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Software Developer in Tyler, TX

Comprehensive guide to software developer salaries in Tyler, TX. Tyler software developers earn $124,358 median. Compare to national average, see take-home pay, top employers, and best neighborhoods.

Median Salary

$124,358

Vs National Avg

Hourly Wage

$59.79

Dollars / Hr

Workforce

0.7k

Total Jobs

Growth

+17%

10-Year Outlook

Here is a comprehensive career guide for Software Developers considering a move to Tyler, Texas.


Software Developer Career Guide: Tyler, TX

If you're a software developer looking to escape the grind of a major tech hub, Tyler, Texas, offers a compelling alternative. Located in East Texas, Tyler is known for its rose gardens, a growing healthcare sector, and a cost of living that’s significantly below the national average. This isn't Austin or Dallas—this is a mid-sized city with a distinct, slower pace of life, but that doesn't mean the tech opportunities are lacking.

As a local, I’ve watched Tyler’s tech scene evolve from a small cluster of IT departments to a more robust ecosystem. The city’s economy, anchored by healthcare and education, creates a steady demand for software developers, particularly in healthcare IT, logistics, and custom software solutions for local industries. The median salary for a Software Developer here is competitive, and when you factor in the low cost of living, your paycheck goes much further.

This guide breaks down everything you need to know—from your take-home pay after taxes and rent to the specific neighborhoods where you should live and work. We’ll use hard data from sources like the Bureau of Labor Statistics (BLS) and local market reports to give you a clear, unvarnished look at what a software development career looks like in Tyler.

💰 Monthly Budget

$8,083
net/mo
Rent/Housing
$2,829
Groceries
$1,212
Transport
$970
Utilities
$647
Savings/Misc
$2,425

📋 Snapshot

$124,358
Median
$59.79/hr
Hourly
661
Jobs
+17%
Growth

The Salary Picture: Where Tyler Stands

Let's start with the numbers that matter most. The salary landscape for software developers in Tyler is healthy, though it trails behind the astronomical figures you see in tech epicenters like San Francisco or even Austin. However, the lower cost of living more than compensates for the difference in raw salary.

The median salary for a Software Developer in the Tyler metro area is $124,358/year, which translates to an hourly rate of $59.79/hour. This is slightly below the national average of $127,260/year, but don't let that fool you. When you factor in Tyler's cost of living index of 92.4 (where the U.S. average is 100), your purchasing power here is actually stronger than in many higher-paying cities.

The Tyler metro area supports 661 software developer jobs, with a 10-year job growth projection of 17%. This growth is driven by the expansion of Tyler’s healthcare infrastructure—Christus Health and UT Health East Texas are both major employers with a constant need for custom software and data management systems—and the rise of local tech startups and established IT firms serving the region's logistics and manufacturing sectors.

Experience-Level Breakdown

Salaries in Tyler scale with experience, but the jumps aren't as dramatic as in Silicon Valley. Here’s a realistic breakdown of what you can expect to earn at different career stages:

Experience Level Years of Experience Estimated Annual Salary
Entry-Level 0-2 years $85,000 - $105,000
Mid-Level 3-7 years $110,000 - $135,000
Senior-Level 8-12 years $135,000 - $155,000
Expert/Lead 12+ years $155,000 - $175,000+

Note: These ranges are estimates based on local job postings and BLS data for the region. Specialized roles (e.g., DevOps, AI/ML) can command premiums.

Comparison to Other Texas Cities

To put Tyler’s $124,358 median salary in perspective, here’s how it stacks up against other major Texas metros. While the base salary is lower, the cost of living is the real differentiator.

City Median Software Developer Salary Cost of Living Index (US Avg=100) 1-BR Avg Rent
Tyler $124,358 92.4 $1,009
Austin $135,000 122.5 $1,750
Dallas-Fort Worth $130,000 108.2 $1,450
Houston $128,000 99.5 $1,250
San Antonio $122,000 93.8 $1,150

As you can see, Tyler’s salary is competitive with San Antonio and Houston, but its rent is significantly lower. This means your disposable income can be higher in Tyler than in a larger city, even with a slightly lower base pay.

📊 Compensation Analysis

Tyler $124,358
National Average $127,260

📈 Earning Potential

Entry Level $93,269 - $111,922
Mid Level $111,922 - $136,794
Senior Level $136,794 - $167,883
Expert Level $167,883 - $198,973

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

A salary is just a number until you see what’s left after Uncle Sam and your landlord take their share. Let’s break down a monthly budget for a Software Developer earning the median salary of $124,358.

