AI Engineer Salary by State US in 2026
Complete Geographic Pay & Cost-of-Living Comparison — All 50 States
📋 Table of Contents
- Executive Summary — Top 3 States
- Top 10 Highest-Paying States (Card Layout)
- Full State Salary Comparison Table (All 50 States)
- Cost-of-Living Adjusted Salary Ranking
- State Income Tax Impact on Take-Home Pay
- Remote Salary Arbitrage Strategy
- 2027 Salary Forecast & Growth Trends
- Best State by Career Goal
- Economic Downturn & Job Stability Analysis
- Relocation vs Remote Decision Framework
- FAQ — 15 Key Questions Answered
1. Executive Summary: Which States Pay AI Engineers the Most?
⚡AI Engineer Salary by State US 2026
In 2026, Washington State leads AI engineer salaries at an average of $185,000, powered by Amazon and Microsoft headquarters. California follows at $178,000 (Silicon Valley premium), and New York ranks third at $165,000. The national average AI engineer salary is $184,757 (Built In, 2026), with total compensation including equity and bonuses ranging from $220,000 to $453,000+ at senior levels.
AI engineering has become the United States’ highest-paid technology discipline. As of 2026, the national average AI engineer base salary sits at $184,757 according to Built In’s verified compensation database, with total compensation packages for senior ML engineers averaging $294,000–$453,000 when equity and bonuses are included. Salary demand grew an estimated 9.2% year-over-year in 2025–2026, driven by the “Agentic Surge” — the explosion in LLM deployment, AI agent frameworks, and enterprise AI infrastructure buildout.
Geography remains the single greatest variable in AI compensation. An ML Engineer in Montana earns an average $223,288 from a small pool of highly competitive specialized roles, while the same title in Florida averages just $96,000 base. The delta between top and bottom states exceeds $130,000 per year — larger than most professionals earn in total. This guide deconstructs every dimension of that gap: nominal pay, cost-of-living adjustments, state income tax, and the remote arbitrage strategy that lets you earn Tier-1 without Tier-1 living costs.
Washington State
Key Employers: Amazon (SDE/MLE up to $512K TC), Microsoft ($320K–$450K TC), Meta Bellevue ($350K+). No state income tax makes this the #1 after-tax state for AI engineers.
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California
Key Employers: Google ($380K+ TC L6), Apple ($300K+), OpenAI ($200K–$400K), Anthropic, Meta. Highest nominal salaries but high tax/COL erodes 35–40% of advantage.
Highest TC 13.3% TaxNew York
Key Employers: JPMorgan AI Research, IBM, Bloomberg, Palantir, Two Sigma. Finance sector pays AI engineers 8% premium above tech sector. Wall Street AI = highest bonuses in country.
Finance Premium High COL
2. Top 10 Highest-Paying States for AI Engineers (2026)
The following cards represent the top 10 states ranked by average AI engineer base salary. Data synthesizes Built In, ZipRecruiter, Talent.com, Resume.ai (45,000+ LinkedIn job postings), MRJ Recruitment 2026 US Market Report, and Qubit Labs hourly rate tables.
Montana
Why so high? Premium market effect — fewer total AI jobs means employers must offer exceptional rates to attract specialized talent. COL-adjusted value is exceptional.
COL Value #1Massachusetts
Boston/Cambridge ecosystem: MIT, Harvard, biotech AI (Moderna, AstraZeneca), robotics. Highest hourly rate in all 50 states at $77/hr. Life sciences AI commands exceptional premiums.
Highest Hourly Biotech HubVirginia
Virginia houses the world’s largest concentration of data centers. Government/defense AI contracts (Pentagon, CIA, NSA) pay substantial premiums. Northern Virginia = DC Metro’s tech nexus.
Defense AITexas
The best value proposition in the US. Austin: Tesla AI, Dell, IBM, Apple expanding campus. Houston: Energy sector AI. Dallas: AT&T, American Airlines AI. Zero state tax + affordable housing = $150K here lives like $190K in California.
Best Value No State TaxColorado
Denver/Boulder corridor: Strong AI startup ecosystem, Google Fiber HQ, Lockheed Martin AI division. Colorado Pay Transparency Act drives salary visibility — easier to benchmark and negotiate. Low flat tax + mid COL = strong net value.
