Yahoo's Software Engineer Salaries: How Much Do They Earn?

Discover the comprehensive breakdown of Yahoo Software Engineer Salary, benefits, and work culture. Get the edge in your job search!

Yahoo's Software Engineer Salaries: How Much Do They Earn?

Yahoo, renowned for its pioneering role in the digital world, has long been a leader in web services and technology innovation.

Its software engineers, known for their technical prowess and creative problem-solving skills, are central to Yahoo's innovation and success.

Join us as we explore the detailed compensation package of a Yahoo Software Engineer, including pay, benefits, and the distinct work culture at Yahoo.

Yahoo Software Engineer Salary by Level

A software engineer's salary varies based on the position's level at Yahoo. A detailed breakdown of the average salary, base salary, stock per year, and bonus is provided in the table below.

LevelLevel NameTotalBaseStock (/yr)Bonus
IC1Associate Software Engineer (Entry Level)$117K$110K$2K$4K
IC2Interim Software Engineer$155K$129K$12K$14K
IC3Software Engineer$168K$138K$11K$18K
IC4Senior Software Engineer$229K$182K$19K$28K
IC5Principal Software Engineer$243K$200K$25K$18K
IC6Senior Principal SE$404K$246K$104K$54K
IC7Distinguished Engineer$470K$273K$110K$87K

Yahoo Software Engineer Salaries

For a more detailed understanding, let's delve into the roles and responsibilities of each level. Visit Levels. fyi for additional information.

IC1: Associate Software Engineer

Engineers earn an average total compensation of $117K per annum at this level. This includes a base salary of $110K, annual stock options worth $2K, and a $4K bonus.

IC2: Interim Software Engineer

Interim Software Engineers earn a total average salary of $155K, which includes a base salary of $129K, $12K in stock options, and a $14K bonus.

IC3: Software Engineer

Software Engineers earn an average total of $168K, including a base salary of $138K, $11K in stock options, and an $18K bonus.

IC4: Senior Software Engineer

Senior Software Engineers earn an average total salary of $229K, which consists of a $182K base pay, $19K in stock options, and a $28K bonus.

IC5: Principal Software Engineer

Principal Software Engineers have an average total compensation of $243K, including a base salary of $200K, $25K in stock options, and an $18K bonus.

IC6: Senior Principal SE

Senior Principal Software Engineers earn a substantial total of $404K, with a base salary of $246K, $104K in stock options, and a $54K bonus.

IC7: Distinguished Engineer

Distinguished Engineers receive an impressive total compensation of $470K, comprising a base salary of $273K, $110K in stock options, and an $87K bonus.

Career Progression and Salary Increases at Yahoo

Yahoo Career Progression

  • From Associate Software Engineer (IC1) to Interim Software Engineer (IC2): The promotion from IC1 to IC2 sees a considerable jump in total compensation, from $117K to $155K. This new role could involve additional responsibilities, such as delivering complex software solutions and mentoring junior team members.
  • From Interim Software Engineer (IC2) to Software Engineer (IC3): Moving up to the IC3 level results in a total compensation of $168K, a boost from the IC2 salary package. The Software Engineer role might require managing independent project components and enhancing system efficiency.
  • From Software Engineer (IC3) to Senior Software Engineer (IC4): The leap to the Senior Software Engineer position comes with a handsome raise, bringing the total compensation to $229K. This seniority level typically involves overseeing significant projects, performing code reviews, and driving the product development strategy.
  • From Senior Software Engineer (IC4) to Principal Software Engineer (IC5): Advancing to the Principal Software Engineer rank, professionals see their total compensation increase to $243K. In this role, one might be responsible for setting technical direction, leading complex projects, and influencing software engineering practices across the organization.
  • From Principal Software Engineer (IC5) to Senior Principal SE (IC6): The progression to Senior Principal Software Engineer (IC6) brings a substantial increase in compensation to $404K. This position often entails strategic leadership in technology, significant contributions to product architecture, and mentorship of other engineering teams.
  • From Senior Principal SE (IC6) to Distinguished Engineer (IC7): Elevating to the Distinguished Engineer level, the total compensation reaches a remarkable $470K. Distinguished Engineers are expected to provide visionary technical leadership, drive innovation, and impact the company's overall technology strategy and direction.

Salary Breakdown by Location

Yahoo Head Office

The salaries of software engineers vary significantly based on their geographical location. Below is a breakdown of the average base salaries in different cities worldwide, reflecting these areas' diverse economic landscapes and living costs.

