STEM vs Non-STEM Salaries: What the Data Shows

One of the biggest questions students have when choosing a career path is: "How much will I earn?" It's a fair question, and the data can help you make a more informed decision.

Let's look at what the numbers actually say, using the most recent data from the National Science Foundation, Bureau of Labor Statistics, and other authoritative sources.

The Big Picture: STEM vs Non-STEM

According to the U.S. Bureau of Labor Statistics, the median annual wage for STEM occupations was $100,900 in May 2023, compared to $40,120 for all non-STEM occupations. That's a 151% difference.

Source: U.S. Bureau of Labor Statistics, Occupational Employment and Wages, May 2023. "STEM Occupations: Past, Present, And Future."

But these numbers need context. "STEM" includes everything from software engineers ($127,260 median) to agricultural technicians ($40,160 median). The range within STEM is enormous.

Salary by Field: The Real Numbers

Here's a breakdown of median annual salaries by major occupation group (BLS, May 2023):

Source: U.S. Bureau of Labor Statistics, "Occupational Outlook Handbook," 2024 Edition. Data from May 2023 surveys.

The College Premium Is Real, But It Varies

Data from the Federal Reserve Bank of New York shows that the median wage for workers with a bachelor's degree was $60,000 in 2023, compared to $36,000 for those with only a high school diploma. That's a 67% premium.

However, the return on a degree varies dramatically by field:

• Computer Science: Median early career salary of $75,000 (Georgetown CEW)
• Engineering: $73,000 median early career
• Business: $52,000 median early career
• Biology: $40,000 median early career (often requires graduate school)
• Arts: $36,000 median early career
• Education: $38,000 median early career

Source: Federal Reserve Bank of New York, "The Labor Market for Recent College Graduates," updated January 2024. Georgetown University Center on Education and the Workforce (CEW), "The Economic Value of College Majors" (2023).

The Graduate School Effect

For many non-STEM careers, graduate school dramatically changes the earnings picture:

• Medicine (MD): Median salary $229,300 (BLS, 2023); requires 11-15 years of training
• Law (JD): Median salary $135,740 (BLS, 2023); 3 years beyond college
• MBA: Median salary $105,000 (GMAC, 2023); 2 years beyond college
• Clinical Psychology (PhD): Median salary $92,740 (BLS, 2023); 5-7 years beyond college

Sources: Bureau of Labor Statistics, Occupational Outlook Handbook (2024). Graduate Management Admission Council (GMAC), "Corporate Recruiters Survey" (2023).

What About Job Satisfaction?

Salary isn't everything. The National Society of High School Scholars found that Gen Z ranks work-life balance and meaningful work above salary when evaluating career options. A Gallup survey found that workers who use their strengths daily are 6x more likely to be engaged at work.

Sources: National Society of High School Scholars, "2023 Career Interest Survey." Gallup, "State of the American Workplace Report" (2023).

The Entrepreneurship Factor

Salary data only captures traditional employment. According to the Kauffman Foundation, the average income for successful small business owners exceeds $120,000 per year, though the range is vast and the failure rate is high (about 50% of small businesses fail within five years, per SBA data).

Sources: Ewing Marion Kauffman Foundation, "State of Entrepreneurship" (2023). U.S. Small Business Administration, "Frequently Asked Questions About Small Business" (2023).

Salary Growth Over a Career

Starting salary is one data point. What matters more is the trajectory. The Bureau of Labor Statistics tracks median wages by age group — the gap between early career (25–34) and peak earning (45–54) tells you a lot about a field's growth ceiling.

In software and engineering roles, median wages nearly double between early and peak career. In education, growth is much flatter. In law and medicine, early salaries look modest (especially with student debt) but peak earnings are among the highest of any profession. The key question isn't "what does this pay now?" — it's "where does this go?"

What the Numbers Miss

Salary data is averages — and averages hide a lot. A software engineer at a startup making $85K and one at Google making $240K are both "software engineers." A pediatrician in rural Texas and an orthopedic surgeon in New York are both "doctors."

The factors that actually determine your individual outcome: location, specialization, the specific company or institution, how long you stay, and how aggressive you are about negotiating. Research from Linda Babcock at Carnegie Mellon found that not negotiating your first salary costs an average of $500,000 in lifetime earnings due to compounding raises. That's not a salary issue — it's a negotiation issue.

Source: Babcock, L., & Laschever, S. (2003). Women Don't Ask. Princeton University Press. Carnegie Mellon University wage negotiation research (2001).

The Bottom Line for Students

A few things worth keeping in mind before you choose:

1. Don't pick a career just for the salary. A high-paying job you hate will burn you out faster than a lower-paying one you're actually good at.
2. STEM pays more on average, but the range inside every field is huge. A great attorney earns more than a mediocre software engineer. Field matters less than you'd think.
3. Talk to someone who actually does it. Salary data tells you the number, but it doesn't tell you what the job actually feels like at 10pm on a Tuesday. That's what mentors are for.
4. Think past the first paycheck: student debt, years of training, lifestyle, location, and where the field is headed in 10 years all matter.
5. Learn to negotiate. The single highest-ROI skill for early career isn't technical — it's knowing how to ask for what you're worth.

The Geographic Factor

Where you work matters almost as much as what you do. A software engineer in San Francisco earns a median of $136,000. The same role in a mid-sized city like Austin or Denver pays around $105,000. In a smaller market, it could be $75,000. The national median is just an average of all of those.

This cuts both ways. Cost of living in San Francisco is dramatically higher than in Austin. MIT's Living Wage Calculator estimates a single adult in San Francisco needs around $72,000 just to cover basic expenses — before any discretionary spending or savings. The same calculation in Columbus, Ohio comes in under $35,000. A $105,000 salary in Columbus might actually leave you with more disposable income than $136,000 in San Francisco.

Remote work has changed this somewhat, but not completely. Most high-paying roles still pay location-adjusted salaries even for remote workers, and many require some in-office presence. Before you anchor on a salary number, look up what it actually buys in the city where you plan to live.

Sources: MIT Living Wage Calculator (2024). Bureau of Labor Statistics, Occupational Employment Statistics by state (2023). Levels.fyi software engineering compensation data (2024).

When to Ignore Salary Data

There are a few cases where salary data is genuinely misleading and you should lean on lived experience instead:

• Early-stage startups: Equity can be worth far more than salary, or nothing at all. You can't find this in BLS data.
• Commission-based roles: Sales, real estate, and finance roles often have wide variation. Top performers earn multiples of the median.
• Fields with long training ramps: Medicine and law look bad early (residency pays ~$60K) but look excellent at peak career. You need a 10-year view, not a first-year view.
• Non-profit and public sector: The salary ceiling is lower but benefits, stability, and loan forgiveness programs change the actual financial picture considerably.

This is exactly why talking to someone who's actually in the field matters. They'll tell you what the spreadsheet can't.

On Mentino, you can find professionals across 15+ career fields who'll give you the honest version, not the recruiting brochure version.