Low TaxIllinois
Illinois ranks #3 nationally for total AI job postings (1,600+). Chicago’s fintech and healthcare AI sectors drive demand. United Airlines, Morningstar, and Discover Financial are major AI hirers. Good career trajectory market.
High VolumeGeorgia
Atlanta is the South’s fastest-growing AI hub. Delta, Home Depot, and NCR are building enterprise AI teams. Georgia lowering income tax rate annually (targeting 4.99% by 2029). Emerging talent market with underserved competition.
Emerging HubAlaska, Nevada & North Carolina
Alaska and Nevada offer high salaries relative to COL with zero state income tax. North Carolina’s Research Triangle (Raleigh-Durham) is the most underrated AI market in the US — IBM, Cisco, SAS HQ with low cost of living.
NV: No Tax NC: Underrated3. Full State-by-State AI Engineer Salary Table (2026)
The following table covers all major US states with available AI salary data. Figures represent average base salary. Total compensation (base + equity + bonus) typically adds 30–60% for equity-eligible roles. Entry-level figures sourced from TripleTen’s government-verified entry-level AI engineer salary calculator.
| # | State | Avg AI Engineer Base | Entry-Level | Senior-Level | Hourly Rate | State Tax | COL Index | Demand Level |
|---|---|---|---|---|---|---|---|---|
| 1 | Washington | $185,000 | $110K–$130K | $220K–$512K TC | $58/hr | 0% | 114.1 | ⬆ Very High |
| 2 | California | $178,000 | $107K–$135K | $300K–$944K TC | $50/hr | 13.3% max | 139.7 | ⬆ Very High |
| 3 | Montana | $155K–$223K | $100K–$140K | $180K–$240K | — | 6.75% | 57.0 | → Niche |
| 4 | New York | $165,000–$218K | $110K–$130K | $195K–$450K TC | $56/hr | 10.9% max | 139.0 | ⬆ Very High |
| 5 | Massachusetts | $150K–$195K | $107K–$130K | $180K–$350K TC | $77/hr | 5% flat | 130.0 | ⬆ High |
| 6 | Virginia | $152,407–$199K | $100K–$125K | $180K–$300K TC | $51/hr | 5.75% | 115.4 | ⬆ High |
| 7 | Texas | $150,000–$175K | $95K–$115K | $175K–$280K TC | $48/hr | 0% | 59.8 | ⬆ High |
| 8 | Colorado | $137,750–$183K | $95K–$115K | $165K–$260K TC | $54/hr | 4.4% flat | 63.6 | → Growing |
| 9 | Alaska | $130K–$180K+ | $130K+ avg | $180K–$250K | — | 0% | 84.0 | → Niche |
| 10 | Illinois | $130,000–$183K | $85K–$110K | $155K–$240K TC | — | 4.95% flat | 59.0 | ⬆ High |
| 11 | Maryland | $124,900–$160K | $85K–$110K | $155K–$220K TC | — | 5.75% | 115.4 | → Moderate |
| 12 | North Carolina | $121,875–$170K | $85K–$110K | $150K–$220K TC | $46/hr | 4.5% | 59.9 | ⬆ Growing |
| 13 | Georgia | $140,000–$173K | $90K–$115K | $155K–$220K TC | $43/hr | 5.49% | 59.1 | → Growing |
| 14 | Arizona | $119,594–$160K | $85K–$105K | $145K–$200K TC | — | 2.5% flat | 61.0 | → Growing |
| 15 | Nevada | $115K–$160K | $130K+ (premium) | $155K–$210K TC | — | 0% | 60.4 | → Niche |
| 16 | New Jersey | $115K–$165K | $85K–$110K | $150K–$220K TC | $52/hr | 10.75% max | 115.1 | → Moderate |
| 17 | Wisconsin | $110K–$155K | $75K–$100K | $140K–$195K TC | $52/hr | 7.65% max | 54.0 | → Low |
| 18 | Minnesota | $110K–$155K | $75K–$100K | $140K–$200K TC | $52/hr | 9.85% max | 60.5 | → Low |
| 19 | Utah | $105K–$150K | $80K–$105K | $140K–$190K TC | $47/hr | 4.65% flat | 58.1 | → Growing |
| 20 | Connecticut | $105K–$155K | $80K–$105K | $140K–$200K TC | $49/hr | 6.99% max | 112.7 | → Moderate |
| States below this row have fewer documented AI salary data points. Averages based on available ZipRecruiter and BLS occupational data for computer/AI specialists. | ||||||||
| 21 | Ohio | $100K–$145K | $75K–$95K | $130K–$185K | — | 3.99% | 59.2 | → Growing |
| 22 | Oregon | $100K–$150K | $75K–$100K | $130K–$195K | — | 9.9% max | 61.0 | → Moderate |
| 23 | Pennsylvania | $98K–$140K | $70K–$95K | $125K–$185K | — | 3.07% flat | 56.5 | → Moderate |
| 24 | Tennessee | $98K–$140K | $70K–$92K | $125K–$180K | — | 0% | 56.4 | → Growing |
| 25 | Michigan | $96K–$138K | $70K–$92K | $120K–$175K | — | 4.25% | 56.5 | → Low |
| 50 | Florida | $96,000 (lowest avg) | $70K–$90K | $120K–$165K | — | 0% | 77.7 | → Moderate |
Sources: Built In (2026), ZipRecruiter (2025–2026), Talent.com, Resume.ai 45K job posting analysis, TripleTen Entry-Level Salary Calculator, Qubit Labs hourly rate table, MRJ Recruitment 2026 US Market Report. COL Index: LivingCostIndex.com (NYC=100 baseline). Tax rates: PaycheckTaxCalculator.net 2026.
