As one of the most important technology companies in the world, Microsoft employs over 220,000 people. However, this number has shrunk somewhat following layoffs from earlier this year, which resulted in thousands of employees being let go.
But how much do you actually earn as a Microsoft employee? This question is particularly interesting for developers and managers, as such positions at top companies are in high demand. And as a user, you might also wonder what a Windows developer earns these days.
How much do Microsoft devs earn?
Business Insider recently obtained a leaked internal Microsoft document that answers this question. In it, 850 employees provided information on their own earnings at Microsoft, and the data allows for different levels to be compared with each other.
Compensation at Microsoft comprises the following: a base annual salary, a cash bonus, a percentage bonus (presumably based on targets achieved), and a stock award (which is based on the current company value and can therefore fluctuate greatly).
This results in the following salary range for developers:
| Level | Basic salary | Cash bonus | Bonus percentage | Stock bonus |
| 59 | $120,800 – $124,000 | $3,000 – $19,300 | 8-14% | $7,000 – $19,300 |
| 60 | $111,000 – $160,000 | $9,300 – $21,700 | 8-16% | $7,200 – $20,000 |
| 61 | $128,000 – $170,000 | $11,300 – $27,000 | 8-20% | $10,800 – $36,000 |
| 62 | $139,200 – $191,000 | $11,000 – $30,800 | 8-20% | $8,000 – $45,000 |
| 63 | $153,500 – $224,800 | $8,000 – $50,000 | 10-25% | $22,000 – $64,000 |
| 64 | $162,700 – $230,600 | $11,000 – $50,000 | 10-140% | $38,000 – $80,000 |
| 65 | $188,000 – $230,000 | $32,700 – $61,700 | 16-28% | $39,000 – $91,000 |
| 66 | $217,600 – $269,000 | $59,000 – $60,700 | 20-120% | $78,000 – $140,000 |
| 67 | $248,000 – $250,000 | $70,000 – $82,000 | 28-34% | $145,000 – $252,000 |
This means that a top developer at Microsoft could receive between $500,000 and $600,000 per year (after bonuses and stock awards). This is astonishing, as the average salary for developers in the US is normally around $120,000. However, you have to bear in mind that only a very small portion of the workforce is represented here.
The salary is not only based on the individual level, but also on the area in which you work. The salary is lowest for developers in the “Experiences and Devices” area, which presumably means end devices and support. Cloud and AI developers earn a little more, but salaries are highest in the Xbox division and Commerce division.
How much do Microsoft bosses earn?
If you compare these already-excellent salaries with the top salaries at Microsoft, they no longer seem quite so impressive. According to unconfirmed reports, Phil Spencer (head of the Xbox division) earns $10 million per year, and that’s before stock awards.
At the top of the list is Microsoft CEO Satya Nadella, who just about makes ends meet with a modest annual salary of $2.5 million. However, after all bonuses and premiums are paid out, the Microsoft top dog earns an impressive $79 million.
So even a top-tier Microsoft developer earns as much in his entire life as Phil Spencer gets in two years or Satya Nadella in three months.
Past reports of Microsoft salaries
Microsoft salaries were also leaked in 2024 and in 2019. Compared to last year, salaries have hardly changed—but in 2019, developers at Microsoft earned significantly less. However, the company’s annual turnover has now risen to $281 billion, making it one of the top 3 tech companies in the world.
This article originally appeared on our sister publication PC-WELT and was translated and localized from German.
