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How Much to Hire Abroad vs Domestically?

Have you ever wondered how much it costs to hire an engineer in a country abroad vs hiring domestically or in the US? Terminal’s free cost calculator can help answer that question so you can more effectively budget for your global team!

Hiring Cost Calculator

Terminal’s free cost calculator shows you the cost to hire an engineer in a country abroad vs hiring domestic or US so you can more effectively budget for your global team!

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Select the country you're open to hiring from:


Cost to hire abroad with Terminal
$ 0
Cost to hire in the US
$ 0

What we’ve included in our estimate

Engineer level
Tech stack
Education level
Benefits level

Cost Per Hire Calculator

Hiring developers can be a critical yet complex task, and the success of your project can heavily depend on how effectively you’re able to hire the right people for the job. To guarantee that you are hiring in a financially responsible way, you should consider utilizing a tool like a cost-per-hire calculator, which can prove to be an invaluable resource.

A cost-of-hiring calculator can help you predict expenses associated with bringing on new talent, such as recruitment costs, time spent by HR reviewing resumes and interviewing potential candidates, training and onboarding of new hires, and even post-hire activities like employee engagement surveys.

Having this data readily available not only helps give you greater insight into exactly where your company's money is going when it comes to staffing developers—enabling better budget decision-making.

Let’s take a look at some questions you may have on hiring in different countries, for different programming languages and levels, and what to consider when looking for talent abroad.

Why Do Salaries Differ by Country?

The salaries of people with similar professions can vary greatly depending on the country they live in. Factors such as cost of living, regional economic strength, and availability of resources all play a role in determining salaries. Let's take a look at why salaries differ from country to country and what that means for the global job market.

Cost of Living

One of the most important factors in determining salary is the cost of living for that specific area. Countries with higher costs of living typically have higher salaries to compensate for the fact that purchasing power is lower.

For example, employees in Spain may earn an average salary of €30,000 per year — which is substantially less than in some other European countries — but due to the lower cost of living in Spain, they can still comfortably afford their basic needs.

Regional Economic Strength

Another factor that affects wages is regional economic strength. Countries with strong economies not only tend to pay higher wages but also offer more job opportunities and better benefits packages.

Canada and Mexico are two examples of countries with strong economies where wages tend to be higher than those found in other parts of the world. In addition, countries like Colombia, Costa Rica, Chile and Poland have robust emerging economies that are providing more jobs and increasing wages for citizens there as well.

Availability of Resources

The availability of resources also plays a role in determining salaries around the world. Countries with access to more resources may pay higher salaries due to greater competition for skilled labor or because those resources enable companies to offer better benefits packages or provide greater incentives for employees.

In contrast, countries without access to resources may experience lower wages due to fewer employment opportunities or fewer benefits offered by employers.

Why Do Code Languages Impact Salary?

Have you ever wondered why some coding languages have higher salaries than others? It turns out that there are a few reasons why this is the case, and understanding them can help you make informed decisions if you’re considering a career in coding. Let’s take a look at how coding languages impact salary levels, and what it takes to get top-paying jobs.

Supply and Demand of Skillset

One of the main factors that influences salaries for coding languages is supply versus demand. If there is high demand for certain skill sets and not enough people possess those skills, then salaries tend to be higher.

This means that if you already know one of the most in-demand or popular programming languages, such as Java or Python, then your salary will typically be higher than someone who does not possess those skills.

But, that does not mean the most popular programming languages garner the highest salaries. Less common languages like Go, Scala, and Swift generally demand higher salaries than the most popular languages because of their niche nature.

Location and Industry

Another factor to consider when looking at coding language salaries is location and industry. For example, in the United States, software engineers working with Java can expect an average salary of about $100k per year (according to Indeed). Meanwhile, software engineers with JavaScript experience can expect an average salary of only around $83k per year (according to Indeed).

However, these numbers can vary significantly depending on where you live; for example, developers outside of the US in countries like Spain, Colombia, Chile, or Poland tend to make much less per year.

Some industries may offer different salaries for coding languages; for example, tech companies may pay differently than financial institutions or healthcare organizations.

Experience and Certification

Another important factor when looking at coding language salaries is experience and certification levels. Generally speaking, more experienced developers tend to earn higher salaries than their less experienced counterparts because they possess more specialized knowledge and skills.

Similarly, certifications can also give developers a boost in terms of their earning potential; many employers are willing to pay more money for certified professionals because they know they will get someone who has solid skills and knowledge in their chosen field.

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Overview of Engineering Roles Level 1-5

It is important to understand the different roles in engineering and what they entail. This guide will give an overview of the five levels of engineering roles, from entry-level positions to management roles, and what salary ranges exist at each level. By understanding more about these levels, you can determine which one best suits your needs.

Engineering Level 1: Entry-Level Positions

Entry-level engineering positions are for those who are new to the field, either fresh out of school or with a few years of experience under their belt. These entry-level positions typically include tasks such as data analysis, technical writing, coding and debugging, and basic design work.

In addition to gaining valuable on-the-job experience, these positions also provide opportunities to learn how a specific industry works and how engineering teams operate.