4. Cost-of-Living Adjusted Salary Ranking
What is AI engineer salary adjusted for cost of living?
On a cost-of-living adjusted basis, Texas and North Carolina offer the best real value. A $150,000 salary in Austin has the same purchasing power as $213,000 in San Francisco. Washington State leads nominal + COL combined (high pay, no tax, moderate COL). California’s $178K base loses ~35% of value when adjusted for 139.7 COL index — making adjusted California pay roughly equivalent to $128,000 in an average-cost state.
Nominal salary tells only half the story. The table below shows COL-adjusted equivalent purchasing power by converting each state’s average AI engineer salary against a national average baseline of 100. California leads in nominal pay but ranks significantly lower in real purchasing power due to housing costs, state income tax of 13.3%, and overall cost of living at 139.7 — 39.7% above the US average. Texas and North Carolina offer dramatically better real value.
| COL Rank | State | Avg AI Salary (Nominal) | COL Index | COL-Adjusted Value | State Tax | Net Value Score |
|---|---|---|---|---|---|---|
| 🥇 #1 | Washington | $185,000 | 114.1 | $162,100 equivalent | 0% | ★★★★★ Excellent |
| 🥈 #2 | Texas (Austin) | $150,000 | 59.8 | $213,000 equivalent | 0% | ★★★★★ Excellent |
| 🥉 #3 | North Carolina | $121,875 | 59.9 | $172,000 equivalent | 4.5% | ★★★★☆ Very Good |
| #4 | Montana | $155,000–$223K | 57.0 | $220,000 equivalent | 6.75% | ★★★★☆ Very Good |
| #5 | Georgia (Atlanta) | $140,000 | 59.1 | $198,000 equivalent | 5.49% | ★★★★☆ Very Good |
| #6 | Colorado | $137,750 | 63.6 | $183,000 equivalent | 4.4% | ★★★★☆ Good |
| #7 | Illinois (Chicago) | $130,000 | 59.0 | $185,000 equivalent | 4.95% | ★★★★☆ Good |
| #8 | Massachusetts | $150,000 | 130.0 | $138,000 equivalent | 5% | ★★★☆☆ Average |
| #9 | Virginia | $152,407 | 115.4 | $132,000 equivalent | 5.75% | ★★★☆☆ Average |
| #10 | New York (NYC) | $165,000 | 139.0 | $118,000 equivalent | 10.9% | ★★★☆☆ Average |
| Last | California (SF) | $178,000 | 139.7 | $127,000 equivalent | 13.3% | ★★☆☆☆ Poor COL Value |
Is California worth it after cost of living?
For most AI engineers, no. California’s $178,000 average base salary shrinks to an effective purchasing power of ~$127,000 after COL adjustment and ~$108,000 after state income tax (13.3%). Compare this to Texas at $150,000 base → $213,000 equivalent purchasing power + 0% state tax. Texas delivers 60–70% more real purchasing power than California for AI engineers.
