10 U.S. States Where Tech Salaries Dropped the Most in 2025

Quick listen: Tech salaries are rising, but not everywhere. These 10 states are falling behind. Here’s what’s happening and why it matters, in under 2 minutes.

Tech jobs are booming nationwide, but in some states, paychecks are shrinking.  

From 2014 to 2024, the national average tech salary increased 8.19%, from $114,268 to $123,658 when adjusted for inflation.  

This growth reflects surging demand in areas like software development, cybersecurity, and cloud infrastructure. 

However, not all states shared in the gains. 

In more than 10% of U.S. states, real tech wages actually declined, revealing pockets of economic stagnation, digital access gaps, and weak tech ecosystems.  

DesignRush's report identifies the five worst-performing states where tech workers earned less in 2024 than a decade ago, even as industry demand grew. 

We reviewed Bureau of Labor Statistics (BLS) data for six high-paying tech roles and compared inflation-adjusted 2014 salaries with 2024 levels to rank state-level performance. 

Colorado was excluded due to omitted wage data in the May 2024 BLS release. 

10 States Where Tech Salaries Fell the Hardest in 2025 

1. Wyoming (–6.62%)

Wyoming posted the steepest decline in real tech earnings over the past decade. 

Average salaries fell from $123,258 in 2014 to $115,100 in 2024, resulting in an $8,158 loss after adjusting for inflation. 

Despite remote work trends that benefited many rural markets, Wyoming has struggled to build the digital infrastructure needed to support tech growth.  

Vast geography and low population density have slowed broadband deployment, even with recent federal investments totaling $347 million. 

The state’s 2020 broadband report confirmed persistent service gaps in remote communities, limiting remote work opportunities and local tech hiring. 

2. Delaware (–6.57%)

Tech professionals in Delaware saw an average pay drop of $8,426, with 2024 salaries at $119,822, down from $128,248 in 2014. 

The state trails in public-private tech investment programs compared to regional peers. 

Delaware's public institutions, including DelTech, have raised concerns over non-competitive salary funding, highlighting systemic challenges across the workforce. 

 3. Rhode Island (–4.05%)

Rhode Island recorded a $4,849 real wage decline, as tech salaries slipped from $119,591 to $114,742 over the decade. 

The state has lagged in capitalizing on the tech boom due to limited venture capital availability and an underdeveloped startup ecosystem.  

Its $2M public VC fund, launched in 2024, signals previous underinvestment in early-stage tech ventures. 

The state has only a few early-stage capital providers, lacking the scale to sustain rapid growth or attract large-scale tech employers. 

4. Mississippi (–3.90%)

Mississippi’s tech workforce saw a $3,457 drop in real income, earning $85,290 in 2024 vs. $88,747 in 2014. 

The state has among the lowest rates of computer and broadband access nationally, with 41% of households lacking basic digital tools.  

While the BEAM broadband expansion plan promises progress, rollout has been criticized for benefiting wealthier counties first. 

Without targeted investment in disadvantaged areas, Mississippi remains caught in a talent drain loop where tech graduates leave for better-connected states. 

5. Kansas (–2.49%)

In Kansas, tech salaries declined $2,556, slipping from $102,486 to $99,930. 

The state has lacked a dominant tech hub to drive innovation cluster growth.  

While aerospace and advanced manufacturing initiatives, such as those identified by the Brookings Institution, are underway, efforts remain in the early stages. 

Kansas still lags behind peers like Missouri or Texas in attracting large-scale digital employers.

Its fragmented urban centers have also yet to develop anchor ecosystems to retain talent or raise wages. 

6. New York (–1.48%)

Despite being a tech powerhouse, New York saw real tech wages fall by $1,973, with salaries dipping from $132,925 in 2014 to $130,952 in 2024.

While the state boasts a robust tech ecosystem, rising living costs, especially in NYC, and heavy taxation have eroded real income growth.

Many professionals have relocated to more affordable hubs, reducing the local talent pool.

Additionally, sluggish wage adjustments in public tech-sector roles have widened the disparity compared to private tech giants.

7. New Mexico (–1.01%)

New Mexico experienced a $1,099 drop in tech wages over the past decade, from $109,164 to $108,065.

The state faces ongoing challenges in retaining skilled professionals due to limited large-scale tech employers and high outbound migration.

While federal labs and defense contractors are major employers, the broader tech ecosystem lacks diversification.

Recent efforts to expand broadband access and invest in startup accelerators remain in early stages and have yet to reverse salary stagnation.

8. Oregon (–0.52%)

In Oregon, tech salaries fell by $644, from $124,832 in 2014 to $124,188 in 2024.

Although Portland has seen tech growth, wage stagnation and increased cost of living have outpaced compensation gains.

The state’s dependence on a handful of large employers has limited competition-driven wage increases.

Meanwhile, smaller cities haven’t seen significant tech spillover, curbing statewide momentum.

Notably, despite the dip in salaries, Oregon was recently ranked as the top U.S. state for entrepreneurial success, highlighting a potential disconnect between startup activity and tech wage growth.

9. New Jersey (–0.21%)

New Jersey recorded a $274 decrease in inflation-adjusted tech wages, down to $131,605 in 2024 from $131,879 in 2014.

Despite its proximity to NYC and Philadelphia, the state has struggled to attract high-growth startups at scale.

Public infrastructure investments have lagged, and rising property taxes and cost of living have pushed workers to neighboring states.

However, New Jersey boasts a growing startup ecosystem, with new and expanding tech companies across sectors like fintech, biotech, and software, indicating potential future upside for wage growth.

10. Indiana (–0.16%)

With a marginal decline of $158, Indiana rounds out the top 10, with tech salaries shifting from $98,222 to $98,380 over the decade.

While home to several university-led innovation zones, the state hasn’t seen the wage acceleration present in national hotspots.

Smaller cities struggle to compete with the pull of tech centers in Chicago and Columbus, creating a brain drain effect.

Growth initiatives are underway, but many rely on long-term infrastructure and education reforms to bear fruit.

Methodology 

This analysis is based on the U.S. Bureau of Labor Statistics’ Occupational Employment and Wage Statistics (OEWS). Data includes: 

• Inflation-adjusted 2014 salaries using CPI 
• 2024 nominal salaries 
• States with full data coverage (Colorado excluded as per BLS notice) 
• Key tech occupations selected via SOC codes 

For source accuracy, see BLS tables and CPI info. 

Struggling to retain talent in low-growth markets? These HR firms help you build competitive strategies to stay ahead: