A candid discussion on Reddit has reignited debate around software developer salaries in the United States, outsourcing, and the growing wage gap with other professions and countries. The post highlights the changing dynamics of the IT job market amid global competition and automation.
The Redditor argued that the software industry in the US has long paid disproportionately high salaries despite having a relatively low barrier to entry. With the rise of remote work during COVID-19, companies increasingly embraced overseas outsourcing to cut costs.
“At my last job, more than half of the team were contractors from Malaysia, India, Brazil, Mexico, and Colombia,” the user wrote, adding that AI has only accelerated this shift. The post bluntly concluded: “I’d rather make $70,000 a year than have no job at all.”
The suggestion was that if US salaries were adjusted closer to overseas pay scales — and outsourcing was penalised through taxes — domestic jobs could return, keeping employment and tax revenue within the country.
Salary gaps: IT vs Other professions
The discussion drew comparisons between US software pay and other professional fields. While software engineers in countries like India earn around $30,000 annually at senior levels, US professionals in traditional engineering fields make significantly more. For example, civil engineers average $84,000/year, chemical engineers $83,000/year, and mechanical engineers $79,000/year.
This raised the question: are IT workers truly “overpaid,” or are other professions underpaid relative to their skill and training requirements?
Cost of living challenge
Several Reddit users pointed out that the high cost of living in the US makes it impossible to accept salaries that are competitive with international counterparts.
One comment noted, “If I want to compete on price against a Software Engineer in another country and accept a $30,000 job offer, I wouldn’t be able to afford housing alone after taxes. Median rent here is $1,789 and average mortgage payments are around $2,300 a month.”
Another countered that the constant need to upskill makes IT comparable to other demanding professions: “Many in IT have to relearn entire skillsets every five years. Comparing to other countries doesn’t work unless we have comparable cost of living — and we don’t.”
New reality for IT workers
The Reddit post reflects a broader reckoning within the US software industry: the “rock star” treatment of developers in the 2010s may be fading as global competition, outsourcing, and AI reshape the market.
Whether the solution lies in accepting lower salaries, raising barriers to outsourcing, or addressing cost-of-living pressures, one thing is clear: the economics of software work are entering a new chapter.