5. State Income Tax Impact on AI Engineer Take-Home Pay
State income taxes are the second-largest salary erosion factor after cost of living. Nine states charge zero income tax on wages in 2026: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. For an AI engineer earning $180,000, the difference between California (13.3% marginal rate) and Texas (0%) amounts to $17,000–$24,000 in additional annual take-home pay.
💰 Real Take-Home Comparison: $180,000 AI Engineer Salary
| State | Gross Salary | State Tax Rate | State Tax Paid | Approx. Take-Home | Annual Difference vs. TX |
|---|---|---|---|---|---|
| Texas ✅ | $180,000 | 0% | $0 | ~$126,000 | Baseline |
| Washington ✅ | $180,000 | 0% | $0 | ~$126,000 | $0 difference |
| Florida ✅ | $180,000 | 0% | $0 | ~$126,000 | $0 difference |
| Colorado | $180,000 | 4.4% flat | ~$7,920 | ~$118,000 | -$8,000/yr |
| Massachusetts | $180,000 | 5% flat | ~$9,000 | ~$117,000 | -$9,000/yr |
| Virginia | $180,000 | 5.75% | ~$10,350 | ~$116,000 | -$10,350/yr |
| New York (NYC) | $180,000 | 10.9% + 3.88% city | ~$26,600 | ~$100,000 | -$26,600/yr |
| California | $180,000 | 13.3% marginal | ~$23,940 | ~$102,000 | -$23,940/yr |
Note: Take-home estimates include federal income tax (~22–24% effective rate) and FICA taxes (~7.65%). Exact amounts vary by deductions, filing status, and city taxes. Use a state-specific paycheck calculator for precision.
6. Remote Salary Arbitrage Strategy
Is relocating worth it for higher AI pay?
It depends on the strategy. Relocating from California to Texas while keeping a California-paying remote role saves $24,000+ per year in state tax alone. But many employers implement location-based pay adjustments. The optimal play: secure a remote role at a company with no location-based pay policy before relocating — then move to a no-income-tax state for maximum net income.
The remote arbitrage model is the defining career financial strategy for AI engineers in 2026. The principle: earn HCOL (High Cost-of-Living) remote salary, live in LCOL (Low Cost-of-Living) state. Here’s how to execute it correctly.
🎯 Best Remote + No-Tax State Combinations
These state combinations maximize after-tax purchasing power for AI engineers earning $140K–$180K US remote:
- US Remote + Austin, TX: $150K salary → $213K equivalent purchasing power, 0% state tax, strong tech community
- US Remote + Nashville, TN: $150K salary → $225K equivalent, 0% income tax, $700–$1,200/mo rent
- US Remote + Raleigh, NC: $130K salary → $183K equivalent, 4.5% tax, IBM/Cisco nearby for networking
- US Remote + Las Vegas, NV: $140K salary → $196K equivalent, 0% state tax, active tech scene emerging
- US Remote + Denver, CO: $140K salary → $185K equivalent, 4.4% flat tax, quality of life premium
⚠️ Remote Pay Policy Risk — What to Check Before Relocating
Not all companies allow location-agnostic pay. Critical due diligence before relocation:
- Ask explicitly: “Does this company adjust salary based on employee location?”
- Companies with location-agnostic pay (2026): GitLab, Automattic, Basecamp, Zapier, Buffer
- Companies with location-based pay: Google, Meta, Apple (typical HCOL/LCOL brackets)
- Contract language: Review for “relocation notification requirements” — some require 30–90 days notice before moving
- Tax nexus risk: Employer must register in your new state if you become resident — some employers restrict this
7. 2027 AI Engineer Salary Forecast & Growth Trends
Multiple data sources converge on a consistent signal: AI engineer salaries will grow 8–12% annually through 2027, significantly outpacing the 3–4% median US wage growth. MRJ Recruitment’s 2026 US Market Report documents a 9.2% year-over-year growth in AI engineering salary benchmarks, driven by the “Agentic Surge” — the enterprise transition from individual AI tools to fully autonomous AI agent systems. Senior ML Engineer base salaries now have a floor of $255,000 at top-tier employers.
