The True Costs of Employing A Remote Development Team by Amsterdam Standard

The True Costs of Employing A Remote Development Team

Compared to your own inhouse team in the Netherlands.

Read the First Chapter below

When you calculate the actual effective hours you can save up to 22% on development costs.

In today's rapidly evolving digital landscape, tech-businesses are constantly exploring innovative ways to build and maintain robust development teams. This whitepaper delves into the complex dynamics of remote team management and how it compares to hiring an in-house team in the Netherlands. You will uncover a comprehensive analysis of the financial, operational, and strategic implications of embracing a remote workforce, highlighting the potential advantages and challenges that lie ahead.
The scope of this whitepaper covers remote development teams located in Eastern Europe, as well as in-house teams located within the Netherlands. While the primary focus is on the Netherlands, many of the insights and findings presented here may also apply to other countries and regions with similar labour markets and business environments.

Chapter 1 Cost Analysis

Cost Analysis - whitepaper by Amsterdam Standard
In recent years, the digital landscape has undergone a significant transformation, fuelled by the Covid pandemic, technological advancements and an increasingly interconnected global economy. As businesses strive to stay agile and competitive, many have turned to remote work models as a means of tapping into diverse talent pools and reducing operational costs.  For a good analysis we will first break down the costs in direct and indirect costs and the risks associated with hiring.

The biggest component of the direct costs is of course the monthly salary of the developer. For this comparison we will review the average salaries for those roles in The Netherlands, Poland, Ukraine and Romania.

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The Netherlands Poland Ukraine Romania
Medior React Developer € 4250 € 3500 (16k PLN)  € 2550 ($ 2800)  € 3000 (14k RON) 
Senior Python Developer € 6075 € 4500 (20k PLN)  € 3820 ($ 4200)  € 4100 (21k RON) 
Senior Fullstack Developer € 5600 € 5100 (23k PLN)  € 4185 ($ 4600)  € 4500 (22k RON) 
* These averages are the weighted averages over 2022 of various sources like:, Glassdoor, Stepstone,,,, IT-corner partners and our own staff data from Amsterdam Standard and Saasmore.

But gross salaries are not equal to the total costs of employment.

These figures reveal that salaries for development roles are generally higher in the Netherlands compared to Poland, Ukraine, and Romania. Employing remote development teams in these countries could lead to significant cost savings in terms of salaries.

When we zoom out, employment costs also include recruitment and onboarding costs which are on average 16% of a candidates yearly salary.

Perks and benefits also count as employment costs, including pensions, travel costs, holiday money and insurances (incl. ZVW Premium). Finally utilities and rent is also a factor that is excluded from hiring remote teams, when you augment your teams.

Amsterdam Standard charges only effective hours.
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The True Costs of Employing A Remote Development Team by Amsterdam Standard

Chapter 2 Indirect Costs

Cost Analysis - whitepaper by Amsterdam Standard

The next chapter dives into the details of indirect costs that affect the ultimate cost of employment. We’ll also cover additional strategic considerations and compare our effective hours against inhouse hours.

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To save on development costs consider hiring nearshore experts from Amsterdam Standard. Hire developers without recruitment costs. Compare in-house hiring to nearshore team extension

Remote development teams located in Eastern Europe, specifically Poland, have a very high quality and are cost effective. Also consider the culture match, which is similar in Poland and the Netherlands
Recruitment and onboarding costs can be expensive, up to 16% of a yearly salary in recruitment costs. At Amsterdam Standard hiring is free of charge

Salaries for developers are pretty similar in both in-house and team extension. But with team extension services you don't have to pay indirect costs of employment. These are costs like new devices, a desk, software licences, travel expenses and more.

With Amsterdam Standard you pay only for the work done by developers.

Use our calculator ! We have devised a simple to use cost calculator that proves if hiring locally or nearshore is better for your business.

Try it on your numbers.

Access to talent, Mishiring, Scalability constraints or employee retention and turnover. These hassles can be mitigated with Team Extension services.

Get the most out of your scale-up or start up with Amsterdam Standard.

Hiring a remote development team through Amsterdam Standard can save you up to 26.76% compared to employing a local team in the Netherlands. This significant reduction in costs stems from lower salaries and reduced indirect expenses such as office space and utilities.
Salaries for remote developers in countries like Poland, Ukraine, and Romania are generally lower than those in the Netherlands. For example, a senior Python developer costs significantly less in these countries, allowing businesses to reduce their wage expenses.
The total cost of employing a remote developer is considerably lower when accounting for both direct and indirect expenses. For instance, remote developers do not incur costs related to office space, utilities, and other overheads, resulting in overall cost savings. Use our calculator for more details.
Yes, hidden costs such as holiday pay, sick leave, and non-productive hours can add up when employing local developers. Remote developers from Amsterdam Standard are billed only for productive hours worked, avoiding these hidden costs and improving cost efficiency.

The effective cost per hour for a remote developer from Amsterdam Standard is €55, compared to €73 for a local developer. This calculation includes non-productive hours, making remote developers a more cost-effective choice overall. 

Use our calculator for more details.