Cost of Hiring software developers from Ukraine in 2024

Different industries contribute differently to the development of the labor market, they create demand for this or that profession, or, on the contrary, push it to the background. If you're our reader, then it's the IT industry that's been on everyone's lips for the past decade. This topic is the key aspect of our blog. Well, the IT services market is very multi-faceted, and in each article, we try to consider each of its sides and each of its parts, we touch on and analyze global trends, offer you the most financially beneficial variant of hiring your team, and many other things you can already read in our blog.

Before we begin, it's worth noting that by touching on today's topic, you won't see a lot of statistics and numbers that already overwhelm our minds every day. Instead, let's have an easy, but interesting discussion about the current state of the IT market, about developers' salaries, and the icing on the cake - the cost of hiring developers in Ukraine.

 Let's get started!

Let's reflect on what is financial stability for every player in the IT market. First and foremost, it is the ability to find a job with a high enough salary to take care of three aspects of his life - past, present, and future. It is a kind of impetus, a motivation for the developer. Therefore, salary is important when choosing a site where he wants to provide his services. 

If we are talking about the United States, the salary depends on many factors, such as experience with specific technologies, specialty, seniority, and so on. But if we talk about the range, a developer can earn from $100,000 to $220,000 in a year. These figures are very impressive because according to the standards of living in the United States, this is more than enough to ensure financial stability, not considering the human factor. 

As for salary figures in Ukraine, they are noticeably lower than in the USA, but it is quite satisfying to be financially stable relative to the standard of living in Ukraine. If you briefly run through the statistics sites, you can see a tendency for the average wage to rise one way or another every year. 

If you dig a little deeper into the numbers, for the December 2022 data, the salary range for the Ukrainian IT labor market is from $1,600 to $8,000 per quarter. As noted earlier, the figures are lower than in the United States, and in Europe as a whole, but this opens new opportunities for customers who would like to hire their own team of developers while maintaining their financial capital. 

But value for money isn't the only attractive aspect that employers value so much. What else let’s get to the next section.

Information technology is developing faster than other industries, and in modern IT projects even experienced developers constantly need new knowledge, let alone newcomers. This imposes high requirements for education and advanced training of IT engineers. As for education in Ukraine, the future programmer is provided with everything he needs to get higher education, as well as to take advanced training courses if he wishes. Thus, the Ukrainian IT market is fully armed with skilled professionals and staff, and is not inferior to American developers, which cannot be said about the level of wages. 

As we have already mentioned at the beginning of the article, hiring Ukrainian developers is much more financially rewarding than in any other country in the U.S. or Europe, which is directly related to the level of wages. At the beginning of this article, we made an analogy and compared the salary of a developer from the USA and from Ukraine. The reason for such a huge difference in the first place is a lower cost of living than in the rest of Europe and the United States. But this does not mean that cheaper is worse. Developed infrastructure, modern high-rises overlooking the entire city, all of this is also present, and no worse than in any other European country. The only difference is the price.

For example, renting a one-room apartment will cost $500-800 per month. If you want to rent an apartment outside the city center, it will cost you a little cheaper - about $300-500 a month. By comparison, renting in the USA is 2-3 times more expensive. As a center for hosting your team, we suggest looking primarily at the capital- Kyiv, where about 40% of Ukrainian IT professionals live. 

As for taxes, you must understand that you won't be able to pay them at all. But there is a way to minimize them if you approach this issue from the legal side.