Engineering Level 2: Junior Developers

Junior developers are responsible for creating new products or technologies from concept to launch. They conduct research into existing products or technologies to identify areas where improvements can be made and then design solutions that address those needs.

They must be able to collaborate with other engineers in order to develop working prototypes and then test them for performance and reliability. This level requires a good understanding of both design principles as well as development processes in order to create successful projects.

Engineering Level 3: Project Managers & Engineers

Higher-level project managers and engineers have more responsibility than their less experienced counterparts. They are accountable for managing engineering teams from ideation to production while adhering to strict financial limitations.

To keep everyone on track and achieve deadlines, they need to be effective communicators and problem solvers. In order to ensure that the project is carried out in accordance with all relevant laws and regulations, they must also have an in-depth understanding of the rules that govern their specific business.

Engineering Level 4: Senior Engineers & Directors

Senior engineers and directors often oversee several concurrent projects and offer strategic advice on technical concerns relating to product development and rollout. They may take on leadership roles as mentors for less seasoned employees or in the workplace generally by formulating strategic plans that advance the organization's mission and are in line with relevant legislation and policies.

Senior engineers may also be tasked with investigating new technologies that could be used to achieve the company's objectives at a reasonable price.

Engineering Level 5: Chief Technology Officers (CTOs)

The role of the Chief Technology Officer (CTO) is to provide strategic direction for an organization's technological endeavors, from software development cycles to hardware integration efforts, while ensuring that these undertakings are in line with the overall business strategy and technological goals of the company.

Chief Technology Officers need to be well-versed in all facets of a company's operations, not just technology, so they can ensure that no department is working against one another, owing to conflicting strategies or directions from higher-ups. In most cases, the CTO will have led large-scale enterprise projects involving various internal employees and external stakeholders for at least ten years.

What to Consider When Hiring Locally vs Internationally


One key factor in deciding between local and international developers is cost. International developers may offer more competitive rates than local developers because they typically don’t have the same overhead costs as working in an office environment.

This can help your business save money on development costs while still getting quality services. However, it’s important to keep in mind that there may be additional expenses associated with international outsourcing such as visa fees and travel costs if you decide to bring a developer or engineer onsite for any reason.

Communication Preferences

Another factor to consider is communication preferences. When working with local developers, face-to-face meetings can be held much more easily than with international ones due to proximity. Moreover, it’s often easier to communicate effectively with someone who speaks your native language since misunderstandings due to cultural differences can be avoided.

When outsourcing overseas, these issues need to be taken into account when comparing international vs local developers. That being said, technology has advanced significantly over the years so even remote collaboration is now much easier than it used to be with video conferencing tools like Zoom and Skype readily available.

Time Zone Differences

Finally, it’s important to think about time zone differences when sourcing talent from abroad. The difference in time zones can cause delays during project completion due to miscommunication or lack of clarity on expectations from both sides of the equation.

It’s important for businesses considering international talent to plan ahead by taking into account how their own team works and how an offshore team will fit into their existing operations before making a decision on whether or not they decide to outsource overseas or hire locally based talent instead.

Pros of Hiring Locally

The most obvious advantage of hiring local developers and software engineers is that they are physically close by, making it easy to communicate with them in person if necessary. You may be operating in-office or on a hybrid remote model meaning that you need your hires to be local so that you can utilize your large office space and promote in-person, team collaboration.

Pros of Hiring Globally

On the other hand, there are many advantages to hiring global developers and software engineers. For one thing, you may be able to find more experienced professionals who can deliver high-quality work at more affordable rates than you would locally.

With so many companies now operating on a fully remote basis, focusing solely on local talent or bringing people to you should not be the priority. There exists the ability to find the best possible talent abroad, all at a fraction of the cost it would take to employ someone of similar skill in the US.

Team collaboration with remote teams is also not the worry that it once was because the technology and tools exist to bridge the gap and promote solutions on these tech teams. The world saw success when it was forced remote in 2020 and the big takeaway is that it made people happier, and more productive.

Working with international teams can also help build relationships with other cultures, which can be beneficial for expanding business operations or understanding foreign markets better. Furthermore, global teams bring different perspectives and ideas that can lead to innovative solutions for your projects.

How An Employee Cost Calculator Will Benefit Your Business

Hiring an employee is a big decision. You already know how important it is to keep tabs on your budget as it evolves over time. An employee cost calculator can help you manage and plan for this large expense as you continue to build and grow your team and company.

With this kind of tool, you can get accurate estimates of the total cost of hiring a new employee or team, including salary, benefits, and other expenditures.

This kind of information will help you make well-informed judgments while staying within your financial means. You can grow your company without sacrificing your goals or resources by using this calculator to determine the cost of recruiting more employees.

Get a Clear Picture of Your Hiring Costs

Having an accurate cost per hire calculator can provide your business with invaluable insight into budgeting and hiring decisions. Terminal's cost per hire calculator allows you to track and analyze a variety of costs associated with the hiring process, making it easier to evaluate each candidate in light of future fiscal goals.

Its reliable data from across industries and geographic areas gives you a more thorough picture so you can confidently make decisions about which luminaries to bring aboard for your team. With its simple setup process and UI, Terminal simplifies the path to smarter spending. Contact us today for more information!