IT Manager Salary 2026 — Take-Home Pay by State
IT Managers (BLS Computer & Information Systems Managers, SOC 11-3021) plan, coordinate, and direct computer-related activities — overseeing infrastructure, cloud migrations, security posture, vendor contracts, software delivery, and engineering teams ranging from 5 to 500+ headcount. BLS reports IT Manager as the highest-paid occupation tracked in the Computer Occupations cluster with 2024 median annual wage $171K. Career structure: Engineering Manager / IT Manager ($150K-$210K) → Director of Engineering / Director of IT ($210K-$320K) → VP Engineering / CTO ($300K-$1.5M+ with equity). Top niches: FAANG / hyperscaler engineering management (CA / WA — L7-L8 TC $400K-$900K), NYC bank technology leadership ($400K-$800K), TX energy + healthcare CIO roles, Microsoft / Amazon ecosystem in Seattle.
US Average
$192,160
BLS, May 2025
Best State (Net)
$165,135
Washington
Take-Home TX
$135,321
on $181,500 · No state tax
Job Growth
BLS projects 17%
Source: BLS, May 2025 · Computer and Information Systems Managers (SOC 11-3021)
Key Facts — IT Manager 2026
BLS median: $171,200 for Computer & Info Systems Managers (BLS May 2023 OES) — top-paying tech occupation entering 2026; top 10% over $239K
FAANG / hyperscaler L7-L8 EM total comp $400K-$900K with RSU — base $200K-$320K + bonus 15-25% + equity 80-200% of base
CTO at Fortune 500 / scaling tech: $750K-$2M+ TC with equity / LTI · top-100 enterprise CTOs near $1M+ TC standard 2024-2026
Mega Backdoor Roth (MBR) at FAANG = $46.5K/year of after-tax 401(k) → in-plan Roth conversion (uniquely valuable at IT Manager comp tier)
RSU vesting at FAANG 4-year graded (25/25/25/25) — Microsoft 2024+ moved to 1/3/3/3-year cliff for newer hires
Section 1202 QSBS = $10M federal tax-free gain on 5-year hold of pre-IPO C-corp stock (uniquely valuable for CTO equity at scaling companies)
NQDC (Non-Qualified Deferred Compensation) plans at Fortune 500 = additional retirement-vault layer above 401(k) for IT Director / VP / CTO comp tier
83(b) election within 30 days of restricted stock grant — locks tax basis at grant for early-stage CTO equity
US Pay Range
Pay percentiles for IT Managers across the US (BLS, May 2025), with the estimated take-home in Texas.
Bottom 10%
$107,550
gross/year
Est. take-home (TX):
$84,491
25th percentile
$138,060
gross/year
Est. take-home (TX):
$105,630
Median
$175,140
gross/year
Est. take-home (TX):
$130,974
75th percentile
$220,730
gross/year
Est. take-home (TX):
$163,966
Top 10%
$297,510
gross/year
Est. take-home (TX):
$213,617
Specialties & Salary Premiums
| Specialty | Est. Salary | Premium |
|---|---|---|
| FAANG / Hyperscaler Engineering Manager (L7-L8) | $376,640 | +120% |
| NYC Bank Technology Director (Goldman / JPM / Morgan Stanley) | $342,400 | +100% |
| Frontier-AI / Pre-IPO CTO / VP Eng (OpenAI / Anthropic / Mistral) | $599,200 | +250% |
| Federal Contractor IT Director (NoVA TS/SCI cleared) | $222,560 | +30% |
| Healthcare CIO (Epic / EHR / HIPAA) | $282,480 | +65% |
| Manufacturing / Energy CIO (TX / OH) | $248,240 | +45% |
| New IT Manager / Engineering Manager (entry) | $136,960 | -20% |
Best States for IT Managers — Real Take-Home Pay
Ranked by estimated take-home pay (single filer, no additional deductions). The highest gross salary doesn't always mean the most money in your pocket.
▲Top 5 — Highest Take-Home
IT Manager Salary by State — All 50 States
BLS average pay in each state (BLS, May 2025) and the estimated take-home for a single filer with no additional deductions. Click any state for the full breakdown.