📈 2027 Salary Projections by State Category
- 8% annual growth: Confirmed by ArtsMArt AI analysis — AI engineers projected to reach $250,000 national average by 2034, growing 8% per year from current $184,757 baseline
- Specialization premium increasing: MRJ Recruitment confirms “Agentic AI” specialists (LangChain, multi-agent systems) commanding 15–25% above standard ML Engineer rates in 2026
- Virginia AI demand surge: 20–30% YoY AI job growth projected through 2026 in Virginia/Ohio/Utah due to data center expansion (Google, Amazon, Meta)
- Entry-level floor rising: California and Washington entry-level AI roles now start at $107,000–$117,000 — up from $85,000–$95,000 in 2022
- 2026–2028 skill premium: AI Safety Engineers expected to see 20%+ salary growth as EU AI Act and US federal AI regulations expand compliance requirements
8. Best State for Every Career Goal
🎓 Best for Entry-Level AI Engineers
Washington StateWhy Washington State wins for entry-level:
- Entry-level average: $110,000–$130,000 (San Francisco: $115K–$135K)
- Zero state income tax — every dollar counts when starting out
- Amazon, Microsoft, Meta offer structured ML new-grad programs
- Bellevue/Seattle has lower rent than San Francisco while providing equivalent Amazon/Microsoft salaries
Runner-up: Texas (Austin) — strong entry-level market ($95K–$115K) with exceptional living cost advantage
⚡ Quick Answer
Washington State and Texas offer the best combination of entry-level AI salary and livability. Washington provides higher base pay; Texas provides better purchasing power. Both have zero state income tax.
💼 Best for Senior AI Engineers
California (Equity Play)Why California wins for seniors — but with conditions:
- Total compensation at L6+ Google/Meta/Apple: $380,000–$500,000+
- RSU values at FAANG companies create wealth not replicable anywhere else
- Strategy: Accept California role for RSU vesting (4 years), then exercise shares and relocate to no-tax state (Texas/Washington/Nevada)
- IPO-stage startup equity — California concentration of pre-IPO AI companies is unmatched
Alternative: Washington State (same FAANG TC minus California’s 13.3% tax = $25,000–$50,000 annual after-tax advantage at senior levels)
🚀 Best for Startup Equity
California (SF Bay Area)For startup equity plays in AI:
- San Francisco Bay Area houses 60%+ of all US AI unicorns and pre-IPO companies
- OpenAI, Anthropic, Scale AI, Cohere — all SF-based equity opportunities
- Typical early-stage equity: 0.1%–0.5% for senior engineers at Series A/B
- Tax consideration: California taxes stock options as ordinary income at 13.3% — worth $50,000–$200,000+ on large exits
Remote play: Some SF startups allow remote + full SF salary + equity. This is the optimal scenario — equity upside without California residency tax obligation.
🏖️ Best for Tax Optimization
Texas / Washington / NevadaFor maximizing after-tax income:
- Texas (Austin/Dallas): $0 state tax + COL index 59.8 = best total package for $100K–$200K earners
- Washington (Seattle/Bellevue): $0 state tax + highest AI salaries = best absolute take-home
- Nevada (Las Vegas/Reno): $0 state tax + emerging tech scene + desert COL advantage
- Tennessee (Nashville): $0 income tax + low COL + major companies relocating to Nashville corridor
Math: Earning $180K in Texas vs California = $24,000 more in take-home per year = $240,000 extra over 10 years (invested at 7% = $338,000 in retirement savings)
9. Economic Downturn & AI Job Stability Analysis by State
How stable are AI engineering jobs during recessions?
AI engineering is the most recession-resistant technology role in 2026. Despite 2023–2024 tech layoffs, AI roles grew 25.2% year-over-year. BLS projects 26% growth through 2033 — among the fastest of any occupation. The key risk: generalist AI titles without deep specialization. States with government/defense AI contracts (Virginia, Maryland) offer highest recession stability.
🛡️ Highest Stability States (Recession-Proof)
- Virginia/Maryland (DC Metro): Government and defense AI contracts are non-discretionary spending. DoD AI roadmap requires $1.8B+ in AI engineering investment through 2028.
- Washington State: Amazon AWS and Microsoft Azure’s AI infrastructure is core business revenue — not a cost center. Engineers here are safe during downturns.
- Texas: Energy sector AI (oil/gas predictive maintenance) is recession-resistant due to energy infrastructure criticality. Dell Technologies HQ provides corporate AI stability.
⚠️ Higher Volatility States (Startup-Heavy)
- California (SF Bay Area): Highest startup density = highest layoff risk. 2023–2024 saw mass layoffs at Salesforce, Meta, Google — but AI roles were specifically protected.
