How Much Does a Principal AI Engineer Make? (2025)
A principal AI engineer designs and develops scalable AI solutions and machine learning models, ensuring the reliability, performance, and efficiency of AI systems through rigorous testing and optimization. They leverage big data tools, cloud platforms, and AI frameworks to conduct research, build prototypes, train models, and integrate solutions that handle complex algorithms and large datasets effectively.
According to Salary.com, a principal AI engineer earns a national average of $158,341 per year for $76 per hour in the United States. Use this salary guide to learn more about principal AI engineer salary expectations, the highest-paying cities, and common questions about the role.
What is the Principal AI Engineer's Salary?
As of October 8, 2025, the average principal AI engineer salary in the United States is $158,341 per year or $76 per hour. The salary range for Principal AI Engineers is between $144,660 and $180,976, with most earnings of $151,180 to $170,189 per year. This rate is often compared with roles like senior AI engineer or senior machine learning engineer, which also command high compensation levels.
2025 Average Salary for Principal AI Engineer: $158,341 per year ($76 per hour)
The principal AI engineer reported an average monthly salary of $13,195, while the average weekly pay is $3,045. Moreover, the average principal AI engineer salary per hour is $76, according to the recent Salary.com report.
| Percentile | By Hour | By Week | By Month | By Year |
|---|---|---|---|---|
| 10th Percentile | $70 | $2,782 | $12,055 | $144,660 |
| 25th Percentile | $73 | $2,907 | $12,598 | $151,180 |
| 50th Percentile (Median) | $76 | $3,045 | $13,195 | $158,341 |
| 75th Percentile | $82 | $3,273 | $14,182 | $170,189 |
| 90th Percentile | $87 | $3,480 | $15,081 | $180,976 |
Apart from the base salary, principal AI engineers receive additional pay. The average total compensation in the United States is $239,316 per year.
Principal AI Engineer Average Salaries State by State
Principal AI engineer salaries differ across U.S. states and territories due to factors such as job demand, geographic location, cost of living, and local wage standards.
The table below shows the states and territories with the highest average pay for principal AI engineers: the District of Columbia ($175,317), California ($174,652), and Massachusetts ($172,324).
On the other hand, the states and territories with the lowest average salaries include Mississippi ($141,208), West Virginia ($142,586), and Arkansas ($143,045).
| State | Average Annual Salary |
|---|---|
| Alaska | $171,405 |
| Alabama | $145,468 |
| Arkansas | $143,045 |
| Arizona | $154,288 |
| California | $174,652 |
| Colorado | $161,556 |
| Connecticut | $169,220 |
| District of Columbia | $175,317 |
| Delaware | $160,353 |
| Florida | $149,822 |
| Georgia | $152,720 |
| Hawaii | $165,499 |
| Iowa | $151,532 |
| Idaho | $147,811 |
| Illinois | $161,398 |
| Indiana | $151,992 |
| Kansas | $150,772 |
| Kentucky | $148,999 |
| Louisiana | $150,551 |
| Massachusetts | $172,324 |
| Maryland | $163,266 |
| Maine | $154,383 |
| Michigan | $155,935 |
| Minnesota | $162,031 |
| Missouri | $150,440 |
| Mississippi | $141,208 |
| Montana | $149,490 |
| North Carolina | $150,471 |
| North Dakota | $156,410 |
| Nebraska | $149,173 |
| New Hampshire | $160,074 |
| New Jersey | $171,627 |
| New Mexico | $146,655 |
| Nevada | $156,710 |
| New York | $168,333 |
| Ohio | $154,177 |
| Oklahoma | $146,402 |
| Oregon | $160,796 |
| Pennsylvania | $157,629 |
| Rhode Island | $164,169 |
| South Carolina | $148,365 |
| South Dakota | $143,900 |
| Tennessee | $147,970 |
| Texas | $154,446 |
| Utah | $151,627 |
| Virginia | $159,450 |
| Vermont | $155,412 |
| Washington | $171,690 |
| Wisconsin | $155,760 |
| West Virginia | $142,586 |
| Wyoming | $151,849 |
What are the Best-Paying Cities for Principal AI Engineers?
Principal AI engineer salaries also vary by city, influenced by the cost of living, local demand, and industry rates in urban areas.
