Data engineering is a prominent yet emerging technological field that is currently enjoying high demand. The Bureau of Labor Statistics stated that the demand for data engineer would increase significantly in the coming four to five years, and also as per Glassdoor salary reports as of May 2022 professionals in the field earn around $1,15,176 to $1,68,000 per year.
Salaries for data engineers vary across the globe, depending on various factors such as location, experience, skills and Data Engineer training and certifications taken by the professionals. Data engineering is all about data storage and organizing and optimizing warehouses plus databases. It helps organizations understand big data and helps in collecting, storing, and analyzing vast amounts of data, using technical skills related to NoSQL, SQL, and hybrid infrastructures.
Stay tuned as we dive into the salary trends for data engineers, and cover the factors influencing income, and how to improve your salary as a data engineer.
Who is a Data Engineer?
A Data Engineer is a professional who deals with data-related tasks such as creating, testing, and maintaining an organization's data infrastructure. Data engineers are professionals who play a consistent role in building data warehouses to store data and data pipelines to feed data into those structures.
Data Engineer also indulges in data analysis and helps in transforming big data into a user-friendly format. The data engineer takes care of the technical engineering that revolves around tasks related to data. Let us look at some of the core responsibilities of a data engineer:
- Creating and maintaining databases for applications
- Managing the infrastructure that enables applications to run.
- Handling all activities that make data accessible to stakeholders. They are experts who have a thorough knowledge of SQL data storing and MongoDB NoSQL data warehousing.
- Working closely with developers, analysts, designers, and software engineers who manipulate data to meet the primary objective of achieving business goals.
- Designing data store indexes and ensuring that the data store is up to date.
- Optimizing database performance and data warehouses, creating query plans, and validating results.
Data Engineer Salary in 2023
Since the demand for Data Engineers is massive and is still growing, the salaries are attractive too. With the necessary skills, certifications, education, and experience, the salary package can be appraised every year.
- According to Glassdoor, a data engineer salary in the United States on average is $1,14,179, which includes base salary, bonuses, and profit sharing.
- According to Glassdoor the average data engineer salary is £52,410 per year in the London, United Kingdom
- Whereas according to Glassdoor the national average salary of a data engineer in Germany €65,000.
- According to Glassdoor the average salary of a data engineer is A$1,17,250 per year in Australia.
The deviation depends on the company that hires data engineers, the location of the firm, and the experience, skills, certifications, and expertise of the professionals.
Data Engineer Salary: Based on Experience
One of the most significant and critical factors influencing a Data Engineer's earning capacity is his experience. There are three levels of experience that you can gain in Data Engineering – Beginner, Intermediate, and Advanced. The data engineer salary varies at each level, and so does the job requirement. Let us go through all these three stages:
It is highly likely that once you complete your education and a few certifications, you will get a high package at the beginning of your career as a Data Engineer. It is highly recommended to work as an intern or a freelancer to get accustomed to the process.
According to Payscale, the entry-level data engineer salary ranges between $59K to $78K. According to Salary Expert, the data engineer average salary for a beginner with 1-3 years of experience is approximately $76,537. To earn more, you must invest time in mastering tools such as SQL, Python, ETL procedures, and big data architectures.
To reach the intermediate level, you must build your technical skills and increase your familiarity with additional databases and warehouse products. You must have complete knowledge of various architectures within the data ecosystem. According to Payscale, the average engineering salary for an intermediate range between $79,000 to about $107,000. According to Salary Expert, the average data engineer salary for an intermediate is $108,878, with an average hourly rate of $52, along with an average bonus of $4,704.
An experienced and senior data engineer can earn around $86,000 to around $118,000, which can even go to $156,000 per year, adding all perks and bonuses. According to Salary Expert, the average data engineer salary for an advanced professional who has 8-plus years of experience is $135,131. As a senior, the data engineer is expected to be an expert in Java, Scala, and big data analytics, which are essential requirements to maximize his revenue potential. The added skills and certifications can push the boundaries and can lead to a much higher pay scale for data engineers.
