An FMA Council Member Breaks down Welding Career and Pay Options

One of the first questions prospective students and their families have is a simple one: How much money do welders get paid? While that is certainly an important question and one that deserves an answer, the reality is that it’s not that simple. In order to properly answer that question, multiple factors must be considered.

For starters, using the general term “welder” is probably not that helpful. In the field, we have pipe welders, pipeliners, shipbuilders, fabricators, ironworkers, arc welders, MIG welders, TIG welders, and combo welders in a range of fields from construction to manufacturing, film and television production, and energy sectors. Welding employers come in all sizes — small, medium, and large — with some jobs requiring union membership while others are an open shop with union and nonunion members to merit-based companies.

Compensation

The Bureau of Labor Statistics says welders earn an average of $42,000 per year. BLS stats mean 50% of the welders in the U.S. earned more than that figure and 50% earn less. In surveys by FMA, most entry-level welders earn a starting pay near $17 per hour. Like any profession, experience will lead to higher wages. It’s been my experience that welders with an average of five years’ experience are reporting pay of $30 per hour or more.

Benefits and Work-Life Balance

You must consider more than just pay when choosing a pathway. Some of the most talented welders we have taught have pursued careers in film and television. If you have a passion for the entertainment industry, there may not be a cooler job in the trades. Imagine being able to tell your child, you are the lead welder at Tyler Perry Studios or work on the Netflix smash hit “Stranger Things”. Our graduates can brag about both of those achievements among others in Hollywood South.

What if you prefer to work near your home? Maybe you have a young family and can’t be a road warrior. Then opportunities with fabrication shops are available. Keep in mind these employers tend to be smaller and don’t offer the same level of pay as union or travel jobs but make up for it with a pleasant work-life balance.

We primarily teach young people with an average student age of 19. While it’s great to work with a population that can achieve a middle-class lifestyle before they’re old enough to legally purchase an adult beverage, there is a major factor that most do not consider — benefits. It’s estimated that a good health care plan is worth at least $10,000. You can’t stay on your parents’ benefits forever and this is an important part of evaluating the total package an employer offers. Another part of this, of course, are retirement investments including a 401K and in the cases of some larger employers, stock options.

Training

Another factor to consider that makes a welding career attractive is the relatively low cost to enter. Most trade schools are $20,000 or less and many technical colleges offer taxpayer-subsidized tuition. Additionally, there are scholarships and grants available. But even if you paid $20,000 to become a welder, that is likely tens of thousands less than pursuing a four-year degree. Take for example, an elite private liberal arts college. It’s possible mid-career (after 10 years in the field) that graduates of universities can earn up to a six-figure income. But what if that same individual racked up 100 or 200 thousand dollars in student loans while they were pursuing their education? That level of debt can cause delays in starting a family, purchasing a home, buying a vehicle, or investing in securities.

To make more money in the welding industry, you need to earn multiple certifications. Just like someone with an MBA typically earns more than an associate degree graduate, the same is true in trade work. Most of our graduates leave with three or more certifications. To put yourself in the best position, try to earn Stick, MIG, Flux Core, and TIG certifications. Even better if you can learn pipe.

Career Pathway Considerations

Why do pipe welders earn so much more? Remember there are tradeoffs to be made here. It means less time at home, often being a road warrior, and the work is hard. You spend winters in the cold and summers in the heat. States like Texas, New Mexico, and Louisiana can experience some extreme weather. Pipe welders, especially those with their own rig, get paid differently than a shop or production welder.

First, they get paid for their actual work, otherwise known as arm pay. It can range anywhere from $36 to $52 per hour. Then they’re compensated for their truck pay, which usually is around $20 per hour but can go up to $25. Finally, there’s the per diem for travel and meals. That ranges from $100 to $150 per day. Pipe welders who are also rig owners get taxed on their welding income but not the truck or per diem compensation. If a pipe welder on this scale works 20 hours of overtime per week, they’re likely looking at a $5,000 check. Keep in mind this is a transient lifestyle and you will have expenses. For starters buying your truck, welder, and tools. Don’t go into debt buying a $100,000 setup when you’re starting out as a rookie. Buy what is necessary to get started but nothing ostentatious. The journeyman can make it tough on new guys who want to show off their fancy equipment.

Perhaps the ultimate pathway to financial security in the welding industry is owning your own business. We have certified welders who also had business degrees go on to own multimillion-dollar fabrication shops or become rig owner / operators. The key to this is learning how to price your work. Too often without a grasp of fixed and variable costs of doing business, welders will underprice their labor and lose money on jobs. Too many of those and you will not be in business long.

An understanding of business expenses is critical. But other skills are necessary including marketing, vendor relations, human resources, and real estate. The days of just wrapping a vehicle are over. You need a good website, social media, SEO, and client reviews so potential customers can locate and learn about you. You also need a strong relationship with a welding gas and supply company, a steel provider, and unless you’re planning to do all the work by yourself, you need to hire quality employees. Finding industrial space with suitable power can be challenging too.

The final piece of maximizing your welding talents financially comes with networking. The bottom line is you are either networking or not working. Join the American Welding Society or FMA. Pursue further education — from becoming a certified welding inspector to a welding engineer or additional industry credentials. Build relationships that can lead to higher wages and a better quality of life. Welding is a skill that you can enjoy for the rest of your life. If you start at 20, you probably have 40 years to pursue. It’s a marathon, not a sprint. Set goals but be realistic. I am much more interested in where someone is after 10 years of experience (beginning of mid-career) than their first job out of welding school.