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The true cost of a remote team: whitepaper and calculator

Explore the financial and strategic implications of employing a remote team versus an in-house team in the Netherlands. 
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In the rapidly evolving digital landscape, businesses are constantly exploring ways to build and maintain strong development teams. One such approach is the employment of remote teams, which can offer significant cost savings and strategic advantages. This article explores the true costs of employing a remote development team, focusing on teams located in Eastern Europe, and compares them to in-house teams in the Netherlands.

The financial implications

The financial implications of employing a remote team are multifaceted. Direct costs, such as salaries, are generally lower in countries like Poland, Ukraine, and Romania compared to the Netherlands. For instance, the average salary of a Medior React Developer in the Netherlands is €4250, while in Poland, Ukraine, and Romania, it's €3500, €2550, and €3000, respectively.

However, the total cost of employment extends beyond gross salaries. It includes recruitment and onboarding costs, which average 16% of a candidate's yearly salary, as well as perks, benefits, and utilities. When considering these factors, employing a remote team can lead to significant cost savings.

 

For a more detailed breakdown, you can visit this page and download our True Cost whitepaper.

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The strategic implications

Beyond the financial aspect, there are strategic implications to consider. Remote work models allow businesses to tap into diverse talent pools and reduce operational costs. They also offer flexibility and scalability, which are crucial in today's dynamic business environment.

The calculator: a tool for smart decisions

To help businesses make informed decisions, Amsterdam Standard offers a unique calculator that allows companies to evaluate the costs of in-house teams versus remote teams from Poland. This tool provides a comprehensive analysis, helping businesses optimize their resources and make smarter decisions. 

 

You can access the calculator here. Feel free to calculate the costs yourself and share the results with your CFO, without any charge.

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In conclusion, while in-house teams might seem the most optimal solution at first glance, the effective cost might be higher than hiring a remote team. Therefore, businesses should consider all factors, including direct and indirect costs, as well as strategic implications, when deciding on their team structure. 
Written by: Natalia, on July 11, 2023
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Learning