Data engineer salary: Based on Location
Let us look at some of the top countries where the demand for Data Engineers is increasing day by day, and the data engineer average salary offered by top cities of the countries and the top companies that are well-established in the respective nations:
1. Data engineer salary In India
India is one of the regions where data engineering is in high demand. The Average Data engineer salary per year is ₹8,10,000. Let’s have a look at the average yearly salary of some of the cities in India
|Top Cities in India||Data Engineer Salary/year|
|Chennai, Tamil Nadu||₹16,08,637|
|Noida, Uttar Pradesh||₹9,30,416|
Top Companies: that hire Data Engineers and the average data engineer salary offered by them:
|Top Companies in India||Data Engineer Salary per year|
|Tata Consultancy Services||₹5,42,500|
|Cognizant Technology Solutions||₹7,51,055|
2. Data Engineer Salary in US
The Average Data engineer salary per year in US is $1,14,179 and the following table shows the average salaries in various cities in US.
|Top Cities in US||Average Data Engineer Salary / Year|
|San Francisco, CA||₹147478|
|San Jose, CA||₹129704|
|Top Companies in US||Average Salary per year|
|Cognizant Technology Solutions||$80998|
|Tata Consultancy Services||$90199|
3. Data Engineer Salary in the UK
The Average Data engineer salary in UK is £52,405 per year and the following table represents the various cities and their annual salaries.
Top Cities in UK with Salary:
|Top Cities in UK||Annual Data engineer salary|
|Bournemouth||£78,167 per year|
|London||£69,412 per year|
|Cambridge||£59,844 per year|
|Birmingham||£58,090 per year|
|Manchester||£55,794 per year|
|Leeds||£53,159 per year|
|Bristol||£51,564 per year|
|Huddersfield||£50,740 per year|
|Top Companies in UK||Salary /Year|
|Tata Consultancy Services||£55,000|
|Lloyds Banking Group||£63,030|
4. Data Engineer Salary in Australia
The Average Data engineer salary per year in Australia is A$1,17,250 per year and the estimated additional pay for data engineer is A$ 6000 per year. Let’s have a look at the annual salaries in the top cities of Australia.
|Top Cities in Australia||Average Annual Salary /year|
|Sydney Central Business District NSW||$147276|
|Melbourne City Centre VIC||$129040|
|East Perth WA||$105544|
|Top Companies in Australia||Salary per year|
|Commonwealth Bank of Australia||A$1,32,000|
|Tata Consultancy Services||A$86,000|
|Insurance Australia Group||A$75,500|
|Cognizant Technology Solutions||A$95,000|
5. Data Engineer Salary in Canada
The Average Data Engineer salary per year in Canada is CA$92,469 and the additional cash compensation for the post of Data Engineer is CA$8,698.
|Top Cities in Canada||Average Salary per year|
|Top Companies in Canada||Average Salary per year|
|Jarvis Consulting Group||CA$54,723|
|Amazon data engineer salary||CA$136,094|
|Banque Nationale du Canada/National Bank of Canada||CA$86,225|
6. Data engineer salary in Singapore
The data engineer average salary in Singapore is SGD 6,000 per month whereas the average base salary for data engineers in Singapore is SGD1,31,677 per year.
|Top Cities in Singapore||Average Salary per month|
|Micron Technology||SGD 4,600/mo|
|ST Engineering||SGD 5,215/mo|
|Imperium Solutions||SGD 3,113/mo|
|OCBC Bank||SGD 7,204/mo|
|Top Companies in Singapore||Average Salary per year|
Factors Affecting Data Engineer’s Salary
Here are the top factors that have a major influence on the data engineer average salary:
The location and country where you work play a big role in assessing your salary. In simple terms if the cost of living of the location is high then there’s a higher chance that you would get a higher salary package. Let us look at the average salaries that you can earn in different locations of the world:
|Country||Maximum Salary||Minimum Salary|
|The United States||$114564||$54132|
|Singapore||$6,000 per month||$4,680 per month|
2. Industry / Employer / Company
There are various industries, such as software, healthcare, textile, banking, and finance, etc. that employ data engineers. Let us look at the average data engineer salaries at MAANG companies, which are the tech giants known across the globe:
- Meta: The average data engineer salary is $164,113. You can earn benefits and perks up to an average of $17,090 cash bonus, $43,000 stock bonus, and $12,753 profit share.
