Custom Web Application, software development, Software Development companies, website design, Website Design Company

Hourly Rates for Software Development: A Global Comparison 2022

Hourly Rates for Software Development: A Global Comparison 2022

Most businesses are investing in fully customized goods to increase performance and productivity, launch new products, and keep up with cutting-edge technologies to stay competitive in the tech-savvy market.

But how much is customized software worth, and can your company’s budget support the hourly wage of a typical software developer? Should you choose a middle-sized lT consulting firm or a freelancer? Or should you take the safest course of action and contact a dependable front player?

Over the past few years, offshore software development has experienced exponential growth. Working with outstanding specialists who are based abroad is now possible thanks to this tried-and-true business technique.

While huge corporations utilize this strategy to expand their current staff and broaden their worldwide reach, small firms use it to reduce development costs.

We have put together this guide for you if you’re wanting to recruit committed offshore engineers and want to understand the software developer hourly rates!

What Factors Affect a Software Developer’s Hourly Rate?

You must be concerned about money as a customer, with expenses playing a determining role. While it can be challenging to establish a fixed price when the project’s scope is unclear, granting complete freedom with an hourly pricing model may not be economical. 

Let’s examine the primary variables influencing the rates:

  • Size of IT services provider
  • Soft abilities
  • Technology
  • Experience
  • Your project’s degree of difficulty
  • Region
  • It is well known that a large Software development company has more hoops to jump through than a small or medium-sized one.
  • In the software sector, technical knowledge is definitely crucial, but in today’s tech-based culture, soft skills are more crucial than ever.
  • Another thing to take into account while testing the water for your project is technology.

Rates of Offshore Software Development by Nation

The study used to define the average hourly wage for a programmer forms the basis of our essay.

The study informs our readers about the general IT services industry, which does website design, custom web application development, etc. in the selected region, and gives thorough information about the key factors driving the charge.

  • Australia and Newzealand 
  • Eastern Europe
  • South America
  • Africa
  • North America
  • Western Europe
  • Asia

Australia and Newzealand

Australia and New Zealand are both well-known for having magnificent landscapes and distinctive lifestyles. They claim a strong economy and an abundance of natural resources. Both regions have developed diverse IT industries. This fosters investment growth and enables effective competition on the global tech scene.

According to Australian Talent, the average hourly wage for a software engineer in Australia will be $61.54 in 2022. When it comes to annual salaries, the junior engineer makes $100,726, the intermediate software engineer makes $120,000, and the senior engineer makes $169,344.

The average software developer wage in New Zealand is $25.18 per hour and $66.371 per year, according to Payscale. The hourly rates for junior, middle, and senior NZ developers are $15–$23, $25–$35, and $40–$50, respectively.

Eastern Europe

Over the past five years, the economic situation in Eastern Europe has attracted media attention.

Sadly, we can see a sharp increase in the unemployment rate and lower salary dynamics. In addition, unforeseeable epidemic flare-ups cloud the future like they do everywhere else. On the other hand, the IT sector is once again expanding, making Eastern Europe one of the top locations for IT outsourcing worldwide.


Large human resources, particularly top-notch IT professionals, have been the engine of the Polish IT sector. The nation has jumped to position itself as a tech center, luring major resources and experience from abroad.

The majority of Krakow’s junior software developers make between $10 and $14 per hour, according to data from Glassdoor and Payscale. Senior and intermediate-level coders can expect to make up to $15–$22 and $29–$30 per hour, respectively.


In the age of contemporary outsourcing, Ukraine is vying for leadership. This nation has emerged as a leader as an A-list IT sourcing location that encourages sound corporate investment thanks to its abundance of inexpensive resources. Ukraine is the burgeoning innovation hub of Europe, home to more than 4,000 tech companies.

South America

The lovely continent of South America is the next on our list of offshore software development rates.

Due to a large amount of land that makes up this region, South America has a rich biological and geographic diversity.

South America may be proactive in a variety of industries, particularly manufacturing, thanks to its proximity to the US.

But as we all know from history studies, this region’s volatile past has contributed to instability, a widening gap between the rich and the poor, and general discontent with the government.


A significant worldwide priority is the sustainable economic and social development of Africa.

The economic picture for Africa was promising before the outbreak, but it is now clouded by uncertainty. Additionally, only roughly a third of local nations achieved comprehensive growth, combating both inequality and poverty.

North America

Globally, North America is thought to have the most robust economy. The economic turnaround of North America since the 16th century is one of the most glorious and amazing periods in human history. 

What was once a center for agriculture has turned into a magnificent region with a robust economy.

The IT industry in North America is well-aligned, and North American corporations are well-known for offering durable solutions that rule the market. 

The IT industry will expand in North America due to the region’s significant interest in technical advancement, competitive mindset, and rising need for custom software.

Western Europe

One of the richest regions in the globe is Western Europe. The area has advanced to where it is now, which is strong, positive, and economically advanced, after various times of uncertainty. 

Europe’s Western region in particular is regarded as one of the world’s most prosperous regions today.


Although the economy of the majority of Asian nations can be characterized as sophisticated, there is a huge gap between them. The region is home to Japan, a country with a strong economy, as well as a number of impoverished nations like Afghanistan and Cambodia.