Sovereign
2025 Fiscal Data

Software EngineerNet Income in Milan

A definitive analysis of tax liabilities, social contributions, and purchasing power for Tech professionals in Milan, Italy.

Gross Base
138.000 €
Est. Net
73.340 €
Retention: 53.1%Tax Wedge: 46.9%

The Sovereign Outlook

Professionals operating as a Software Engineer in Milan navigate a complex fiscal environment in 2025.Italy’s financial and fashion capital with high-paying private banking and design houses.

Based on our Milan index, a gross annual compensation of 138.000 € typically results in a net take-home pay of approximately 73.340 €. This equates to roughly 6112 € per month in disposable income before housing and living expenses.

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Fiscal Context: Italy

Italy levies IRPEF progressive taxes plus regional and municipal add-ons. Mandatory INPS and healthcare contributions are deducted from payroll.

Marginal Rate
52.0%

Tax on next unit of currency

Social Liability
12.420 €

Mandatory contributions

Role Analysis: Software Engineer

Designs and builds software applications. Highly scalable income based on stack and seniority.

Salary Projection Table

Gross ScenarioNet Outcome
83.000 €46.940 €
110.500 €60.140 €
124.000 €66.620 €
138.000 €73.340 €
152.000 €80.060 €
165.500 €86.540 €
193.000 €99.740 €
276.000 €139.580 €

Career Path & Industry Context

The role of Software Engineer represents a critical position within the Tech sector, particularly in high-growth markets like Milan. Professionals in this field typically require a combination of technical expertise, strategic thinking, and industry-specific knowledge.

Designs and builds software applications. Highly scalable income based on stack and seniority.

The demand score of 84/100 indicates exceptionalmarket demand for this role in Milan. This demand is driven by the city's status as a major business hub and concentration of leading companiesin the tech sector.

Cost of Living & Lifestyle Analysis

Understanding the true value of your salary requires analyzing purchasing power in Milan. With a cost of living index of 83 and a rent index of 47, Milan ranks among the more expensive cities globally.

Monthly Net Income
6112 €

After all taxes and deductions

Recommended Housing Budget
1834 €

30% of net income guideline

Frequently Asked Questions

What is the average salary for a Software Engineer in Milan?
Based on our analysis, the average salary for a Software Engineer in Milan is approximately 138.000 €. This figure accounts for local market conditions, cost of living, and industry demand.
How much will I take home as a Software Engineer in Milan?
After Italy income tax and mandatory social contributions, a Software Engineer earning 138.000 € in Milan can expect to take home approximately 73.340 € annually, or 6112 € per month.
What factors affect my net salary as a Software Engineer in Milan?
Your net salary is affected by Italy's progressive tax brackets, mandatory social security contributions (12.420 €), filing status, and any applicable deductions. The effective tax rate for this income level is 46.9%.
Is 138.000 € a good salary for a Software Engineer in Milan?
With a cost of living index of 83, Milan is considered a high-cost jurisdiction. A net income of 73.340 € provides strong purchasing power and comfortable living standards in Milan.

Methodology Note

Figures presented are estimates based on the 2025 fiscal year tax codes for Italy. Actual tax liability depends on individual circumstances, filing status, and specific deductions.

View Full Methodology