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Originally Posted by OmgGlutten!
Can someone please give me an idea about how programming salaries work for remote programmer vs at-the-office programmer? When you consider massive differences in the cost of living and state income taxes, it makes it really confusing to me.
Like, if a developer in Little Rock makes $50k and I live in Little Rock and I am going to be working remotely for a company based out of California, are they going to try and pay me $50k?.. but if I live in California they would pay me $90k?
Generally speaking, you won't get hired and when you do, it's likely to be at a company that's trying to underpay people by finding remote developers. From their perspective, what's the point of accommodating this if they have to pay the same price? The whole point of accepting remote candidates is that they get to tap the excess supply, which lowers the price. The exception is if you were not remote to start with, proved your value and moved away and they decided they'd rather keep you happy than insult you by offering a pay cut. Also, when you're trying to find remote jobs, you're implicitly competing with foreign developers with even lower CoL. I wouldn't be surprised if one could do better in Little Rock than a remote job in California.
Also, some of the differences in salary reflect the skill disparity between the median developer in Little Rock and the median developer in the Bay Area. It's not necessarily the case that you can make a lot more by simply moving - it depends on your abilities. With that said, developers who could easily get jobs in both markets are almost certain to be paid more in the Bay Area, largely due to this:
https://en.wikipedia.org/wiki/O-ring...ic_development
and consequently:
https://hbr.org/cover-story/2017/03/...-of-inequality
But this also means great developers are already disproportionately in tech hubs.
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Then why not just fire all the $90k developers and find someone in Little Rock to do it for $50k? Is it just because there are not enough Little Rock devs to fire all the California devs?
Talent isn't anywhere close to evenly distributed around the country because large cities with best job opportunities disproportionately attract elite talent. It's not just developers - it's product managers, project managers, UX designers, domain specialists, and the general culture surrounding engineering and product development. One good proxy would be to take something like the top 50 schools in the US and see where their graduates end up - it's going to be overwhelmingly large coastal cities, other mega-cities (Dallas, Houston, Chicago, etc) and a few other "cool" cities like Austin, Boulder, etc.
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But if that is the case, then how do the companies in Little Rock get away with only paying their devs $50k? Is it because those devs don't want to move to California?
The ones that can, by and large, already have or never went there in the first place. They get away with paying less because the ones that can go to California and make a lot more already have.
Btw, I don't know much about Little Rock - I'm talking more generically about mid-sized, non-coastal, non-tech-hub cities.