After graduation, Varady coached the Chicago U16 AAA Team for the 2001 season. He then joined the coaching staff of the Pittsburgh Forge, from the North American Hockey League, for the 2002–03 season. The following year, he was an assistant and associate head coach with the Everett Silvertips of the Western Hockey League (WHL). In 2009, Varady was named Team USA's Video Coach for their 2010 World Junior Ice Hockey Championships team.