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Software Developer in Montgomery, AL

Comprehensive guide to software developer salaries in Montgomery, AL. Montgomery software developers earn $123,747 median. Compare to national average, see take-home pay, top employers, and best neighborhoods.

Median Salary

$123,747

Vs National Avg

Hourly Wage

$59.49

Dollars / Hr

Workforce

1.2k

Total Jobs

Growth

+17%

10-Year Outlook

Software Developer Career Guide: Montgomery, Alabama

If you're a software developer considering a move to Montgomery, you're looking at a city that's quietly building a reputation as a tech hub in the Deep South. As someone who's watched the local scene evolve over the past decade, I can tell you Montgomery offers a unique blend of government-adjacent tech work, military contracts, and a surprisingly vibrant startup ecosystem—all with a cost of living that's nearly 10% below the national average. Let's break down what your life as a developer would actually look like here.

The Salary Picture: Where Montgomery Stands

Montgomery's software development market pays competitively, especially when you factor in the low cost of living. The median salary for software developers here is $123,747/year, which translates to an hourly rate of $59.49/hour. This is slightly below the national average of $127,260/year, but that gap closes dramatically when you account for housing costs.

The metro area supports 1,171 software developer jobs with a 10-year job growth of 17%—faster than many comparable Southern cities. The growth is driven by defense contractors, healthcare tech, and the state's digital transformation initiatives.

Here's how salaries break down by experience level:

Experience Level Years Salary Range Key Employers
Entry-Level 0-2 $65,000 - $85,000 State agencies, small startups
Mid-Level 3-5 $90,000 - $120,000 Regional banks, hospitals, defense contractors
Senior-Level 6-10 $125,000 - $160,000 Major contractors, corporate HQs
Expert/Lead 10+ $160,000 - $200,000+ Specialized defense, healthcare IT leadership

When comparing to other Alabama cities:

  • Birmingham offers higher salaries ($133,680 median) but has a higher cost of living
  • Huntsville (tech hub) pays significantly more ($140,000+ for defense roles) but is more competitive
  • Mobile pays less ($118,000) but has port-related tech opportunities
  • Montgomery hits the sweet spot for work-life balance and purchasing power

Insider tip: Many developers here work remotely for companies based in Birmingham or Atlanta but live in Montgomery for the lower costs. This hybrid approach can boost your effective salary by 15-20%.

📊 Compensation Analysis

Montgomery $123,747
National Average $127,260

📈 Earning Potential

Entry Level $92,810 - $111,372
Mid Level $111,372 - $136,122
Senior Level $136,122 - $167,058
Expert Level $167,058 - $197,995

Wage War Room

Real purchasing power breakdown

Select a city above to see who really wins the salary war.

The Real Take-Home: After Taxes and Rent

Let's get real about what $123,747/year means in your pocket. The first thing to understand: Alabama has a flat state income tax of 5%, plus federal taxes. For a single filer with no dependents, here's the math:

  • Gross monthly: $10,312
  • Federal tax (est.): -$2,000
  • Alabama tax (5%): -$515
  • FICA (7.65%): -$789
  • Net monthly: $7,008

Now, Montgomery's average 1BR rent is $913/month, but this varies significantly by neighborhood (more on that later). Let's build a realistic monthly budget for a mid-career developer earning the median salary:

Expense Category Monthly Cost Notes
Rent (1BR apartment) $1,100 Above average but decent area
Utilities $200 Electric, water, internet
Groceries $400 Competitive prices
Transportation $300 Car payment/insurance/gas
Health Insurance $300 Employer-subsidized
Retirement (10%) $1,031 Pre-tax 401k contribution
Discretionary $800 Entertainment, dining, etc.
Total $4,131 Remaining: $2,877

With $2,877/month of disposable income after essentials, homeownership becomes very attainable. The median home price in Montgomery is approximately $185,000. With 10% down ($18,500) and current mortgage rates (around 7%), your monthly payment would be roughly $1,400 including taxes and insurance. That's only $300 more than renting a comparable space, and you're building equity.