- Amazon: The average salary is $134,976. You can earn benefits such as a cash bonus of $25,883 and a stock bonus of $25,140.
- Apple: The average data engineer salary is $164,725. You can earn benefits such as a $13,375 cash bonus and a $47,500 stock bonus.
- Netflix: The average salary is $130,576. You can earn benefits of around $44,785.
- Google: The average salary is $125,000. You can earn benefits such as a cash bonus of $20,224 and a stock bonus of $46,160.
The overall experience plays a key role as the deciding factor in assessing your salaries as a data engineer. A junior data engineer salary, with 1-3 years of experience, can be approximately $75,898. The average pay for a standard data engineer role with 2-4 years of experience can be approximately $94,462, and the average senior data engineer salary is around $125,000 per year. A lead data engineer can earn approximately $167,181.
4. Demand and Supply
Places that have a low supply of data engineers, the salaries exceed a much higher limit as compared to places where the availability and supply of data engineers are in abundance.
5. Credentials / Certifications
It is imperative to earn professional certifications in data engineering, such as data engineer certification courses from KnowledgeHut, that will help you display your skills, expertise, and knowledge and eventually increase your salary potential. A Data Scientist course will help you add value to your portfolio and will enhance your skills.
You must make an effort to constantly update your technical, managerial, and soft skills like big data technologies, machine learning, communication, and team management skills as a data engineer. There is a high demand for expert data engineers in the job market, so your skills can pave the way for better opportunities and higher pay.
How to Improve Data Engineer Salary?
No doubt the position of data engineer is a lucrative one but to ensure that you end up getting the best package you have to have the following things mentioned below:
Acquire new talents and information with the aid of new technology and enhance your talents which are excessively in demand in the data engineering market.
Your added certifications will help you prepare for those extra duties or search out new demanding situations for your contemporary function to boom your data engineering level.
Get an expert certification from KnowledgeHut in various fields and technicalities related to Data Engineering, which will help you display your information and boost your pay package and profits earning capacity
Your studies speak volumes of excellent expertise and talents that can bring you much higher incomes in data engineering jobs. Upgrade your degree, and either get diploma courses, Ph.D., or an additional Master's degree to gain revel in operating on complicated statistics engineering projects.
The simple way to negotiate your pay package is by gaining relevant experience. Ensure that you have abundant data to back up your experience and expertise for a higher salary and negotiate with confidence and flexibility. You must keep your portfolio updated by adding various relevant experiences or skills that you’ve garnered.
Why are Data Engineers Paid So Much?
Data engineers play a key role in designing, managing, and maintaining an organization's data infrastructure. They deal with large amounts of big data and store it in a database in a format that can be easily consumed by stakeholders. As a result, they have lucrative salary packages and are in high demand for many large and growing companies. According to the Bureau of Labor Statistics, demand for data engineers will expand rapidly over the next four to five years, making this position the fastest-growing in the IT industry! The demand is forecasted to increase further, so this is the right time to delve into the career and brush up your skills as a data engineer.
Earn Better as a Data Engineer
This comprehensive guide about data engineers’ average salaries and what you can do to earn a higher pay package is based on research, which can help you get paid well as a data engineer. This is one of the most popular jobs around the world and is well paid depending on the skills, experience, expertise, and certifications you have. KnowledgeHut’s Data Engineer training makes it easy for you to leverage your skills and negotiate a higher pay package. Average data engineer salaries may fluctuate greatly depending on various factors. But, with this information, you should be able to start a data engineering role and get a decent salary.