Offshore Software Development Rates By Country

• TECHVIFY Team
• February 7, 2025
• Knowledge, Best practices, Guides
• 0 Comments

Offshore software development provides businesses with numerous benefits, including access to a larger talent pool, which helps to reduce the cost of software development while maintaining the desired quality of the final product. Offshoring relieves you of the burden of finding qualified software developers. 

However, there are currently thousands of offshore software development companies from various countries, and choosing a suitable one has never been easy. Numerous questions surround this: Which country offers the best rate for offshore software development services? Which factors do software offshoring rates depend on? How to hire offshore development vendors?  

Read further about the average offshore development rates by country, the way to select the right offshore vendor, and the best provider to outsource software development. 

I. Factors affecting costs of offshore software development rates  

The offshore software development costs vary greatly depending on a variety of factors. Here are several vital elements that make the difference in the price level among countries. 

#1. Experience and skills of developers 

You need to pay more to hire senior developers with years of experience and in-depth skills. The average hourly rate for engineers working in a particular field for longer will undoubtedly be high. 

#2. Programming language 

Outsourcing costs vary depending on the programming language. As a result, you should first check the price level before hiring developers. Furthermore, software engineers skilled in various complementary disciplines will always command a higher wage. 

#3. Industry 

In general, the demand for IT developers influences the developer’s salary in a given field. Wages are higher when an industry requires a niche skill but has a limited supply. 

Offshore software development rates by country

#4. Project Complexity 

The cost of outsourcing is influenced by a project’s complexity level, which is relevant to the length of implementation and the number of employees recruited. Moreover, those with more experience are typically given more challenging tasks and are in charge of complex projects, so you will have to pay more. 

#4. Location 

Each nation has specific characteristics that have an impact on minimum wage costs. Additionally, in some countries, enterprises in the IT sector may be subject to more taxes, which may impact offshore software development rates over time. 

Hiring engineers in Asia is significantly more affordable. Businesses can afford to hire top-tier developers for their teams because of the vast talent pool and low cost of living in these regions. 

#5. Salary Range  

Regarding the rate for software development, this is also an essential factor you should consider. It would be best if you converted salaries into a single global currency to compare wages between different geographical areas. 

II. Offshore Software Development Rates by Country

1. Ukraine 

Average hourly rates:  

• Junior – $10 to $15 
• Middle-level – $17 to $20 
• Senior – $25 to $30 

Ukrainian firms provide high-quality software development at a reasonable cost. Around 11 companies that originated in Ukraine are on the 2021 Global Outsourcing 100 list.  
Every year, an estimated 16,000 developers with high competence graduate in Ukraine. Furthermore, low offshore software development costs encourage decision-makers in businesses to seek Ukrainian software development providers for their project outsourcing. 

2. India  

Average hourly rates:   

• Junior – $15-20 
• Middle-level – $25-40 
• Senior – $50+ 

India is one of the world’s largest software development centers. This country is considered one of the most competitive offshore IT outsourcing locations.  
The Indian market is enormous, with at least 5.8 million developers (according to GitHub). You can find here both low-qualified as well as highly-skilled developers. So you might easily fall into traps while seeking trustworthy and reliable software tech talents, as there is no legislative structure to oversee quality standards in the country. 

3. China 

Average hourly rates:   

• Junior – $25-28 
• Middle-level – $35-40 
• Senior – $60+ 

Along with India, China is also a vast offshore development destination. As in-depth professionals are subject to custom software development fees and a sophisticated local economy, the cost of a software developer in China is slightly higher per hour than in other Asian countries.  

The software development industry in this country is expected to grow at a nearly 7% annual rate in the following half of a decade, reaching $1.2 trillion. Besides, the Chinese government promotes technological development by offering financial incentives.  

However, the language barrier is always one of the main concerns for businesses considering outsourcing to China. 

