.
By comparison, the average engineer salary in the US is $110,638. A junior engineer earns around $77,437, and a senior engineer earns around $137,429 yearly. The average engineer rate in Silicon Valley is around $60 per hour.
What’s Average Programmer Salary in Silicon Valley by City?
The average programmer salary in Silicon Valley ranges between $122,797 and $174,459 per year (SalaryExpert).
Silicon Valley Salary Comparison by City
City in Silicon Valley | Average Engineer Salary | Average Junior Engineer Salary | Average Senior Engineer Salary |
Mountain View, Palo Alto, Santa Clara, Cupertino | $174,459 | $98,303 | $174,459 |
San Francisco, San Mateo, Sunnyvale, Redwood City, Menlo Park, Belmont | $137,792 | $96,443 | $171,159 |
Alameda | $132,533 | $92,762 | $164,625 |
Solana Beach | $122,797 | $85,948 | $152,533 |
According to the above table, the city that pays the highest average engineer salary in Silicon Valley are Mountain View, Palo Alto, Santa Clara, and Cupertino ($98,303-$174,459), and the lowest is Solana Beach ($85,948-$152,533) followed by Alameda ($92,762-$164,625).

What Companies Pay the Highest Average Engineer Salary in Silicon Valley?
Microsoft, Google, Apple, Uber, Facebook, Netflix, eBay, Cisco Systems, PayPal, Yahoo, LinkedIn, SalesForce, and many other world-known tech companies have offices in Silicon Valley.
These tech giants fuel competition by snatching local talent and offering attractive salaries. By doing this, they also significantly raise the overall business price.
Average Engineer Salary in Silicon Valley by Company
According to Indeed, the average engineer salaries in Silicon Valley by company are below.
1. eBay

42% Above the national average
Software Engineer – $145,849
Senior Software Engineer – $172,458
Senior Product Manager – $144,157
2. Google

32% Above the national average
Software Engineer – $130,659
Software Developer – $134,458
Senior Software Engineer – $163,107
3. Apple

72% Above the national average
Software Engineer – $176,268
Senior Software Engineer – $183,707
Software Engineering Manager – $204,155
4. Uber

54% Above the national average
Software Engineer – $157,995
Senior Software Engineer – $178,905
Software Engineering Manager – $188,072
5. Facebook

56% Above the national average
Software Engineer – $159,920
Engineering Lead – $207,782
Software Engineering Manager – $246,221
6. Netflix

186% Above the national average
Senior Software Engineer – $357,213
Front End Developer – $336,354
Full Stack Developer – $155,259
7. PayPal

Meets national average
Senior Software Engineer – $125,782
Software Engineering Manager – $170,240
Senior Product Manager – $164,722
8. LinkedIn

77% Above the national average
Software Engineer – $181,569
Senior Product Manager – $200,218
Front End Developer – $139,476
9. Amazon

77% Above the national average
Software Engineer – $126,1732
Senior Product Manager – $100,083
Software Engineering Manager – $184,448
Average Salary for Software Engineers in FAANG Companies
FAANG is an acronym that brings together 5 most popular tech companies in Silicon Valley. They are Facebook, Amazon, Apple, Netflix and Google.
Average Salary of Facebook Software Engineers
Almost everyone worldwide uses Facebook today. Thanks to the excellent job of their software engineers.
Facebook Software engineers earn around $148,640 per year, according to Comparably.
Average Salary of Amazon Software Engineers
A software engineer who works with Amazon earns an average salary of $149,485 per year, according to Comparably.
Average Salary of Apple Software Engineers
Apple is one of the world’s largest tech-oriented companies. They pay their software engineers an average yearly salary of $132,640.
Average Salary of Netflix Software Engineers
According to Comparably, software engineers at Netflix earn an average of $138,643 annually.
Average Salary of Google Software Engineers
It certainly won’t be surprising to know that the highest-paid software engineers in Silicon Valley work with Google. On average, the yearly salary for a Google software engineer is $156,806, according to comparably.
What is the starting salary in Silicon Valley?
As of 2023, the starting salary in Silicon Valley for startups is around $84,987 per year in the United States. That equals approximately $40.86 per hour, $1,634 per week or $7,082 monthly.

