Senior Software Engineer Salary vs. Junior Software Engineer Salary: A Comprehensive Guide

When it comes to levels in the software engineering world, seniority isn’t necessarily the amount of time you’ve spent working professionally. It’s not the number of lines you code, either. 

Salaries tend to be high across the board for tech jobs, but when comparing senior vs. junior software engineer salaries, as you can probably guess, senior engineers typically earn more than their junior counterparts.

What factors affect earning potential, aside from the sheer number of years spent in the role? 

The Bureau of Labor Statistics reports that the occupation is expected to grow 17% between 2023 and 2033, much faster than the average for all occupations. The demand for technical skills certainly influences the high earning potential.

Global engineering salaries vary widely. In Mexico, for example, the median junior software engineer salary is more than $25,000 USD lower than the senior one ($74,069 vs. $99,702). In Canada, the difference is even greater, closer to $34,000 ($99,927 vs. $133,600).

While earning potential varies across seniority, there are other factors at play. For example, specialists like AI engineers often have higher salaries due to their niche expertise. Different industries, such as healthcare, manufacturing, and finance, also have variable salaries. 

So, what accounts for the variations in senior software engineer salaries vs. junior engineer salaries? In this guide, we will explore skill sets, responsibilities, and career paths for the two roles and help you determine which level of engineers you need for your organization.

Career Path

Twenty-five percent of professional developers have 1–4 years of experience, while most define themselves as early-to-mid career (nine or fewer years of experience), according to Stack Overflow’s 2024 Developer Survey.

However, career paths for engineers aren’t always linear. There are many specializations and horizontal moves. For example, a tech professional might pursue a role in mobile development or QA engineering. Pay scale varies by specialization and role.

Generally, for software engineers, the path is:

• L1: Entry Level Engineer
• L2: Junior Engineer
• L3: Software Engineer/Developer
• L4: Senior Engineer
• L5: Staff/Principal Engineer
• L6 and Beyond: Senior Staff Engineer/Distinguished Engineer/CTO/etc.

Some organizations may not have all these roles, or there may be equivalent roles with different titles. Moreover, many engineers never reach leadership or don’t want to. 

In a given organization, as you can probably guess, higher-up engineers earn larger salaries. Seniority can also play a role, as can the highest degree attained. For example, a junior developer with a master’s degree might earn more than a mid-level developer without one.

Skills

Junior developers have probably mastered the basics of a handful of programming languages, such as Python, JavaScript, HTML, CSS, C++, and/or SQL; they may be dabbling in different languages and stacks. They should have technical proficiency, although they aren’t expected to be as adept as their senior counterparts. 

These engineers should be able to identify minor code issues, even if they can’t fully address them. They should also have burgeoning creative abilities, allowing them to innovate at scale as they advance in their careers. 

Senior developers usually know a wide range of languages and frameworks, such as Java, Ruby, Swift, C#, Kotlin, and Go, including advanced technologies. They often specialize in a specific tech stack or technology, but they should know most prominent stacks or be able to master them quickly. 

These engineers have the ability to optimize, while junior engineers usually can’t do so as comprehensively. They must be able to write scalable and efficient code and debug existing code, spotting errors and resolving them easily. 

Another key difference is that senior engineers are more than just programmers; they should have leadership, mentorship, and decision-making capabilities, aligning project objectives with strategic goals. They also need to be able to communicate technical concepts to non-technical stakeholders.

Some engineers at this level focus on subspecialties like AI/ML, web development, mobile development, cloud computing, or database development. 

Responsibilities

Responsibilities for junior and senior engineers go beyond mere coding.

Junior engineers write and maintain code, typically working on discrete tasks as opposed to holistic projects. They may also complete simpler projects independently, as well as implement small or minor features. Developers at this level can usually handle simple debugging and troubleshooting as well. This is how they gain experience.

Because they are not as experienced as their senior counterparts, junior engineers sometimes participate in pair programming and code reviews to learn and familiarize themselves with more complex topics. They often receive mentorship from senior engineers.

Senior engineers act independently or lead projects. As key decision-makers, these developers evaluate organizational needs and conceptualize solutions to address challenges, establish and/or review requirements, and/or develop and scale systems to meet stakeholder requirements. 

In addition to devising and creating complex architecture and software solutions, senior engineers conduct code reviews and mentor junior developers. They also act as a liaison between technical and non-technical stakeholders, all while ensuring quality, scalability, and sustainability.

When to Hire a Junior Engineer vs. Senior Engineer

You may be tempted to rely on senior engineers because of the expertise they bring. Or you might be tempted by the lower junior software engineer salary. However, your choice depends on more factors than price tag alone.

For smaller organizations and startups, junior developers may suffice. Or, you may need a single senior engineer to spearhead initiatives and build up the organization. In any case, evaluate your project requirements, budget, and need for leadership and growth. Bear in mind that a senior or mid-level developer may ultimately be more cost-effective than a junior developer due to expertise and efficiency. They can complete tasks faster and have a lower chance of committing errors. But a junior developer can grow with the organization.

Often, a blend of both levels of seniority ensures a cohesive and well-functioning team. Junior developers have lower salary expectations, are easier to find, and can mature within your organization. Senior developers can offer leadership and mentor junior counterparts. Avoiding relying exclusively on one level helps you maximize the value of your engineers.

Both junior and senior engineers will have the opportunity to grow and develop important professional skills, benefiting your organization. Also, consider that giving newer engineers opportunities early on can lead to high retention (much less costly to your organization) because junior engineers may feel loyal to the organization that gives them a chance and nurtures their skills.

Globally, senior engineers typically earn at least 33% more than junior engineers. Curious about the differences in salaries for various engineering roles at a range of levels around the world? 

Find out with Terminal’s Remote Software Engineer Salaries tool. Learn about salary expectations from entry to principal levels across a wide range of tech roles in Canada, Latin America, and Europe. Unpack even more insights to inform the hiring process and make better employment decisions with our comprehensive Report.