MS pays at the 65th percentile for the role and experience. This is widely documented on the internets. As for levels, you NEVER see a developer at less than 59. There aren't 20 levels.
100K isn't "rich", but you don't have to worry about money. The benefits are great too (again, not the best on the planet, but it is hard to beat the healthcare anywhere in the US). Also, that talk is about base salary. Bonus and stock for good performance
can make that much more.
MS pays for performance. A Phd who proves they can deliver more than a person with a BS will quickly make much more money then the person with the BS, even if they start with similar salary. If the person with the BS can deliver more than a person with
a PhD, that will be reflected in the pay as well. As a person who has PhD's and Masters and BS educated employees working for me over the years, there isn't a direct correlation to getting things done and adding customer value. After getting hired into a
product group (MSR may be different), your education isn't nearly as imporant as delivering high quality results. If your education helps you do that, more power to you, but I gaurantee that your education plays no direct role during review time.