Factors Influencing Average Salary in Silicon Valley
Several factors influence average salaries in any given region, including Silicon Valley. Here are some key factors that play a significant role in determining average salaries:
1. Experience
Experience is one of the significant factors affecting the average salary in Silicon Valley. This is because companies in the area highly value experience and often look for candidates with significant experience when hiring.
In addition, many companies offer higher salaries to those with more experience to retain top talent. As a result, it’s common to see a significant difference in salary between those with 5 years of experience and those with 10 or more years of experience.
2. Skills and Qualifications
Skills and qualifications can also significantly impact the average salary in Silicon Valley. For example, professionals with specific technical skills or credentials, such as a computer science degree, can often command higher salaries than those without these skills or credentials.
This is because companies in the area often look for people with specialized skills who can help them stay ahead of the competition. In addition, specific soft skills, such as communication and problem-solving, can also affect salary potential.
3. Industry
The specific an individual works in also affects the average salary in Silicon Valley. For example, salaries in the technology industry tend to be higher than in other industries. This is due to the high demand for workers with specialized skills and knowledge in the tech sector.
In addition, the cost of living in Silicon Valley is also high, which can drive up salaries in the area. Other industries with high salaries in Silicon Valley include finance, healthcare, and law.
4. Size of Company
Generally, larger companies have higher salaries than smaller companies. This is because they often have more resources and can afford higher salaries.
In addition, more prominent companies often have more complex structures and require workers with specialized skills and knowledge. As a result, they are willing to pay more to attract and retain top talent. Smaller companies, on the other hand, may not have the same level of resources and may not be able to offer as high of a salary.
5. Company Type
For example, salaries at startups tend to be lower than salaries at more established companies. This is because startups often have less money to pay employees, and they may be unable to offer more benefits than larger companies.
On the other hand, people who work at startups often have the opportunity to earn equity in the company, which can be valuable if the company is successful. As a result, startup salaries can be lower than average, but they can also have a high potential upside.
6. Location
Location is another essential factor regarding the average salary in Silicon Valley. The salary structure in the San Francisco Bay Area, where Silicon Valley is located, tends to be higher than in other parts of the country. This is due to the high cost of living in the Bay Area and the concentration of high-paying tech jobs.
In addition, cities like San Francisco and Palo Alto are home to many of the world’s most valuable companies, which can also drive up salaries.
Average Salary Trends over the years
Silicon Valley historically boasts salaries significantly above the national average due to the concentration of high-paying tech jobs.
Disparities between Silicon Valley and national averages highlight the region’s unique economic dynamics and job market demands.
Over the past few years, average salaries in Silicon Valley have steadily increased. In 2020, the average salary was around $140,000; in 2021, it rose to around $160,000. And in 2022, the average salary is even higher, at around $170,000.
This upward trend is partly due to the increasing demand for tech talent in the area and the high cost of living in the Bay Area. In addition, companies in Silicon Valley are increasingly competing for top talent by offering higher salaries and other benefits.
Average Salary In Silicon Valley 2022
The average salary in Silicon Valley for 2022 is around $170,000. However, this number can vary depending on a person’s job title, industry, and experience level.

What is the Average Salary for a Software Engineer in Silicon Valley?
A software engineer in Silicon Valley earns an average of around $130,000 per year. However, salaries vary depending on experience, skills, and the specific company a person works for.
How Much Do People in the Tech Industry Earn?
Salaries in the tech industry in Silicon Valley are higher than in other industries. For example, the salary for a software engineer is much higher than the average salary for a teacher or nurse. On average, people in the tech industry earn around $100,000 annually.
What is the Average Salary for an Engineer with 5 years of Experience in Silicon Valley?
A software engineer with 5 years of experience in Silicon Valley earns around $160,000 annually.
Average Salary in Silicon Valley per Month
The average monthly salary in the area ranges from around $8,000 to $20,000. Those working in higher-paying industries, such as tech, earn salaries on the higher side of this range. Those living in areas with a higher cost of living, such as San Francisco, may also have higher salaries.
When it comes to salaries in Silicon Valley, many people have high expectations, often fueled by stories of tech workers earning considerable salaries and living a luxurious lifestyle. However, the reality is that the average salary in the area may not live up to these expectations.
For example, while salaries in the tech industry are generally high, not everyone working in Silicon Valley is in tech, and not everyone working in tech earns a high salary. Additionally, the cost of living in the Bay Area is very high, which can eat into any salary, no matter how high it is. What can you say about this? Let me know your thoughts in the comments box.
Average Salary in Silicon Valley: Future Outlook
Looking into the future, it’s hard to say what the average salary in Silicon Valley will be. However, some trends could affect salaries in the area. One is the ongoing shift towards remote work.
As more companies allow their staff to work remotely, salaries in Silicon Valley may become less competitive. Additionally, the cost of living in the Bay Area will likely continue to rise, making living on a high salary even harder.
Also, new tech hubs may emerge and could attract talent away from Silicon Valley, which could also affect salaries in the area.
Moreover, the rise of emerging technologies like AI, blockchain, and quantum computing will create demand for specialized skills, potentially driving salaries higher in these fields.
In general, the global tech landscape will continue to evolve. Silicon Valley will face increased competition from other tech hubs worldwide. This competition might impact salary growth, leading to more strategic talent acquisition and retention efforts by companies. On the other hand, it is hard to predict!
Conclusion
The average salary in Silicon Valley is relatively high. However, it’s important to remember that salaries can vary based on many factors. The cost of living in the Bay Area is also very high, making it difficult to live a comfortable lifestyle, even with a high salary.
In addition, while some people may strike it rich in Silicon Valley, this is not the reality for most people working there. The most important thing is to find a job that you enjoy and pays you enough to live comfortably, regardless of whether it’s in Silicon Valley or elsewhere. What do you think?
Sources: https://colab.research.google.com/