Main image of article Dice Tech Salary Report: Are Tech Pro Bonuses Shrinking?

Despite fears of a recession and layoffs at the nation’s biggest tech companies, tech professional salaries remain high, according to the latest edition of Dice’s Tech Salary Report. However, salary is just one part of a compensation package—are tech pros getting the bonuses they deserve?

Unfortunately, fewer technology professionals received a bonus in 2022 (38 percent) compared to 2021 (41 percent). However, there’s also a bit of a silver lining: those bonuses were larger on average, rising year-over-year from $12,665 to $13,794. That aligns with the broader macroeconomic trends we saw throughout 2022: while organizations may have tightened budgets in the face of economic uncertainty, leading many to curtail bonuses, others are paying larger bonuses in order to attract and retain top talent. 

For organizations that depend on highly specialized tech talent to grow and survive, the pressure to continue paying bonuses is enormous. Those tech professionals with skills in “hot” arenas such as cloud architecture and machine learning can use that simple fact when negotiating over the size of that bonus (or for a bonus at all, if a company is trying to cut back).  

It’s also important to note that bonuses are responsible for 55 percent of tech professionals’ income beyond their base salary; overtime (16 percent), stock options (13 percent), commissions (7 percent) tend to drive far less. It’s little wonder bonuses are a key factor in where many tech professionals choose to work.   

Meanwhile, many tech professionals are also enjoying bigger paychecks: some 66 percent of respondents said their annual income rose in 2022, versus 63 percent in 2021. A mere 6 percent received a smaller paycheck in 2022, versus 8 percent in 2021, and 27 percent reported their income remained the same. Merit increases powered 31 percent of these higher salaries, followed by changing employers (24 percent), internal promotion (10 percent), and cost-of-living adjustments (8 percent).

Whether you currently earn a bonus, and whether your income is rising or falling, keep in mind that, with the right skills and experience, your compensation is definitely up for negotiation with your manager. During any conversation with your manager over your pay, show how your unique abilities have positively impacted your projects and the organization’s overall strategy. With luck, you’ll get a salary bump (or bonus) that reflects your increasing value.

For even more on tech professionals’ compensation, including the top-paying skills and occupations, check out the Dice Tech Salary Report!