For example, cities in California such as San Jose and San Francisco offer higher average salaries for principal AI engineers, at $199,719 and $197,755, respectively.
| City | Average Pay |
|---|---|
| San Jose, CA | $199,719 |
| San Francisco, CA | $197,755 |
| Oakland, CA | $193,369 |
| New York, NY | $183,503 |
| Queens Village, NY | $182,316 |
| Paramus, NJ | $181,049 |
How Does Experience Affect Principal AI Engineer Salaries?
Principal AI engineer salaries grow with experience. Salary.com reports that entry-level AI engineers earn about $155,925 per year, while those with over 8 years of experience average $160,024 per year.
| Level | Average Pay |
|---|---|
| Entry Level Principal AI Engineer | $155,925 |
| Intermediate Level Principal AI Engineer | $156,370 |
| Senior Level Principal AI Engineer | $156,815 |
| Specialist Level Principal AI Engineer | $157,705 |
| Expert Level Principal AI Engineer | $160,024 |
How to Increase Salary as a Principal AI Engineer?
As per Salary.com, principal AI engineers in the U.S. need a bachelor's degree in computer science or a related degree to enter the field. Salaries can increase with more experience, advanced skills, or leadership roles.
Principal AI Engineer Advancements
- Gain experience: Gaining experience as a principal AI engineer can lead to higher pay, with salaries rising from $155,925 at the entry level to $160,024 at the expert level, as professionals develop the skills to handle complex technical and business challenges independently. With over 7+ years of experience, many also assume leadership roles, managing teams, and driving innovation among engineer employees and software engineer collaborators.
- Move to high paying locations: Moving to high-paying cities can significantly increase a principal AI engineer's salary, with averages rising from $181,049 in Paramus, NJ to $199,719 in San Jose, CA, due to higher demand for specialized AI skills and a competitive job market. These cities often host leading tech companies and offer greater opportunities for complex projects, which drive both career growth and compensation.
- Learn in-demand skills: According to salary.com, in-demand skills like algorithm development, infrastructure as code, and analysis of algorithms can significantly increase principal ai engineers' salary by 6.14%, 5.50% and 5.40%, respectively.
Principal AI Engineer Skills
Principal AI engineers with specialized skills can increase their pay. According to Salary.com's Real-time Job Posting Salary Data Report, algorithm development skills can boost salaries by 6.14%, while infrastructure as code (IaC) skills add 5.50%. These technical areas serve as a foundation for building reliable and scalable AI systems.
| Skill | Demand | Salary Increase |
|---|---|---|
| Algorithm Development | 10.80% | +6.14% |
| Infrastructure as Code (IaC) | 10.70% | +5.50% |
| Analysis of Algorithms | 10.90% | +5.40% |
| Cognitive Computing | 10.50% | +5.40% |
| Deep Learning | 10.30% | +5.23% |
| Docker | 10.30% | +5.12% |
What are the FAQs About Principal AI Engineer Salaries?
Here are some common questions about principal AI engineer salary:
Is the principal ai engineer a high paying job?
It depends. The average salary for a principal AI engineer in the U.S. is $158,341, but it can go up to $180,976 based on experience and skills. Pay also varies by location, industry, and job type. Top earners often work in big cities, for example, San Jose, California, where the average salary is $199,719, in the highest paying industries.
What does the principal AI engineer do?
A principal AI engineer is responsible for designing, developing, and optimizing advanced AI systems to solve complex technical and business challenges.
- Designs and develops scalable solutions using AI tools and machine learning models.
- Ensures the scalability, reliability, and performance of AI systems.
- Develops and executes performance tests to measure efficiency in handling large datasets, complex algorithms, and processing speeds.
- Performs research and testing to create machine learning algorithms and predictive models.
- Utilizes big data computation and storage tools to create prototypes and datasets.
- Conducts model training and evaluation.
- Integrates, tests, tunes, and monitors AI solutions.
- Works with big data tools, cloud platforms, and multiple AI tools such as Python, Java, or R, as well as machine learning frameworks like Spark, TensorFlow, or scikit-learn.
What skills do you need to be a Principal AI Engineer?
A principal AI engineer needs strong skills in machine learning, deep learning, data analysis, and programming languages such as Python or Java. They also require expertise in system architecture, problem-solving, and leadership to guide AI projects from research to deployment while mentoring employees in cross-functional teams.