- New York: Financial sector AI at hedge funds and trading firms is performance-dependent — bonus-heavy compensation can swing dramatically.
- Colorado/Atlanta: Strong growth markets but thinner employer base — fewer companies to absorb talent if layoffs hit primary employer.
Protection strategy: Maintain specialized skills (MLOps, AI Safety, LLM deployment) over generalist titles. Specialized engineers retained first; generalists cut first.
10. Relocation vs Remote — Decision Framework for AI Engineers
The single most important career-financial decision for AI engineers in 2026 is not which company to join — it’s where to be physically located. The following framework provides a structured decision process.
🧭 5-Factor Relocation Decision Framework
Relocate to High-Salary State IF:
- ✅ You are entry-level and need access to structured new-grad programs (Washington: Amazon, Microsoft)
- ✅ You are pursuing startup equity and need San Francisco proximity to pre-IPO AI companies
- ✅ Your employer requires onsite and the salary justifies the relocation (California only if total comp > $300K)
- ✅ You need networking density — no other market has more AI engineers per square mile than SF Bay Area
- ✅ Government clearance roles require Virginia/Maryland residence
Stay Remote in Low-COL State IF:
- ✅ You have secured a Tier 2 national remote role ($140K+) with no location-based pay adjustment
- ✅ You are mid-career with 3+ years experience — skills travel; physical location doesn’t matter
- ✅ You prefer quality of life over maximum income — Texas/NC/Colorado provide this
- ✅ Your employer is location-agnostic (GitLab, Automattic, Zapier, fully remote-first companies)
- ✅ You can run client consulting remotely — $200–$400/hour AI consulting from any ZIP code
| Scenario | Recommended State | Rationale | 5-Year Wealth Impact |
|---|---|---|---|
| New grad, onsite required | Washington (Seattle/Bellevue) | Amazon/Microsoft new-grad programs, 0% state tax, lower rent than SF | +$85K vs CA over 5 yrs (tax) |
| Senior, negotiating max TC | California (4-yr equity play) | FAANG RSU packages irreplaceable; exit strategy: move to Texas/NV post-vest | +$500K–$2M+ via RSUs |
| Remote, no location adjustment | Texas or Tennessee | 0% state tax + 40% lower COL = 50–70% more purchasing power | +$120K vs CA over 5 yrs |
| Government/Defense AI | Virginia or Maryland | Security clearance proximity, recession-proof contracts, DOD pipeline | Stable, less upside |
| AI consulting/freelance | Any no-tax state | Self-employed + 0% state income tax = maximum net income on $200–$400/hr rates | +$18K–$40K/yr vs CA |
🚀 Ready to Maximize Your AI Engineer Salary?
Geography is leverage. Use it. Whether you’re negotiating a relocation package, targeting a remote role, or planning a state-based tax arbitrage move — the data is clear: where you work is as important as what you earn.
- 🔑 If you want highest total comp: Target California or Washington for FAANG roles
- 🔑 If you want best real purchasing power: Texas, North Carolina, or Georgia remote
- 🔑 If you want stability: Virginia/Maryland government AI contracts
- 🔑 If you want startup equity upside: San Francisco Bay Area pre-IPO AI companies
11. Frequently Asked Questions
Which state pays AI engineers the most?
Washington State leads with an average AI engineer salary of $185,000, driven by Amazon and Microsoft headquarters in Seattle/Bellevue. When factoring in zero state income tax, Washington’s after-tax advantage over California exceeds $25,000 per year at comparable salary levels. For total compensation (base + equity), California tops the list — but Washington delivers more after-tax money.
How much do AI engineers make in Texas?
AI engineers in Texas earn an average of $150,000–$175,499 base salary, with Austin ML engineers averaging $115,989 (Glassdoor). Texas has zero state income tax, meaning a $150,000 Texas salary is worth more after taxes than a $165,000 salary in New York. Austin, Dallas, and Houston each have distinct AI employer ecosystems — Tesla AI, AT&T AI Research, and energy sector AI, respectively.
What is the lowest-paying state for AI engineers?
Florida ranks as the lowest-paying state for AI engineers at an average of $96,000 base salary — the only major state below $100,000. Despite having zero state income tax, Florida’s AI tech ecosystem is less developed than California, Texas, and Washington. However, Florida is an emerging market: Miami’s tech corridor is growing rapidly, and mid-level AI roles are increasingly available at $120K–$140K for specialized talent.
