It's not just software development though. Salaries in different cities and states are all higher or lower depending on the cost of living there. For example, the average 2 bedroom apartment rents here for around $900-$1000 a month. Same sort of apartment costs my friend in Seattle about twice that much. Food and goods seem to be about the same here as there for most items, but that's a pretty big increase in rent.

Going out to lunch here at a decent sit-down restaurant is around 8-10 dollars with tip (assuming you're drinking water). Somewhere like SF or NYC will be much higher.