4. Vietnam 

Average hourly rates:   

• Junior – $18-22 
• Middle-level – $25-28 
• Senior – $30-35 

Vietnam is becoming known as a low-cost software manufacturer in Asia. Software development outsourcing in Vietnam is approximately 90% less expensive than hiring US labor and cheaper by 30% to 40% than in China. Outsourcing to Vietnam is significant for businesses looking to develop the most cost-effectively.  

With over 25,000 engineers graduating from Vietnam’s universities, the country has a technical labor force fluent in English.  

Vietnam is generally regarded as a dynamic country with great processing potential thanks to strong, sustainable economic growth and stable politics. The Vietnamese government has many friendly and attractive policies to attract more foreign investment.  

So, Vietnam, as an emerging outsourcing destination, will be ideal for companies seeking technological advancement while maintaining saving costs.  

5. Philippines 

Average hourly rates:   

• Junior – $16-20 
• Middle-level – $25-30 
• Senior – $36-40 

The Philippines is highly ranked as an offshore software outsourcing destination due to its large pool of young specialists, welcoming environment, and English proficiency.  

According to the Tholons Services Globalization Index, the Philippines ranks fifth among the top 50 digital nations, with Manila as the world’s second supercity. 

The Philippines also has a large pool of talented English-speaking engineers, and all Asian areas are less expensive than European countries.  

The country is well-known for its good IT support and contact centers. It has the infrastructure, a supportive government, and cultural compatibility with the United States. 

6. Poland 

Average hourly rates:   

• Junior – $20-27 
• Middle-level – $35-50 
• Senior – $65+ 

Poland, with a thriving IT industry, nurtures a rich outsourcing market with many professionals who live mainly in the four largest IT centers in the country. Poland is one of the most expensive nations in Eastern Europe for software development outsourcing. 
When comparing offshore development rates by country, the price for hiring developers here is slightly higher than those of neighboring Ukraine.  
As a European Union member, Poland has an unquestionable advantage, especially appealing to clients from Western European companies with the same legal and geographical space. Many international corporations have chosen Poland to put their R&D offices since it has one of the region’s safest and most stable economies, and the government is constantly assisting the software development industry. 

7. Brazil 

Average hourly rates:   

• Junior – $17-23 
• Middle-level – $25-35 
• Senior – $40+ 

Brazil has the most prominent technology ecosystem among Latin American countries, accounting for 40.7% of the market. Brazil has over 500,000 software developers and over 200 software development firms listed on the Clutch review page.  
The country is one of the world’s leading IT outsourcing hubs, ranked 15th among the top 50 IT nations.  
Brazil has supported the offshore software development industry for years to cater to global demand. The government even enacted tax break legislation for tech companies. This boosted infrastructure development, giving foreign investors more opportunities to hire skilled software developers at reasonable rates. 

8. Mexico 

 Average hourly rates:   

• Junior – $16-23 
• Middle-level – $23-30 
• Senior – $35+ 

Mexico is also the top hotbed of offshore software development, with over 100,000 software developers graduating from Mexico’s institutions yearly. 

According to assessment tests, Mexico was the only non-European country in the top 20 list of top software development destinations. Mexico is a popular choice for software development outsourcing. 

III. Compare Freelancers & Software Development Companies 

Take a look at the table below to learn the pros and cons of freelancers and outsourcing companies before deciding which model to pick. 

Want to Reduce Offshore Software Development Costs? Here Are 2 Game-Changing Tips

When clients ask me how to cut down on offshore software development costs, I always point them to two tried-and-true strategies: opting for a dedicated team model and prioritizing features. These approaches not only save money but also make the entire development process smoother and more efficient. 

Offshore software development rates

Hire a Dedicated Offshore Team

Working with a dedicated offshore team is one of the smartest ways to keep costs in check. Instead of hiring individual developers, you get access to a full team of skilled professionals—each bringing their own expertise to the table. Plus, you’ll have a project manager on board to keep everything running smoothly, ensuring your project stays on time and within budget.

