Software engineer salary in Australia: what to expect in 2026

What is a software engineer salary in Australia?

When you're reading a job ad for a software engineer, the salary figure can range from $80,000 to well over $200,000. That wide spread reflects differences in experience, location, industry, and employer type. To make sense of an offer, you need a benchmark. The Salary Index compares a yearly gross salary to the national line of full-time adult ordinary-time earnings, set at 100. For May 2026, that line is $108,352 per year (or $2,083.70 per week).

The official picture: Jobs and Skills Australia

The most authoritative source on software engineer employment is Jobs and Skills Australia (JSA). Their occupation profile for Software Engineers (ANZSCO 261313) shows 55,200 people employed in this role as their main job. Of those, 92% work full-time, averaging 41 hours per week. The median age is 37, and only 16% are women. That tells you the workforce is experienced and predominantly male.

Unfortunately, JSA does not publish median weekly earnings for software engineers at the six-digit ANZSCO level. The data is marked "N/A". That means we cannot point to a single official figure for a typical software engineer salary. Instead, we have to look at broader indicators.

Industry matters: professional services

Software engineers are most commonly employed in Professional, Scientific and Technical Services (42.2% of the workforce). The industries page shows the Salary Index for that industry is 114.7, meaning the typical full-time worker in that sector earns about 14.7% above the national line. That translates to an annualised figure of roughly $124,300. But remember, that's an average across all roles in that industry, not just software engineers. It gives you a ballpark.

Other industries that employ software engineers include Financial and Insurance Services and Information Media and Telecommunications. Both tend to pay above the national average as well.

What the ABS says about professionals

The Australian Bureau of Statistics (ABS) Employee Earnings and Hours survey for May 2025 reports that professionals earn a median hourly rate of $64.50. For a full-time professional working 38 hours a week (the standard for many awards), that works out to about $127,500 per year. Again, that's a broad category, but it suggests that a software engineer salary around $120,000 to $130,000 is plausible for an experienced full-time employee.

Using the Salary Index to compare offers

Let's say you see a job ad offering $110,000. Divide that by the national line of $108,352 and multiply by 100: you get an index of 101.5. That's just above the national average. An offer of $130,000 gives an index of 120.0. An offer of $90,000 gives an index of 83.1, which is below the national line and well below the professional services industry average.

You can also compare by state. The states page shows the Salary Index for New South Wales is 101.2, Victoria 98.0, Queensland 97.9, South Australia 94.6, Western Australia 106.9, Tasmania 88.6, Northern Territory 95.2, and the ACT 109.9. If you're looking at a job in Sydney, the cost of living is higher, but the index for NSW is close to the national line. In Perth, the WA index of 106.9 suggests higher typical earnings, partly due to mining.

Awards and minimums

Software engineers are often covered by the Professional Employees Award 2020, which sets minimum rates for classifications like "Professional Engineer" or "Information Technology Professional". However, the Fair Work Commission's Modern Awards Pay Database does not list a specific software engineer classification in the search results provided. The national minimum wage from 1 July 2026 is $26.44 per hour, or $1,004.90 per week, annualised to $52,255 (index 48.2). That's the legal floor, but no experienced software engineer would be paid that little. Most roles are well above award rates.

The award rates increased by 4.75% from 1 July 2026. For entry-level award classifications, the minimum might be around $25.74 per hour (based on the national minimum wage order for juniors). But for a qualified software engineer, the award rate is higher. Without specific award classifications from the search, we can only note that award minima exist and are a safety net.

Super and tax

When comparing offers, remember that superannuation guarantee is 12% from 1 July 2026, on top of your salary. So a $110,000 salary means your employer also contributes $13,200 to your super fund. That's part of your total remuneration.

Tax-wise, for 2026–27, a resident earning $110,000 pays about $25,288 in tax plus 2% Medicare levy ($2,200), leaving a take-home of about $82,512. That's before any HELP repayments or salary sacrifice. The Salary Index uses gross figures, so it's a pre-tax comparison.

Reading a job ad: what to look for

When you see a salary in a job ad, ask: is it inclusive of super? Is it based on a 38-hour week or 40? Does it include a bonus or equity? The index works best with base salary excluding super. If the ad says "total package $130,000 including super", the base salary is about $116,071 (since super is 12% on top). That base gives an index of 107.1.

Also check the location. A salary of $120,000 in Sydney (NSW index 101.2) is slightly above the state average, but in Hobart (Tasmania index 88.6) it would be well above the local average. Use the states page to see how your offer compares.

Summary

While there is no single official software engineer salary figure, the evidence points to typical full-time earnings in the range of $110,000 to $140,000 for experienced professionals, with an index around 100 to 130. Entry-level roles may start around $70,000 to $85,000 (index 65-78). Senior roles at tech companies or in finance can exceed $180,000 (index 166+). Always compare using the Salary Index, and check pay guides for award coverage. For more on how the index is calculated, see how the index works.