Best States For Software Engineers – The verdict is in: Although Silicon Valley is home to many of the most desirable tech companies, it’s no longer a tech powerhouse.
New research data from jobs and search website Glassdoor shows that over the past five years, the share of computer science jobs in San Jose, California has seen its biggest valley.
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And it’s not like these jobs are scarce in the United States. In fact, software engineers are the most in-demand employees today. Instead, tech jobs are moving to other areas and metro regions, Glassdoor Chief Economist Andrew Chamberlain told CNBC Make It.
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Chamberlain analyzed all unique job postings (based in the United States) with the word “software” in the title—such as software developer and software engineer—available on the website on June 1, 2012. He conducted the same job search on June 1, 2017.
Chamberlain points out that with today’s economy and low unemployment in the US, job seekers – especially in the computer industry – are in the driver’s seat as they attract workers.
Here are the top 10 places to find tech jobs outside of Silicon Valley, based on the share of computer job openings in each metro area.
Seattle, the home of Microsoft technology, has seen huge gains in investment in computer equipment. But Chamberlain says that growth is largely driven by retail giants Amazon and Walmart.
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While digital image rentals include IBM, HP, and Oracle in Washington, D.C., there are many educational companies such as Lexis Nexis, Cengage, and Kaplan to choose from.
Major automakers such as Ford and General Motors still rely heavily on software engineers for automation rather than traditional manufacturing jobs, the Chamberlain report said.
Research by Glassdoor shows that IT workers living in this and other cities with a lower cost of living have been able to increase their wages.
“The low cost of living is one of the reasons why Denver has seen growth in technology, and as a result, there is a huge demand for software-related talent,” Chamberlain said.
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Some of the non-traditional tech companies looking for software engineers in this city include iHeartMedia, Home Depot and Ineed, which was voted one of Fortune’s Best Places to Work in Texas this year.
Although not far from Silicon Valley itself, San Francisco currently has nearly 20,000 software-related job openings. Among them are retail companies Gap, General Electric and Under Armour.
Companies like AT&T, Match.com and Capital One are among the 12,000 computer gigs currently available in this part of Texas. Like many other cities on this list, Dallas has been known for having technology for several years.
Chamberlain points out that New York City, like San Francisco, is an important center for banking and financial services.
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“As the industry continues to adopt new technologies, from securing online payments to mobile devices, hiring for digital jobs has grown exponentially,” Chamberlain said on CNBC Make It.
Disney Parks and Resorts Deloitte and Universal Studios are just a few examples of places that are not traditional tech companies but need digital talent.
“Today, more than ever, companies are looking for new low-cost office accommodation in nearby universities where they can hire young talented software developers, but enjoy the fact that the cost of living can be a fraction of real estate in some cases. said Chamberlain.
Deutsche Bank, Fidelity and Credit Suisse are just a few examples of companies looking for software in these two metropolises. Raleigh alone is home to at least 11 universities and colleges.
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“Fresh computer science and engineering graduates coming out of university often want to stay close to where they went to school, which provides a job market for employers,” Chamberlain told CNBC Make It. At the start of 2020, it was hard to find an industry that wasn’t expected to see job growth over the next decade. Even sectors that are lagging were expected to see an increase as a strong economy made it harder to find skilled workers.
What a difference a year and an illness make. The latest figures from the Office of Labor and Statistics still expect job growth across the board, but it appears to be about 20% lower than previous estimates.
The numbers for software engineers have rebounded, but they’re not the same as the general job market. Although it is not completely sick or declining in the economy, but software engineering remains a strong role to pursue. Last year, the industry was expected to gain 26% over 10 years. It currently stands at around 22%, which is more than 5 times the national average for all businesses.
The average salary for computer equipment in 2019 is $107,510 per year, which is a fixed salary depending on where you live. Higher wages are usually found in areas with a higher cost of living. Most of the high paying jobs are in the east and west. Colorado, which was strong last year, continues to be an area with good wages. One state that has moved up is Texas, a state known for its increased acceptance of tech companies.
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One thing to remember when looking at BLS data is that you can’t see the status. There are records that also look at metropolitan areas and individual counties. When you search, you should find six-figure salaries in states with lower total wages. High-wage states will also have pockets of lower wages, but in areas that are more affordable.
This region of the country has more states that offer higher wages than others. New York, the District of Columbia, Virginia, Maryland, Massachusetts, New Jersey, Delaware, New Hampshire, and Rhode Island are all states that offer salaries in the $107,000 to $135,000 range. All other states are in the $90,000 to $107,000 range. Depending on where you live, this could be a very good salary, a good salary or a low salary.
Pennsylvania is the cheapest state in the region. Delaware and New Hampshire are cheaper than the rest of the region, but still high. Virginia also seems to be cheap, but their numbers are based mostly in the south and west of the state. Northern Virginia metro areas like Arlington and Alexandria have very high rates. If you can find a good paying job in a low paying part of the state, it can be as good as Pennsylvania.
High wages are hard to come by in the south, but things are improving in this region as well. North Carolina, South Carolina, Georgia, Alabama, and Florida are very competitive with the Northeast and West. When you go inland, it can be difficult. West Virginia, Kentucky, Tennessee, Arkansas, Mississippi and Louisiana all rank among the lowest. One of the advantages of software engineering is that even though the salary is low, it is better than many other industries. It is still possible to earn salaries of up to $90,000 in these states.
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The South continues to be one of the most affordable places to live in the country. States with higher wages also tend to have higher costs of living, but these areas are below the national average.
With the exception of the Dakotas, all states offer salaries in the $90,000-$107,000 range. You’ll have a better chance of earning a six-figure salary if you look at Illinois and Minnesota. North and South Dakota are the lowest.
The next cheapest places to live are just a few states that hover close to the national average. The further north you go, the higher the cost of living, and Minnesota has the highest COL index in the region.
The Midwest, traditionally a low-wage area, is also growing. Texas leads by far. Several major cities in the Lone Star State have made a concerted effort to attract tech companies to the area. This is an area where you will find good and well-paid jobs. Nebraska, Iowa, Kansas and Missouri are also starting to see wage increases. Oklahoma remains a state in a group that continues to be at the bottom.
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With a reasonable cost of living and rising wages, the Midwest has become the place with the best balance of wages and expenses. Almost every state is ranked in the top 10 for affordability. Some metro areas won’t be cheap, but the region is the easiest to pay for. This region is also becoming more attractive because rising wages along with stable COL means you will make more money.
This region is also controlled by one state, Colorado. Like Texas, the state has made major efforts to attract tech companies and their employees, particularly to the Boulder and Denver areas. Arizona and Utah are very competitive with the Centennial State, so there is an increase in those two states. New Mexico, while an area that has historically used technology, lags behind Wyoming and most of Montana.
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