Engineering Manager Salary Overview
Engineering Managers at SaaS companies lead a team of software engineers, balancing technical delivery with people management and career development. They oversee Senior Software Engineers, Software Engineers, and Junior Software Engineers, and report to a Director of Engineering or Head of Engineering.
Engineering Manager compensation reflects the role's dual nature — bridging technical execution and people leadership. The natural career progression leads to Director of Engineering. Engineering Managers partner closely with Product Managers on sprint planning and roadmap execution. View all SaaS salary benchmarks.
Detailed Engineering Manager Compensation Breakdown
Percentile Band | Average Base Salary | # of salaries |
|---|---|---|
| Top 25% | $207,464 | 28 salaries |
| Middle 50% | $158,806 | 47 salaries |
| Bottom 25% | $76,991 | 22 salaries |
What Drives Higher Engineering Manager Pay?
Team size — managing 8+ engineers signals senior-level scope
Company stage — Series C+ typically pays 20–30% more
Technical depth — hands-on coding EMs earn more than pure people managers
Hiring track record — proven ability to recruit and retain top talent
Engineering Manager Compensation Structure
Base salary is 80–90% of total cash compensation
Equity grants at growth-stage companies (0.05–0.25%)
Performance bonuses of 10–20% tied to delivery and team metrics
Retention packages for key managers during critical growth phases