Assumptions:

  • Gross Annual Salary: $124,358
  • Filing Status: Single, no dependents
  • Taxes (Federal, State, FICA): Approx. 28% (TX has no state income tax, which is a huge benefit)
  • Average 1-BR Rent: $1,009/month

Monthly Budget Breakdown

Category Monthly Amount Notes
Gross Pay $10,363 $124,358 / 12
Taxes (Est. 28%) ($2,902) Federal + FICA
Net Take-Home $7,461 After taxes
Rent (1-BR Avg) ($1,009) 92.4 Cost of Living Index
Utilities & Internet ($250) Includes electricity, water, internet
Groceries ($400) Moderate budget for one
Transportation ($350) Car payment, gas, insurance
Health Insurance ($300) Employer-subsidized plan
Dining & Entertainment ($400) Tyler has a growing food scene
Savings/Investments $2,752 ~37% of net income
Miscellaneous $400 Clothing, subscriptions, etc.

Total Monthly Expenses: ~$4,709
Remaining for Savings/Debt: $2,752

With this budget, you’re saving over $33,000 per year after all living expenses. This is a powerful financial position that allows for aggressive retirement savings, debt repayment, or saving for a down payment.

Can They Afford to Buy a Home?

With $2,752 in monthly savings, a home purchase is very attainable. The median home price in Tyler is approximately $265,000 (as of late 2023). A 20% down payment would be $53,000. At your current savings rate, you could save that in under two years.

For a $212,000 mortgage (after a 20% down payment on a $265k home), the monthly payment (including taxes and insurance) would be roughly $1,600 - $1,700, depending on interest rates. This is higher than your rent but manageable on your salary, leaving you with significant room for other expenses and savings. Homeownership is a realistic, short-term goal for a Software Developer in Tyler.

The Major Employers: Where the Jobs Are

Tyler’s job market for software developers isn’t dominated by FAANG companies. Instead, it’s a mix of large local employers with robust IT departments, healthcare giants, and a growing number of tech firms serving regional and national clients. Here’s where you should be looking.

  1. Christus Health: One of the largest health systems in the region, Christus has its main corporate offices in Tyler. They are constantly hiring software developers, data analysts, and IT project managers to manage their electronic health records (EHR), patient portals, and internal systems. They prefer candidates with experience in healthcare IT and familiarity with frameworks like .NET and Java.

  2. UT Health East Texas: The other major healthcare player, affiliated with UT Tyler. Their IT department is expanding, with a focus on cybersecurity, data interoperability, and custom application development for clinical research. This is a great place for developers interested in making an impact on public health.

  3. Southwest Electronic Systems (SWE): A key player in the IoT and industrial automation space. They develop custom hardware and software solutions for logistics, manufacturing, and energy. This is where you’ll find roles in embedded systems, firmware, and cloud-connected device development.

  4. Tyler Technologies (Not to be confused with the city of Tyler): The largest public sector software company in the U.S., headquartered in Plano but with a significant operational presence and client base in East Texas. They develop ERP, financial, and public safety software. They frequently hire remote developers who live in the Tyler area and collaborate with their local government clients.

  5. Brookshire’s Grocery Company: A regional supermarket chain headquartered in Tyler. Their IT department handles everything from inventory management and supply chain logistics to their mobile app and e-commerce platform. They need developers skilled in full-stack web development and data engineering.

  6. AeroTex USA / Local Aerospace Firms: While smaller, Tyler has a cluster of aerospace and defense contractors. These companies require highly specialized software developers for flight control systems, simulation software, and embedded systems. Security clearance is often a plus.

Hiring Trend Insight: The demand is strongest for full-stack developers (JavaScript, React, Node.js, Python) and those with experience in cloud platforms (AWS, Azure). Healthcare IT roles are particularly stable, given the sector's growth. Remote work is becoming more common, but hybrid models (2-3 days in the office) are the local standard.

Getting Licensed in TX

For software developers, "licensing" is a bit of a misnomer. You don't need a state license to write code. However, if you plan to offer professional services as an independent contractor or start your own firm, you may need to register your business with the State of Texas.

State-Specific Requirements & Costs:

  • Business Registration: If you incorporate an LLC or corporation, you must file with the Texas Secretary of State. The filing fee for an LLC is $300.
  • Professional Licenses: Generally not required for software development. However, if your work involves engineering (e.g., civil engineering software), you may need a Professional Engineer (PE) license, which is regulated by the Texas Board of Professional Engineers. This is rare for pure software roles.
  • Sales Tax Permit: If you sell software or taxable services, you must register for a sales tax permit with the Texas Comptroller of Public Accounts. This is free to register for.

Timeline to Get Started:

  • For employment: No state license is needed. Your resume, portfolio, and interview performance are your primary credentials.
  • For starting a business: Registering an LLC online typically takes 1-3 business days for processing. You can get your EIN (Employer Identification Number) from the IRS instantly online.

Insider Tip: While not mandatory, joining a professional group like CAPCO (Central Texas Chapter of the Association for Computing Machinery) or local tech meetups can be more valuable than any license for networking and finding jobs.

Best Neighborhoods for Software Developers

Choosing where to live in Tyler impacts your commute, lifestyle, and rent. As a local, I’ve broken down the most popular areas for tech professionals.