LocationAverage Base Salaries
Los Angeles, CA$196K
San Francisco, CA$168K
New York, NY$168K
Baltimore, MD$160K
Tel Aviv, Israel$141K
Washington, DC$135K
Boston, MA$135K
Taipei, Taiwan$66K

Source: Interview Query

Top Benefits at Yahoo

Yahoo Head Office

Yahoo offers a comprehensive suite of benefits to its software engineers. Here are the top 10 benefits:

  1. Healthcare: Yahoo provides Health, Dental, and Vision Insurance, along with a Health Savings Account (HSA), to which they contribute $500 per year.
  2. Free Meals and Beverages: Yahoo offers Free Breakfast five days a week, free drinks, and snacks on-site.
  3. Fitness: Employees can access an on-site gym and fitness classes to maintain their health and wellness.
  4. Insurance: Life Insurance, Accidental Death & Dismemberment (AD&D) Insurance, and Disability Insurance are offered.
  5. Parental Leaves: Maternity and Paternity Leaves support work-life balance during parenthood.
  6. Retirement Plans: Yahoo supports its employees' retirement through a 401k plan with a 6% match on the first 6% of base salary and a Roth 401k.
  7. Professional Development: Tuition Reimbursement is provided for further education and better skill development.
  8. Work-Life Balance: The company offers 21 days of PTO (Vacation / Personal Days), along with unlimited Sick Time.
  9. Extra Perks: On-Site Car Wash/Detailing, Phone Bill Reimbursement, and Free Company Phones are just a few extra perks that make working at Yahoo more comfortable.
  10. Support for Life Events: Yahoo offers Immigration Assistance and a Relocation Bonus, which can significantly help during crucial life events.

For more detailed information on the benefits offered at Yahoo, visit

Yahoo's Satisfying Work Culture

Yahoo's Work Life Balance

Yahoo is known for its satisfying work culture. Various departments within Yahoo have been rated on work-life balance, happiness levels, and overall culture score, providing a comprehensive view of the work environment in the technological giant.

Here's a detailed look at the culture score across different departments:

DepartmentWork-Life BalanceHappinessCulture Score

For instance, the Sales and Design teams enjoy a superior work-life balance with an A+ and A rating, respectively, coupled with high happiness levels. On the other hand, the Product team faces challenges considering its D rating in work-life balance and overall happiness.

In the Engineering department, the work-life balance is rated C, reflecting the demanding nature of the job. The happiness and culture scores at B- and C+ indicate areas for improvement to ensure that engineers feel supported and engaged in their roles.

For more in-depth insights, refer to the Comparably dataset. Yahoo is committed to improving its workplace culture, and these ratings are pivotal in that journey. After all, a happy employee contributes to a successful company.

Frequently Asked Questions

Q. How much do Software Engineers make at Yahoo?

Yahoo Software Engineer salary

Source: Glassdoor

Software Engineers at Yahoo earn an average total compensation that ranges from $117K to $470K, depending on their level. The compensation package includes base salary, stock options, and bonuses.

Q. What is the average salary at Yahoo?

Yahoo Software Engineer salary

Source: Glassdoor

The average compensation for Software Engineers at Yahoo varies widely depending on the level and role. For instance, an Associate Software Engineer (IC1 level) earns $117K, while a Distinguished Engineer (IC7 level) earns up to $470K.

Q. What is Yahoo's highest salary offered as a Software Engineer?

The highest salary at Yahoo for a Software Engineer is at the Distinguished Engineer (IC7 level) with a total compensation package of $470K, including a base salary of $273K, stock options worth $110K, and bonuses totaling $87K.

Q. What are the most common skills required as a Software Engineer at Yahoo?

Skills required for a Software Engineer at Yahoo commonly include proficiency in programming languages such as Java, Python, or C++, understanding data structures and algorithms, familiarity with software development methodologies, and knowledge of cloud platforms.

Q. How much does an entry-level Software Engineer make at Yahoo?

An entry-level Software Engineer, or Associate Software Engineer (IC1 level), at Yahoo earns a total compensation package of $117K, which includes a base salary of $110K, stock options worth $2K, and bonuses amounting to $4K.

Wrapping Up

Navigating the corporate landscape, especially regarding compensation, can be tricky. Yahoo, however, offers an enticing salary structure, above-average benefits, and a commendable work-life balance. Yahoo should be on your radar if you're an engineer seeking a well-compensated position in a company with a strong culture.

Are you looking for an even better work-life balance? Check out flexible job opportunities at

Apply now and transform the way you work!