Insider tip: Many developers here buy homes in the 3-5 year range, much faster than in tech hubs like Austin or Seattle where down payments can take a decade.

💰 Monthly Budget

$8,044
net/mo
Rent/Housing
$2,815
Groceries
$1,207
Transport
$965
Utilities
$643
Savings/Misc
$2,413

📋 Snapshot

$123,747
Median
$59.49/hr
Hourly
1,171
Jobs
+17%
Growth

Where the Jobs Are: Montgomery's Major Employers

Montgomery's tech job market is anchored by government, defense, and healthcare. Unlike pure tech cities, you'll find more "mission-driven" organizations here, which often translates to better work-life balance but slightly lower salaries.

1. State of Alabama IT Department

  • Location: Downtown, near the Capitol
  • Size: ~200 tech employees
  • Focus: Digital transformation, citizen services, legacy system modernization
  • Hiring Trend: Steady, with emphasis on cloud migration (AWS/Azure) and cybersecurity
  • Typical Roles: Full-stack developers, DevOps engineers, project managers
  • Pay: Competitive with benefits (pension plan)
  • Insider note: The state is notoriously slow to hire, but once you're in, job security is excellent

2. Maxwell-Gunter Air Force Base (Contractors)

  • Location: East Montgomery, near I-85
  • Key Contractors: Raytheon, Lockheed Martin, Booz Allen Hamilton, SAIC
  • Focus: Defense software, cybersecurity, AI/ML for military applications
  • Hiring Trend: Very active, especially for cleared developers
  • Typical Roles: Systems engineers, embedded software, full-stack (DoD systems)
  • Pay: $130,000 - $180,000 for cleared roles
  • Insider tip: You need a security clearance (Secret or TS/SCI) for most positions. The process takes 6-12 months but is often sponsored by employers

3. Baptist Health & Ascension Alabama

  • Location: Downtown (Baptist) & East Montgomery (Ascension)
  • Focus: EHR systems, telehealth, data analytics
  • Hiring Trend: Growing, driven by healthcare digitization
  • Typical Roles: Healthcare software developers, data engineers, integration specialists
  • Pay: $95,000 - $140,000
  • Insider tip: Healthcare IT here is less stressful than at large hospital systems in bigger cities

4. Alabama Power / Southern Company

  • Location: Downtown headquarters
  • Focus: Grid management software, customer portals, smart grid tech
  • Hiring Trend: Moderate, with digital transformation initiatives
  • Typical Roles: Full-stack developers, data scientists, mobile developers
  • Pay: $110,000 - $150,000
  • Insider tip: Excellent benefits and stability, but corporate culture can be slow-moving

5. Regional Banks (Regions Bank, Synovus)

  • Location: Downtown and East Montgomery
  • Focus: Digital banking, mobile apps, fraud detection
  • Hiring Trend: Steady, with periodic hiring surges
  • Typical Roles: Frontend developers, backend engineers, security specialists
  • Pay: $100,000 - $140,000
  • Insider tip: These banks have been expanding their Montgomery tech teams to reduce dependence on Atlanta offices

6. Local Startups & Small Tech Firms

  • Key Players: Fennel, Redstone Systems, Montgomery Tech Collective co-working
  • Focus: B2B SaaS, govtech, education tech
  • Hiring Trend: Emerging, with most growth in the last 5 years
  • Typical Roles: Full-stack developers, product managers, growth engineers
  • Pay: $80,000 - $120,000 + equity
  • Insider tip: Most startups here are bootstrapped or have small VC backing, so equity is meaningful but liquidity is uncertain

7. Auburn University at Montgomery (AUM)

  • Location: East Montgomery, near the campus
  • Focus: EdTech, research software, administrative systems
  • Hiring Trend: Occasional, tied to grants and initiatives
  • Typical Roles: Research developers, IT support, instructional tech
  • Pay: $70,000 - $95,000 (academic pay scale)
  • Insider tip: Great for work-life balance and continuing education benefits

