How Much Does It Cost To Hire Developers?

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Hiring a great development team is harder than coming up with a unique and compelling app idea. It’s a big challenge faced by many CTOs and entrepreneurs while considering certain important factors including cost, expertise, experience, location, and so on.

As we want the best-in-class professionals who can serve our clients best and also boost the business growth and revenues.

To lessen the burden of CTOs hiring agile teams of skilled developers around the globe for handling top-notch software products, we've come up with a comprehensive guide to help you estimate the cost of hiring developers.

So, what do you think? How much does it cost to make an app or a digital product? 

Figuring out the answer to “how much does it cost to hire an app or a web developer”, includes a lot many details that need to be taken into consideration. Developers’ skills and experience, product complexity, required technology stack, and specialists’ locations are the main things to consider while setting the app budget.

According to Slashdata statistics, there were 18.9 million software developers in the world in 2019 and this number is going to reach 45 million in 2030.


No. Of Software Developers


23.9 million


26.4 million


27.7 million


28.7 million


45 million

Cost Comparison: In-House Vs Outsourcing

Here we have come up with a quick comparison of the in-house cost and outsourcing cost for a simple product. The below table calculates the major costs that you may incur in outsourcing as well as the charges that you have to pay when opting for outsourcing product development or hiring remote developers.

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The table clearly indicates that in-house development costs far too much compared to outsourcing. Computing the two, we can easily see that outsourcing saves as much as $135,000. 



Cost of In-House Development In The US (320 hours) 

Cost Of Outsourcing Development To India  (320 hours)

Cost per Hire



Overall Team Salary



IT Expenses



IT System

Mac: $1,800 


Technology Training



Paid Benefits



Software License 

$250 per person





Total Cost




Estimating App Developers Cost

If a company decides to hire a mobile app developer(s), the question arises – how much does it cost?.  According to Indeed.com data, to hire a US-based mobile app developer, companies need to pay $89,000 / year. After converting from a local currency to USD, we see Australia and Germany following the US with  $76,000 and $66,000 respectively. 

In countries like India, it is way cheaper to hire an app development professional – only $4,000 a year, which we can attribute to the difference in North America, Europe, Australia, and India economies.

There are numerous app developers and renowned app development companies dominating the development market in India. If you’re searching for an app developer or a mobile app development company in the Indian market, you’re in the right place.

It is estimated that around 42% of Indian developers have experience of 2-5 years. According to the research, the maximum numbers of Indian developers are skilled in Android development.

The above statistics show the percentage of developers possessing various mobile development skills according to belong.co report.

India is considered relatively cheap as compared to American and European prices. On average, globally, it costs approximately $27,000 to develop an iOS app and $23,000 for Android. In India, however, costs are a bit lower comparatively.

 Indian app Developers Avg. Hourly Rates

  •   iOS developers for hire range between $22-$40 per hour
  •   Android developers for hire range between $22-$35 an hour

Estimating Web Developers Cost

Web developers having expertise and experience in HTML, JavaScript, CSS, and JQuery are popular in the Indian development market. Also, they are familiar with Perl, Python, Ruby, PHP, Java, ASP, and/or ASP.net for server-side frameworks. In 2017, 72.6% of developers identified as web developers in Stack Overflow's survey. 

The average web developer hourly rate is $61-80, but rates will vary depending on what technologies the developer is familiar with, industry experience, and more.

The above developer rates may also fluctuate depending on your hiring needs. The cost of hiring an on-site versus a remote developer may differ as well. 

Indian web Developers Avg. Hourly Rates

  • Junior developers for hire range between $22-$25 per hour
  • Mid-level developers for hire range between $28-$30 an hour

Freelancers Or Software Development Company: What To Choose?

Picking freelancers or joining hands with a software development venture is one of the toughest decisions a business has to make. This decision will create a big difference while considering the developer’s cost vs achieving a good ROI.

Consulting a dedicated team of offshore developers before hiring an app or web developer is a wise decision.

Hiring an offshore software development company is a more reliable option to choose as they have improved resources, skills, and rich expertise at hand.

One-Stop Comprehensive Solution For All Business Types

Regardless of what your business type and size is, the offshore app development companies provide you enormous benefits that no one can.

Having a pool of extreme talent and rich industry experience, you can achieve everything that you can expect from a top-notch offshore development company.

They promise to give you a complete feature-packed package.

Additionally, If you want to hire web developers, Android developers, Kotlin developers, Flutter developers, it’s easy to get all the technical expertise in one place.

Top-Notch Quality

Freelance developers are often not sure to deliver quality standards. On the other hand, this is not the case with an offshore developer from a reputable company.

Companies having high-level standard services keep the latest tools, licenses, certificates, and software at hand.

Recommended Read:
How Startups Can Leverage IT Outsourcing To Grow Better? (With Examples)

Round The Clock Availability

Hiring developers from a random freelance portal can be quite risky. There may be times when they don’t have the availability of time due to health or personal issues.

On the contrary, an offshore web development company will ensure that a dedicated team of developers is working on your project. And someone is always available to attend to you whenever you need assistance or support.

In case an offshore developer becomes unavailable, they can use another developer as a replacement from their large talent pool.

Security and Reliability

Freelancers do not always use the updated systems installed with firewall protection. This may incur a huge loss to the business as it includes confidential information about your company.

On the other hand, offshore development companies are more serious about their security standards. This is the reason, they ensure that the client data and application are highly protected.

Closing Thoughts

Finding the right developer with the perfect mix of expertise, time zone, communication skills, and other qualities can transform your ability to move your project forward quickly and affordably.

When businesses estimate a development cost of their future web or app, first of all, they need to factor in a development team location and an app complexity – both factors have a great impact on an overall development cost.

I would recommend you to give sufficient time and thought before getting to any final decision regarding hiring the developers.

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Topics : Web Development, Mobile app development

Kanika Gupta

Written by Kanika Gupta

Kanika Gupta, a professional tech writer works as a content writer in Classic Informatics, a leading web development company. She loves to write master tech pieces and let readers connect with them fluently.

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