But here’s the best part: a dedicated team gives you the flexibility to scale up or down as your project evolves. Need more hands on deck for a big sprint? No problem. Want to streamline resources during quieter phases? You can do that too. This adaptability means you only pay for what you need, without the hassle of extra overhead costs.

Prioritize Features

Let’s face it—not every feature is mission-critical. By prioritizing what truly matters, you can avoid scope creep, stay on budget, and get your product to market faster. Focusing on the essentials means you’re not wasting time or money on unnecessary extras.

And here’s the cherry on top: launching sooner means you can start generating revenue and attracting customers earlier. It’s a win-win! By keeping your development lean and focused, you’ll not only save money but also create a product that delivers real value from day one.

Why TECHVIFY Is Your Best Bet for Affordable, High-Quality Software Development

If you’re looking for top-tier software developers without spending a fortune, TECHVIFY is the perfect solution. We understand that outsourcing software development can feel overwhelming—choosing the right partner, ensuring quality, and managing costs all come into play. That’s where we step in to make things easy, efficient, and cost-effective for your business.

1. Get Access to the Top 1% of Vietnam’s IT Talent

Finding the right developers can be a challenge, but TECHVIFY has already done the hard work for you. We curate our team from the top 1% of Vietnam’s IT professionals, ensuring that you get highly skilled engineers with industry-specific expertise. Whether you need experts in AI, cloud computing, blockchain, or custom software development, we’ve got you covered.

2. Proven Success with Global Enterprises

We’re not just another offshore development company—we’re a trusted partner for major enterprises with over $1 billion in revenue. Companies like SP Group, KPMG, and TAL Apparel rely on us to deliver high-quality, scalable software solutions. When you work with TECHVIFY, you get the same level of expertise, reliability, and innovation that global industry leaders trust.

3. Innovation That Keeps You Ahead of the Competition

At TECHVIFY, we don’t just develop software—we push the boundaries of technology. We invest 30% of our gross profit into research and development, ensuring that our clients always benefit from the latest advancements in AI, automation, and software engineering. This means that when you partner with us, you get cutting-edge solutions that give your business a competitive edge.

4. Flexible, Scalable, and Hassle-Free Team Expansion

Need to scale your team quickly? No problem. TECHVIFY offers flexible engagement models that allow you to ramp up or down based on your project needs. Unlike hiring freelancers—where reliability and scalability can be an issue—TECHVIFY provides dedicated teams that integrate seamlessly with your business.

5. Enterprise-Grade Security & Compliance

Security is a major concern when outsourcing software development, and we take it seriously. TECHVIFY follows strict industry standards, including:

• GDPR (General Data Protection Regulation)
• HIPAA (Health Insurance Portability and Accountability Act)
• ISO (International Organization for Standardization)

Your data and intellectual property are 100% secure with us, ensuring you can focus on growth without worrying about compliance risks.

6. Cost-Effective Development Without Compromising Quality

One of the biggest advantages of outsourcing to TECHVIFY? You get world-class developers at a fraction of the cost compared to hiring in the US or Europe. Vietnam’s cost-effective labor market allows us to offer competitive pricing while maintaining exceptional quality. You don’t have to choose between affordability and expertise—with TECHVIFY, you get both.

7. Seamless Communication & Transparent Collaboration

We know that communication is key to a successful project. That’s why we ensure:

• Fluent English-speaking teams
• Direct access to developers
• Real-time project tracking & reports

No more frustrating time zone issues or miscommunications—just smooth, transparent collaboration that keeps your project moving forward effortlessly.

Conclusion

Offshore software development can significantly reduce costs while providing access to top global talent—but choosing the right partner is crucial. TECHVIFY offers highly skilled developers, transparent pricing, and scalable solutions tailored to your business needs. With expertise in AI, cloud computing, and enterprise software, we ensure high-quality development at competitive rates.

Get a free consultation today. Our experts will help you analyze your requirements and recommend the best cost-effective development strategy. No hidden fees, no risks—just expert guidance.