Hiring Trends to Watch:

  • Cybersecurity is exploding due to Maxwell-Gunter's needs
  • Healthcare IT is growing as Baptist Health expands
  • Remote work has allowed Montgomery developers to tap into Atlanta/Dallas markets while living locally
  • Contract-to-hire is common, especially with defense contractors

Getting Licensed in AL

Alabama doesn't require state-specific licensing for software developers (unlike some states with "software engineering" licenses). However, there are important certifications and clearances to consider:

1. Professional Certifications (Optional but Valuable)

  • AWS Solutions Architect: $150 exam, 3-6 months study
  • CompTIA Security+: $392 exam, 2-4 months study (valuable for defense contractors)
  • Certified Kubernetes Administrator: $300 exam
  • No state-specific requirements, but these are valued by employers

2. Security Clearances (For Defense Work)

  • Secret Clearance: 6-9 months processing, $0 cost if sponsored
  • TS/SCI Clearance: 12-18 months, $0 if sponsored
  • Process: Employer sponsors, then extensive background check
  • Timeline: Start applying for cleared roles immediately; clearance can be obtained on the job
  • Tip: Even "clearance eligibility" (interim) can get you in the door

3. Business Licenses (If Freelancing/Starting a Company)

  • State Business Registration: $100-250
  • City of Montgomery Business License: $50-200 annually
  • Timeline: 1-2 weeks to register
  • Resources: Alabama Secretary of State website, Montgomery City Hall

4. Continuous Education

  • AUM Continuing Ed: Courses in new technologies
  • Meetups: Montgomery Tech Meetup (bi-weekly)
  • Online: No state requirements for continuing education

Timeline to Get Started:

  • Week 1-2: Update LinkedIn, start applying to Montgomery roles
  • Month 1-2: Interview process (2-4 weeks typical)
  • Month 2-3: Start new job, begin clearance process if needed
  • Month 3-6: Settle in, build local network

Best Neighborhoods for Software Developers

Montgomery is a driving city—public transit is limited, so your neighborhood choice directly impacts your commute. Here are the top areas for developers, balancing commute time, lifestyle, and cost.

1. Downtown / Capitol Hill

  • Commute to Major Employers: 5-10 minutes to state offices, Alabama Power, banks
  • Vibe: Historic, walkable, growing coffee shop scene
  • 1BR Rent: $1,000 - $1,400
  • Best For: Young professionals who want urban living
  • Insider Tip: The downtown revitalization is real—new restaurants and coworking spaces are opening regularly. Check out the Montgomery Tech Collective for remote work days.

2. East Montgomery / Dalraida

  • Commute to Maxwell-Gunter: 10-15 minutes
  • Vibe: Suburban, family-friendly, good schools
  • 1BR Rent: $900 - $1,200
  • Best For: Contractors needing quick base access
  • Insider Tip: Many defense contractors live here for the easy commute. The area has excellent grocery stores (Publix, Walmart) and is 10 minutes from the Eastern Shore (Prattville) for shopping.

3. Cloverdale / Historic Garden District

  • Commute to Downtown: 10-15 minutes
  • Vibe: Quaint, walkable, older homes with character
  • 1BR Rent: $850 - $1,200 (mostly older apartments or converted homes)
  • Best For: Developers who want character and walkability
  • Insider Tip: This is where the "creative class" is moving. The neighborhood has the best mix of local coffee shops (like Prevail Union) and proximity to downtown jobs.

4. The Woods / Vaughn Road

  • Commute to Baptist Health: 10-15 minutes
  • Vibe: Quiet, residential, near shopping centers
  • 1BR Rent: $800 - $1,100
  • Best For: Healthcare IT professionals working at Baptist
  • Insider Tip: This area has the best value for proximity to healthcare employers. The schools are rated highly if you have or plan to have children.