1. South Tyler / The Azalea District

  • Vibe: Established, quiet, and close to major employers like Christus and UT Health. The Azalea District is known for its beautiful historic homes and tree-lined streets.
  • Commute: 10-15 minutes to most major offices. Easy access to Highway 69.
  • Rent Estimate: $1,100 - $1,400/month for a 1-BR apartment or a small house. You can find modern apartments here that cater to professionals.

2. The Downtown/ Historic District

  • Vibe: Walkable, vibrant, and full of character. Home to Tyler's best restaurants, breweries (like True Vine Brewing), and the Tyler Rose Garden. It's gaining popularity with younger professionals.
  • Commute: 5-10 minutes to anywhere in the city center. Most tech offices are a short drive away.
  • Rent Estimate: $950 - $1,300/month. You'll find a mix of renovated lofts, historic apartments, and newer townhomes.

3. Southwest Tyler / The Loop (Loop 323)

  • Vibe: Suburban and family-friendly, dominated by shopping centers and newer apartment complexes. It's more modern and less historic than South Tyler.
  • Commute: 15-20 minutes to downtown offices. Traffic is light.
  • Rent Estimate: $900 - $1,200/month. This area offers the most modern apartment amenities (pools, gyms) for your money.

4. The University Area (Near UT Tyler)

  • Vibe: Youthful and academic, centered around the University of Texas at Tyler. Great for developers who want to be near the university's tech events or who are pursuing further education.
  • Commute: 10-15 minutes to downtown. The area has its own commercial strip with great coffee shops.
  • Rent Estimate: $850 - $1,150/month. More affordable, with a good mix of student and professional housing.

Insider Tip: Avoid the "Old Jacksonville Highway" area for commuting if you work downtown—it's a major corridor that gets backed up during peak hours. Stick to neighborhoods inside Loop 323 for the shortest commutes.

The Long Game: Career Growth

Tyler may not be a startup hub, but it offers solid career advancement for Software Developers who are strategic.

Specialty Premiums:

  • Healthcare IT (EHR, Data Interoperability): +10-15% premium. This is the most stable and highest-paying niche in Tyler due to the dominance of Christus and UT Health.
  • DevOps & Cloud Engineering (AWS/Azure): +10% premium. Companies are increasingly migrating to the cloud and need experts to manage infrastructure.
  • Cybersecurity: +12-18% premium. With healthcare data and public sector clients, security is a top priority and commands a significant salary bump.
  • Full-Stack (JavaScript/Python): +5% premium. These are the baseline skills in high demand across all sectors.

Advancement Paths:

  1. Technical Track: Junior Dev -> Mid-Level -> Senior -> Staff/Principal Engineer -> CTO (at a local firm).
  2. Management Track: Developer -> Tech Lead -> Engineering Manager -> Director of Engineering.
  3. Hybrid Track: Many developers in Tyler find success as "IT Project Managers" or "Business Analysts" within large organizations, bridging the gap between tech and business. This path often leads to higher salaries in the $140,000+ range.

10-Year Outlook: With a 17% projected job growth, the market is expanding. The biggest growth will be in healthcare tech, logistics software (for the region's distribution centers), and public-sector software (through firms like Tyler Technologies). Remote work will also allow Tyler-based developers to tap into national salary bands while enjoying the low cost of living.

The Verdict: Is Tyler Right for You?

Tyler is a city of trade-offs. You trade the hustle and high salaries of a tech giant for a slower pace of life, a lower cost of living, and a more manageable lifestyle. Here’s a direct comparison.

Pros Cons
Low Cost of Living: Your $124,358 salary goes much further. Limited Networking: Fewer tech meetups and conferences than in a major hub.
Affordable Homeownership: Buy a home in 2-3 years on a developer's salary. Salaries Cap Lower: The ceiling for top-tier pay is lower than in Austin or DFW.
Strong Healthcare Sector: Stable, high-demand jobs in a growing industry. Limited "Cool Factor": Fewer trendy tech events, startup culture, or major sports.
Easy Commutes: Average commute is under 20 minutes. Cultural Scene is Smaller: Fewer museums, theaters, and major concerts.
Outdoor Access: Beautiful parks, lakes, and the Piney Woods are nearby. Less Diversity: The tech scene is less diverse than in larger cities.

Final Recommendation:
Tyler is an excellent choice for Software Developers who:

  • Value work-life balance and a slower pace over 24/7 hustle.
  • Want to buy a home and build wealth early in their career.
  • Are interested in healthcare, logistics, or public-sector tech.
  • Are comfortable with a smaller, more tight-knit professional community.

It’s not ideal for developers who:

  • Are seeking the highest possible salary at all costs.
  • Thrive in a constant stream of new startups, hackathons, and networking events.
  • Require a highly diverse and cosmopolitan urban environment.

For the right person, Tyler offers a sustainable, financially rewarding career path without the burnout common in larger tech cities.

FAQs

**Q: Do I

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