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.
National Median
$171,200
Best State (Net)
$139,717
Washington
Take-Home TX
$128,017
No state tax
Job Growth
BLS projects 17%
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
Salary by Experience Level
New IT Manager / EM (year 0-3)
$155,000
gross/year
Est. take-home (TX):
$116,945
First-line management · 5-10 reports · IC-to-manager transition
Senior IT Manager / Senior EM (4-8 years)
$195,000
gross/year
Est. take-home (TX):
$144,936
15-30 reports · multi-team scope · cross-functional leadership
Director of IT / Director of Engineering (8-15 years)
$265,000
gross/year
Est. take-home (TX):
$193,263
Org of 30-100 · budget P&L · executive partner
VP Engineering / CIO / CTO (15+ years)
$425,000
gross/year
Est. take-home (TX):
$295,129
Org 100-500+ · executive comp + equity / LTI · strategic leadership
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
Take-home estimates for a single filer with no additional deductions. Click any state for the full breakdown.
| State | Gross Salary | Est. Take-Home |
|---|---|---|
| $188,000 | $139,717 | |
| $188,000 | $131,067 | |
| $195,000 | $128,196 | |
| $185,000 | $125,836 | |
| $178,000 | $124,923 | |
| $182,000 | $124,761 | |
| $165,000 | $123,780 | |
| $165,000 | $123,780 | |
| $175,000 | $123,575 | |
10Virginia | $178,000 | $123,293 |
11Illinois | $175,000 | $122,695 |
| $175,000 | $122,615 | |
13Arizona | $168,000 | $122,005 |
| $168,000 | $121,133 | |
| $158,000 | $118,995 | |
| $158,000 | $118,995 | |
| $158,000 | $118,995 | |
| $158,000 | $118,995 | |
| $168,000 | $118,563 | |
20Utah | $165,000 | $116,955 |
21Georgia | $165,000 | $115,545 |
22Ohio | $158,000 | $113,990 |
| $158,000 | $113,275 | |
24Michigan | $158,000 | $112,918 |
25Delaware | $158,000 | $111,130 |
| $168,000 | $110,760 | |
27Oregon | $168,000 | $110,683 |
28Indiana | $150,000 | $109,275 |
29Missouri | $152,000 | $108,113 |
| $152,000 | $107,633 | |
31Hawaii | $158,000 | $106,125 |
32Kansas | $148,000 | $105,510 |
33Nebraska | $148,000 | $104,393 |
| $148,000 | $103,648 | |
| $142,000 | $102,852 | |
36Iowa | $145,000 | $102,700 |
| $142,000 | $102,662 | |
38Idaho | $145,000 | $102,570 |
39Kentucky | $142,000 | $102,344 |
| $138,000 | $102,250 | |
41Oklahoma | $142,000 | $102,027 |
| $132,000 | $101,224 | |
| $132,000 | $101,224 | |
44Maine | $145,000 | $100,815 |
45Alabama | $138,000 | $100,405 |
46Vermont | $145,000 | $100,230 |
47Montana | $138,000 | $98,068 |
| $132,000 | $95,959 | |
| $130,000 | $95,257 | |
50Arkansas | $130,000 | $94,797 |
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
$100,405
net
AlaskaNo state tax
$118,995
net
Arizona
$122,005
net
Arkansas
$94,797
net
California
$128,196
net
Colorado
$123,575
net
Connecticut
$122,615
net
Delaware
$111,130
net
FloridaNo state tax
$118,995
net
Georgia
$115,545
net
Hawaii
$106,125
net
Idaho
$102,570
net
Illinois
$122,695
net
Indiana
$109,275
net
Iowa
$102,700
net
Kansas
$105,510
net
Kentucky
$102,344
net
Louisiana
$102,662
net
Maine
$100,815
net
Maryland
$124,923
net
Massachusetts
$131,067
net
Michigan
$112,918
net
Minnesota
$110,760
net
Mississippi
$95,257
net
Missouri
$108,113
net
Montana
$98,068
net
Nebraska
$104,393
net
NevadaNo state tax
$118,995
net
New HampshireNo state tax
$123,780
net
New Jersey
$124,761
net
New Mexico
$102,852
net
New York
$125,836
net
North Carolina
$118,563
net
North Dakota
$102,250
net
Ohio
$113,990
net
Oklahoma
$102,027
net
Oregon
$110,683
net
Pennsylvania
$121,133
net
Rhode Island
$113,275
net
South Carolina
$103,648
net
South DakotaNo state tax
$101,224
net
TennesseeNo state tax
$118,995
net
TexasNo state tax
$123,780
net
Utah
$116,955
net
Vermont
$100,230
net
Virginia
$123,293
net
WashingtonNo state tax
$139,717
net
West Virginia
$95,959
net
Wisconsin
$107,633
net
WyomingNo state tax
$101,224
net