Is an AI engineer salary in Montana really $223K?
Yes, based on Resume.ai’s analysis of 45,530 LinkedIn job postings from October 2025. Montana exhibits what’s called the “premium market effect” — very few AI roles exist, but those that do offer exceptional compensation to attract rare talent willing to relocate to a low-density tech market. This is not representative of typical AI salaries in Montana but reflects the few highly competitive posted roles.
What is the average AI engineer entry-level salary in the US?
Entry-level AI engineers in the US average $103,140–$117,701, with Washington State leading at $110K–$130K and California at $107K–$135K. San Francisco entry-level roles start at $115,000–$135,000. Even mid-sized cities like Austin deliver $95,000–$115,000 for entry-level AI positions. The national floor for entry-level AI roles is approximately $80,000–$85,000 in lower-demand markets.
How much more do senior AI engineers earn compared to entry-level?
Senior AI engineers (5+ years experience) earn 2–4x entry-level salaries in total compensation. Entry-level: $103K–$130K base. Senior: $200K–$512K total comp (base + equity + bonus). The biggest jump is at the L5/L6 level at FAANG companies where RSU grants add $100,000–$300,000+ annually. MRJ Recruitment confirms senior ML Engineer base salaries now floor at $255,000 at top-tier companies.
Do AI engineers get stock/equity on top of base salary?
Yes, particularly at public tech companies and funded startups. At FAANG companies, RSUs (Restricted Stock Units) typically add 30–80% to base compensation. Example: Google L6 ML Engineer — $223,000 base + $175,000 RSUs + $39,000 bonus = $437,000 total annual comp. At startups, equity is options (illiquid until exit). For publicly traded companies, RSUs vest quarterly/annually and represent real income.
What certifications increase AI engineer salary by state?
AWS Certified Machine Learning Specialty adds +$15,000 nationally, with higher premiums in Virginia (government/cloud contracts) and Texas (cloud infrastructure). Google Professional ML Engineer adds +$12,000 in California, Washington, and New York. In Massachusetts, biotech-specific certifications (NVIDIA AI in Healthcare) yield the largest premiums due to life sciences employer density. Any production MLOps certification increases marketability across all states.
What is the salary growth rate for AI engineers year-over-year?
AI engineer salaries grew an estimated 9.2% year-over-year in 2025–2026 (MRJ Recruitment 2026 US Market Report). Long-term projections from ArtsMArt AI show 8% annual growth through 2034, reaching a national average of ~$250,000. This significantly outpaces the 3–4% median US wage growth rate. Specializations in agentic AI and AI Safety are showing 15–25% YoY salary premiums above standard ML Engineering rates.
Can I negotiate AI engineer salary based on location if I work remotely?
Yes, but you must know your employer’s policy first. Companies like GitLab, Automattic, and Zapier pay location-agnostic rates (same salary regardless of where you live). Companies like Google and Meta use geographic pay bands — if you live in San Francisco, you receive SF rates; if you move to Kansas City, you receive KC rates. Strategy: negotiate location-agnostic policy before accepting offer. Never disclose relocation plans mid-negotiation.
Which state has the most AI job opportunities?
California, Texas, and New York have the highest volume of AI job postings nationally. Among emerging markets, Louisiana leads in AI job postings per capita (1,622 positions), followed by Wyoming and Illinois. Virginia, Ohio, and Utah are fastest-growing due to data center expansion by Google, Amazon, and Meta — with AI/ML hiring projected to grow 20–30% year-over-year in these states through 2026.
How does AI engineer salary compare to traditional software engineering by state?
AI engineers earn a 15–30% premium over traditional software engineers nationally. Example: California SE average $150,000 vs AI Engineer average $178,000 — an $28,000 premium. In Washington State: SE average $140,000–$165,000 vs AI Engineer average $185,000. The premium is widest in financial services states (New York: AI engineers earn 8% above tech average due to fintech demand) and narrowest in lower-demand markets like Florida.
What AI engineer skills command the highest salary in the US?
In 2026, the highest-paying skills nationally are: (1) Production LLM deployment/fine-tuning — $15K–$30K premium over base ML Engineering, (2) MLOps and model serving infrastructure — $10K–$20K premium, (3) Multi-agent AI system development (LangChain, CrewAI) — $25K–$40K premium in agentic AI roles, (4) AI Safety and red-teaming — $40K–$60K premium as regulatory compliance creates new demand, (5) Computer Vision for autonomous systems — highest total comp in automotive AI.