| State | Average Pay (BLS) | Est. Take-Home |
|---|---|---|
| $222,510 | $165,135 | |
| $238,440 | $154,563 | |
| $223,590 | $152,345 | |
| $218,740 | $151,943 | |
| $206,920 | $142,940 | |
| $202,500 | $142,567 | |
| $206,650 | $142,132 | |
| $186,790 | $139,079 | |
| $181,500 | $135,321 | |
| $177,200 | $132,382 | |
| $175,140 | $130,974 | |
12Delaware | $190,950 | $130,919 |
13Georgia | $187,100 | $130,722 |
| $184,680 | $130,646 | |
| $186,520 | $127,069 | |
| $184,030 | $126,759 | |
| $168,550 | $126,470 | |
| $167,270 | $125,595 | |
19Illinois | $179,190 | $125,017 |
20Arizona | $170,050 | $123,646 |
21Ohio | $169,360 | $122,801 |
| $174,020 | $122,445 | |
| $169,100 | $121,654 | |
24Utah | $169,960 | $119,870 |
25Maryland | $176,850 | $119,687 |
26Kansas | $171,190 | $119,522 |
27Oregon | $180,880 | $119,034 |
28Michigan | $166,790 | $118,429 |
| $166,190 | $117,164 | |
| $165,150 | $116,034 | |
31Missouri | $158,620 | $113,165 |
32Maine | $163,470 | $112,415 |
33Iowa | $154,640 | $111,738 |
34Indiana | $153,520 | $111,698 |
35Idaho | $156,520 | $111,060 |
| $154,800 | $110,818 | |
| $146,840 | $110,048 | |
38Kentucky | $150,620 | $109,061 |
39Vermont | $152,390 | $107,728 |
40Hawaii | $155,230 | $106,919 |
41Alabama | $148,000 | $106,477 |
42Nebraska | $147,830 | $106,461 |
| $138,190 | $105,719 | |
44Oklahoma | $146,050 | $105,064 |
45Montana | $146,100 | $104,232 |
| $135,610 | $103,955 | |
| $141,510 | $102,396 | |
48Arkansas | $138,910 | $101,272 |
| $136,670 | $100,955 | |
| $131,880 | $96,863 |
Job Market Outlook
BLS projects 17% growth 2022-2032 (much faster than average) for Computer & Information Systems Managers. 2024 BLS median annual wage $171,200 = top-paying tech occupation entering 2026. Top 10% earn over $239K (BLS) — and FAANG / hyperscaler L7-L8 engineering leadership total comp regularly $500K-$1M+. Sustained demand drivers: (1) cloud migrations + multi-cloud sprawl driving infrastructure-leadership demand, (2) AI/ML platform builds requiring engineering leadership at every Fortune 500, (3) cybersecurity expansion post-Change Healthcare 2024 + ransomware-as-a-service surge, (4) digital-transformation engagements at consultancies (Accenture / Deloitte / IBM / Slalom). CTO compensation has uncoupled from generic IT-leadership comp post-2023; top-100 enterprise CTOs now $750K-$2M TC with equity.
Fastest-growing states:
Maximize Your Take-Home
401(k) — $24,500 max
Reduces taxable income dollar-for-dollar
HSA — $4,400 single
Triple tax advantage — deductible, grows tax-free, tax-free withdrawals
FSA — $3,300 max
Medical expenses with pre-tax dollars
State consideration
Moving to TX, FL, WA can save $5,000–$15,000/year in taxes
Calculate Your Exact Take-Home as a IT Manager
Add 401(k), HSA, dependents, and more to see your personalized take-home in your state.
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IT Manager Salary by State — Detailed Pages
Alabama
$106,477
net
AlaskaNo state tax
$105,719
net
Arizona
$123,646
net
Arkansas
$101,272
net
California
$154,563
net
Colorado
$142,567
net
Connecticut
$126,759
net
Delaware
$130,919
net
FloridaNo state tax
$130,974
net
Georgia
$130,722
net
Hawaii
$106,919
net
Idaho
$111,060
net
Illinois
$125,017
net
Indiana
$111,698
net
Iowa
$111,738
net
Kansas
$119,522
net
Kentucky
$109,061
net
Louisiana
$100,955
net
Maine
$112,415
net
Maryland
$119,687
net
Massachusetts
$151,943
net
Michigan
$118,429
net
Minnesota
$127,069
net
Mississippi
$96,863
net
Missouri
$113,165
net
Montana
$104,232
net
Nebraska
$106,461
net
NevadaNo state tax
$132,382
net
New HampshireNo state tax
$139,079
net
New Jersey
$142,132
net
New Mexico
$110,818
net
New York
$152,345
net
North Carolina
$130,646
net
North Dakota
$110,048
net
Ohio
$122,801
net
Oklahoma
$105,064
net
Oregon
$119,034
net
Pennsylvania
$121,654
net
Rhode Island
$122,445
net
South Carolina
$117,164
net
South DakotaNo state tax
$126,470
net
TennesseeNo state tax
$125,595
net
TexasNo state tax
$135,321
net
Utah
$119,870
net
Vermont
$107,728
net
Virginia
$142,940
net
WashingtonNo state tax
$165,135
net
West Virginia
$102,396
net
Wisconsin
$116,034
net
WyomingNo state tax
$103,955
net