5. Pike Road (Outskirts)

  • Commute to Downtown: 20-25 minutes
  • Vibe: Newer developments, more space, rural feel
  • 1BR Rent: $750 - $1,000 (mostly new apartment complexes)
  • Best For: Remote workers or those wanting more house for the money
  • Insider Tip: If you're remote or work hybrid, this is where you can get a 2BR for downtown 1BR prices. The area is growing rapidly with new retail.

Commute Reality Check: Most tech jobs are clustered in three areas: downtown (state/banks), East Montgomery (Maxwell-Gunter), and near Baptist Health. Traffic is minimal—no rush hour gridlock like in bigger cities. A 15-minute commute is standard.

The Long Game: Career Growth

Montgomery isn't Silicon Valley, but that's part of its appeal. Career growth here follows different patterns, often with better work-life balance and more stability.

Specialty Premiums:

  • Cleared Defense Work: +$20,000 - $40,000 premium
  • Healthcare IT: +$10,000 - $20,000 premium
  • Cloud/AWS Specialists: +$15,000 - $25,000 premium
  • Cybersecurity: +$20,000 - $35,000 premium
  • Data Science: +$10,000 - $20,000 premium (growing)

Advancement Paths:

  1. Technical Track: Junior → Senior → Staff → Principal → Architect

    • Timeline: 2-3 years per level
    • Salary Growth: 10-15% per level
    • Reality: Principal roles are scarce; many top out at Senior/Lead
  2. Management Track: Developer → Tech Lead → Engineering Manager → Director

    • Timeline: 3-5 years per jump
    • Reality: Flat organizations mean fewer management slots
  3. Hybrid Track (Most Common): Technical expertise + project management

    • Example: Senior Developer → Solutions Architect → Technical Program Manager
    • This is where you see the biggest salary jumps ($150,000+)
  4. Entrepreneurial Track:

    • Many developers here build side businesses or consult
    • Montgomery's low overhead makes bootstrapping viable
    • Local market: B2B SaaS for small businesses, govtech

10-Year Outlook:

  • Job Growth: The 17% growth rate is expected to continue, driven by defense and healthcare
  • Salary Growth: Likely to outpace inflation as Montgomery competes for talent
  • Remote Work: Will continue to be a major factor—many locals work for out-of-state companies
  • Emerging Sectors: EdTech (AUM, public schools), AgTech (rural Alabama), and SaaS for small businesses
  • Risk Factors: Federal budget cuts could impact defense contractors; healthcare consolidation

Insider Advice: The most successful developers here either:

  1. Get cleared and work defense (high pay, stability)
  2. Work remote for coastal companies while living locally (best compensation)
  3. Specialize in healthcare IT (stable, growing)
  4. Build a niche consulting practice (highest upside)

The Verdict: Is Montgomery Right for You?

Pros Cons
Cost of Living: 90.8 index vs 100 US average Limited Tech Community: Smaller than Birmingham or Huntsville
Median Salary: $123,747 goes far here Nightlife/Scene: Less vibrant than bigger cities
Commute: 10-15 minutes typical Career Ceiling: Fewer senior/executive tech roles
Home Ownership: Achievable in 3-5 years Remote Work Dependence: To get top-tier salaries
Defense Jobs: Clearance pathways to $150,000+ Limited VC Funding: Fewer startup opportunities
Healthcare Access: Good hospitals, growing IT Transit: Car-dependent
Work-Life Balance: Less "hustle culture" Cultural Fit: Conservative, traditional

Final Recommendation:

Move to Montgomery if:

  • You value homeownership and financial stability over prestige
  • You're willing to get a security clearance for defense work
  • You're interested in mission-driven tech (government, healthcare)
  • You want to work remotely for coastal companies but live in an affordable city
  • You prefer a slower pace with easy access to nature (Gulf Coast, mountains

Explore More in Montgomery

Dive deeper into the local economy and lifestyle.

Data Sources: Bureau of Labor Statistics (OEWS May 2024), AL State Board, Bureau of Economic Analysis (RPP 2024), Redfin Market Data
Last updated: January 27, 2026 | Data refresh frequency: Monthly