Is Virginia a good state for AI engineering careers?
Yes — Virginia is highly underrated for AI engineering. It hosts the world’s largest concentration of data centers, US government/defense AI contracts (DoD, NSA, CIA), and is home to Amazon’s HQ2 (Arlington). Average salary: $152,407–$199,093. Northern Virginia/DC Metro offers AI job growth of 20–30% YoY. State tax is 5.75% — reasonable. For government-cleared AI engineers, Virginia is the #1 market in the US.
What’s the AI engineer salary outlook for 2027–2028?
Strong growth across all states. National average projected at $200,000+ by 2027 based on 8–9% annual growth from the 2026 baseline of $184,757. Specialization will drive the widest divergences: AI Safety Engineers and Agentic AI Developers are projected to hit $200,000–$250,000 by 2027. AI Safety Engineers are forecast to reach $200,000–$280,000 baseline (60% growth over 10 years per AiCareerFinder). The national median is on track for $200,000+ average by 2027 based on the current 8–9% YoY growth trajectory. Staff-level AI specialists already command an 18.7% salary premium over non-AI peers — up from 15.8% in 2024 — a gap that continues widening at senior levels.
12. Salary Research & Relocation Tools for AI Engineers
These platforms are actively used by AI engineers to benchmark compensation, calculate state tax impact, and plan relocation decisions. All tools listed are free to use at baseline.
| Tool / Platform | Purpose | Best For | Cost |
|---|---|---|---|
| Levels.fyi | Real total compensation data by company, role, and level | Senior engineers benchmarking FAANG TC packages | Free |
| PaycheckCity.com | State-by-state paycheck and take-home calculator | Comparing after-tax income between states before relocation | Free |
| NerdWallet State Tax Calculator | State income tax comparison tool | Computing exact tax delta between California and Texas offers | Free |
| BestPlaces.net COL Calculator | City-to-city cost of living comparison | Relocation decisions — equivalent salary in new city | Free |
| Glassdoor Salary Tool | Company-specific salary data with bonuses | Pre-interview salary research at a specific employer | Free (account required) |
| Built In Salaries | Verified AI engineer salary by city/remote/role | Researching specific tech hubs (Chicago, Austin, NYC) | Free |
| ZipRecruiter Salary Insights | Real-time salary data from active job postings | Entry-level engineers finding current market rates | Free |
| AIJobs.ai | AI-specific job board with salary display | Finding $100K–$200K AI roles with transparent pay | Free |
🚀 Unlock the Highest-Paying AI Career Paths in 2026
📊 Use This Data to Negotiate Your Next Offer
You now have the most comprehensive AI engineer salary-by-state dataset available publicly in 2026. Use it with precision:
- 💡 Print this page’s state table before salary negotiation calls
- 💡 Run the COL-adjusted calculator to make a true state-vs-state comparison
- 💡 Use the tax impact table when comparing multi-state offers
- 💡 Reference Levels.fyi + this page together to triangulate your exact market value
- 💡 If your employer says “that’s above our range” — cite this page’s data as your source
Data Sources: Built In 2026 AI Engineer Salary Database (bulitin.com, Feb 2026) · ZipRecruiter Salary by State 2025–2026 · Resume.ai 45,530 LinkedIn Job Posting Analysis (Oct 2025) · MRJ Recruitment: The Definitive AI Engineering Salary Benchmarks 2026 US Market Report (Jan 2026) · Levels.fyi AI Engineer Compensation Trends Q3 2025 · TripleTen Entry-Level AI Engineer Salary Calculator (Feb 2026) · Qubit Labs AI Engineer Salary Guide 2026 (Feb 2026) · Talent.com NYC & State Salary Data · Glassdoor ML Engineer Salary Austin Texas · LivingCostIndex.com Cost of Living Index by US State 2026 · PaycheckTaxCalculator.net US States No Income Tax 2026 · AiCareerFinder AI Safety Researcher Career Guide · Acedit.ai AI Career Insights Salary Trends 2025 · BLS Occupational Outlook Handbook (Computer and Information Research Scientists) · ArtsMArt AI: How Much Do AI Engineers Make (2024) · 365DataScience AI Engineer Job Outlook Analysis (1,000 job postings).
