Industrial Organizational Psychologist Salary Guide 2025

Industrial Organizational Psychologist Search

By PsychologyJobs.com Staff Writer

Our career guides are produced by staff writers in conjunction with our expert career coaches.

Industrial-organizational psychology studies human behavior within organizations and works to better the function of such organizations using scientific theories.

Industrial-organizational psychology has somewhat become the ‘hot’ branch of psychology, as business owners are becoming increasingly aware of the benefits of the field. In particular, industrial-organizational psychologists work to increase employee productivity, increase efficiency, lower staff turnover rate, and improve morale and employee quality of life.

As a consequence, the average salary for industrial-organizational psychologists is one of the highest within the field of psychology. To learn more about the role and the factors affecting salary, take a look at the information below.

How much does an industrial-organizational psychologist make? 

Industrial-organizational psychologists are amongst the highest earners working within the field of psychology.

According to the U.S. Bureau of Labor Statistics, the mean annual wage for industrial-organizational psychologists working in the US is $112,690. However, it is also estimated that the lowest 10% of earners make less than $57,440 per year, and the highest 10% of earners make more than $192,000 per year.

Factors affecting salary 

There are many factors that affect the earning potential of an industrial-organizational psychologist. Like all careers, experience and specialization can significantly affect one’s salary. However, for industrial-organizational psychologists, some particular factors play a much larger role than you might expect.

  1. Education 
    An individual with a master’s degree in industrial-organizational psychology can expect a starting salary in an entry-level position of around $64,000 per year. Whereas, someone with a doctoral degree in industrial-organizational psychology can expect a starting salary in an entry-level position of around $78,000.
  2. Work environment 
    Individuals who are either working in the private sector or as university professors can expect to obtain a salary that is on the higher end of the scale.

    Further, after years of experience, some individuals choose to become self-employed or take on a consultancy role. These roles have been known to earn upwards of $250,000 per year.

  3. Location 
    Location plays an important role in the availability of industrial-organizational jobs, in addition to their salaries.

    Industrial-organizational psychologists are more in-demand in larger cities. This is because larger corporations tend to be more interested in the type of growth that industrial-organizational psychologists bring. Salaries also tend to be higher in such cities.

    In smaller cities and more rural areas, businesses will still likely be interested in hiring industrial-organizational psychologists. However, there is far less competition in such areas, and the salaries tend to reflect this.

Which state has the best pay for industrial-organizational psychologists? 

The average salaries for industrial-organizational psychologists also vary significantly depending on the state.

The best-paying states for industrial-organizational psychologists are:

  1. California
    In California, the annual mean wage for industrial-organizational psychologists is $119,100. This is just under 6% more than the average salary for the profession.
  2. New Jersey 
    In New Jersey, the annual mean wage for industrial-organizational psychologists is $106,570.
  3. Ohio 
    In Ohio, the annual mean wage for industrial-organizational psychologists is $98,770.

    The role of industrial-organizational psychology is one of the most lucrative career paths within the field of psychology. However, salary expectations for this position do depend heavily on education, work environment, and location.