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Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

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Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#211
post #90

Earlier quoted context omitted.

I've seen some remote architech/tech lead roles offering up to £125k, but this is a very recent development.

Those would also be quite uncommon, but I have seen them. Usually for Oracle or someone I wouldnt want to go with. Most tech lead roles I've seen topped out at £90k.

£100K should be bare minimum for a software engineer with a few years of experience in central London in 2022.

3 bed terraced houses with access to good schools, 50-60 minutes out central, sell for £1M, so if you're entering the area want a family you really want a household income of £200K+.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#212

Earlier quoted context omitted.

> ...a 6.9% increase since 2020, the report found. But inflation is over 11% since 2020. This isn't an increase. The I have heard this point made a couple of times recently. Is there any reason why these two values should be the same? It is a point of concern for those on very low incomes who spent all their income and are not able to save anythiny, but if you are on a six figure income and only a portion of that inc…

"Is there any reason why these two values should be the same?" Are you producing the same value for the company as you did last year? If inflation is higher, then you are receiving less value via your pay from producing the same or more value for the company.

Is your work in tech supposed to hold a sacred scalar linear multiple of the average labor cost ( read: salary of people who produce food and goods) of life’s necessities?

So many entitled people arguing for an economic caste system…

Arguing that your wage should always match or beat inflation is arguing for defacto permanent income inequality. You’re literally saying your work is always the same amount more valuable than the average labor cost increase incorporated into inflation numbers.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#213

>the average tech worker’s salary [will] reach $104,566 in the U.S. — a 6.9% increase since 2020, the report found. But inflation is over 11% since 2020. This isn't an increase. The average tech worker is making less than they were 2 years ago according to the Dice salary report. Why do tech workers feel underpaid? Many companies posted record growth and profits over the pandemic, but still give out paltry 3-5% raise…

And to think, people working in IT actually get raises, and can earn more money by changing jobs; they are already quite privileged compared to those earning closer to minimum wage (like 30K a year?), given that said minimum wage hasn't been increased from $7.25 in 13 years now, while cost of living and inflation HAS gone up.

One issue is that while costs of products, housing, etc is adjusted pretty much instantly with supply, demand and inflation, wages aren't. When inflation numbers are introduced, companies jump to announce they're raising prices, citing cost of resources or... whatever. But they don't increase wages.

How often have wages gone up at a rate higher than inflation? I can't remember it. So basically people are expected to continue living on a currency that is decreasing in value constantly. Or they're expected to switch jobs or grow in their career, not to have a better life, but just to be able to maintain their current lifestyle.

Remember these tropes from the 80's and 90's and before where people bought a sizeable house, one or two cars, and put money away to put their kids (they could afford kids too) through college, all on a single income? Yyyyeeeaahhh. actually I don't know if that was the case for most people, it's what sitcoms depicted.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#214

Earlier quoted context omitted.

We pay taxes in the EU as well. Often the rate is much higher than the US but it depends on the country.

Sure, but things like health insurance can easily cost $1000+ a month if you want full coverage and/or have some bad health conditions(and you still need to have a big pot of savings in case you need to use it, because your out of pocket excess might be 10k or more). In most european countries the monthly cost is nowhere near that, it scales with your salary(down to zero if you don't earn anything) and still covers y…

People in almost all tech companies are not going to be paying $1000 a month for insurance. I know self employed people paying less than that for a family of 4.

My wife pays a little more then $200 a paycheck for a family of 4 for a non high deductible plan. At my worst job it would’ve been $700 for a family of 4 with a $100 spousal surcharge (only if they could get other insurance through their work).

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#215
post #103

Earlier quoted context omitted.

And that is not just keep up with jones syndrome: getting services done like building work, cleaning, etc. gets more expensive. I am all for equality of that nature if everyone is joining in!

If only America's productive cities did not ban building more housing..

American cities don't ban housing construction (the one exception being San Francisco/Bay Area). Every other major US metro (literally everyone except SF) has been experiencing a massive housing construction boom for the past ten years straight now.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#216
Article was unreadable on mobile due to huge white box for a small banner ad that followed scroll at the top with a second massive uncloseable ad at the bottom, forcing a clickthru if you tried to scroll. Site is cursed.

That said, based on what’s been shared in the thread, I’ll just say two things:

1. $100k isn’t what it used to be. When I started my career a $100k base seemed great, JUST off inflation it’d need a $155k base today to have the same purchasing power. CPI inflation doesn’t fully account for how crazy localized housing is in tech hubs either.

2. As a percentage share of the value generated by each engineering headcount, our earnings have gone down as profits have gone up. The current reality is meaningfully less equitable than in the past, including in stock equity and share dilution.

There’s a lot of hemming and hawing happening in the world because tech workers are relatively better off than other workers, but we still are objectively being harmed by inflation and widening inequality between workers and the executive/capitalist class. The fact we are scraping by does not discount the facts above.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#217

>the average tech worker’s salary [will] reach $104,566 in the U.S. — a 6.9% increase since 2020, the report found. But inflation is over 11% since 2020. This isn't an increase. The average tech worker is making less than they were 2 years ago according to the Dice salary report. Why do tech workers feel underpaid? Many companies posted record growth and profits over the pandemic, but still give out paltry 3-5% raise…

The money we make pales in comparison with the size of our contributions to the company. Especially so if you are in a value-adding position and not something like internal tooling. Management and executives are DEFINITELY underpaying us relative to what we bring to the table for them. Maybe that is one of the reason headcounts have ballooned and complexity has increased so much -- an attempt to minimize individual i…

> Especially so if you are in a value-adding position and not something like internal tooling.

Why the knock on internal tooling? If internal tooling helps a value-add position go 10% faster, that's worth a lot. And most likely it isn't just one position, it's many.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#218

Earlier quoted context omitted.

> I don't understand this opinion. Ok, let me spell it out: you're not special. Nothing about your profession makes you special, you are not somehow better than anyone because you can sit at a computer and write code. It's a skill, a very highly compensated one for now but an incredibly narrow one that happens to be useful a select few corps, sure, but so was were many other things. And if one thing that COVID has ta…

>And if one thing that COVID has taught us is how incredibly unnecessary you are to maintaining civilization I don't think you understand how the world dealt with COVID. Governments needed software fast to deal with things like tracking the spread of the virus, ensuring people observe protocols (like in my country Greece where you had to go online or send a text to make sure that you're allowed to be outside during t…

Everyone from every profession can write about how their work is critical to a pandemic world.

Re: Tech Salaries in 2022: Why the Six Figure Pay Makes Techies Feel Underpaid

#220
post #55

Earlier quoted context omitted.

> ...a 6.9% increase since 2020, the report found. But inflation is over 11% since 2020. This isn't an increase. The I have heard this point made a couple of times recently. Is there any reason why these two values should be the same? It is a point of concern for those on very low incomes who spent all their income and are not able to save anythiny, but if you are on a six figure income and only a portion of that inc…

The employer is the one taking that extra value, so why wouldn’t the “you already have enough money” argument cut both ways? I also assume management is wealthier than the previous year.

> The employer is the one taking that extra value

I'm not sure that's a reasonable conclusion for most cases. Inflation is not uniform across the board, depending on who your employer is they may not have raised their prices by whatever the average inflation rate was, meaning the company as a whole is taking in less value (based on their prices hikes vs. the inflation rate). So the new value from the inflation rate is not "going" anywhere, it's just not there.

That's not to say you shouldn't argue for raises anyway, but just that it's not like every company is suddenly taking in X% more dollars because the average inflation rate is X%.

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