Dev-Hire

Hiring guide

Four ways to add an engineer, and what each really costs

Most teams choose between hiring in-house, finding a freelancer on a marketplace, going through a staffing or outsourcing agency, or a platform like Dev-Hire. Each one fits a different situation. This guide puts them side by side, with the costs people tend to miss.

The short answer

Hire in-house when the role is core to your company for years. Use a freelancer for a short, well-defined task. Use an agency when you want to hand over a whole project. Use Dev-Hire when you want vetted engineers working in your team within a week, at one all-inclusive monthly price, without a long contract.

Side by side

Hiring in-house, a freelance marketplace, a staffing or outsourcing agency and Dev-Hire compared
Monthly cost, senior engineerHire in-house: About $15,700 with benefits, taxes and equipmentFreelance marketplace: Set by each freelancer, usually paid by the hour; varies widelyStaffing or outsourcing agency: A rate quoted per engineer or per project, often not broken downDev-Hire: $3,500 to $4,900, all-inclusive
Upfront feesHire in-house: A recruiter fee, typically 15% to 25% of first-year salary, if you use oneFreelance marketplace: Platform or service fees on some marketplacesStaffing or outsourcing agency: Sometimes a setup fee or depositDev-Hire: None
Time to startHire in-house: Often 1 to 3 months to hire, plus notice periodFreelance marketplace: Days, once you find the right personStaffing or outsourcing agency: Usually 2 to 6 weeksDev-Hire: Shortlist in 48 hours, start within a week
CommitmentHire in-house: Employment contract, notice and severanceFreelance marketplace: Per task or per weekStaffing or outsourcing agency: Often a minimum term or a fixed projectDev-Hire: Month to month (or a 3-month first term with two risk-free weeks)
Who checks their skillsHire in-house: YouFreelance marketplace: You, with reviews and ratingsStaffing or outsourcing agency: The agency, usually not visible to youDev-Hire: Senior engineers, in four stages, before anyone reaches a shortlist
Payroll, benefits, equipmentHire in-house: YouFreelance marketplace: The freelancerStaffing or outsourcing agency: The agencyDev-Hire: Included in the monthly price
If it does not work outHire in-house: Notice period, then hire againFreelance marketplace: Find someone new yourselfStaffing or outsourcing agency: Depends on the contractDev-Hire: We replace the engineer at no extra cost, or start with two risk-free weeks
Best forHire in-house: Core, long-term rolesFreelance marketplace: Short, well-defined tasksStaffing or outsourcing agency: Handing over a whole projectDev-Hire: Adding vetted engineers to your team, fast and flexibly

Each option, honestly

01

Hire in-house

How it works. You write the job post, screen candidates, run interviews, make an offer and wait out their notice period. They become your employee.

Good when the role sits at the core of your product for years, you can wait one to three months, and you have the people to interview well.

Watch out for the cost beyond salary. Benefits, taxes and equipment add about 30%. A recruiter fee is typically 15% to 25% of first-year salary. A wrong hire costs months.

02

Freelance marketplace

How it works. You post a task or browse profiles, talk to freelancers and agree a rate, usually paid by the hour. You manage the work directly.

Good when the task is short and clearly defined, such as a landing page, a bug fix or a one-off integration, and you are comfortable judging skills yourself.

Watch out for uneven quality, availability that changes week to week, and freelancers juggling several clients. The vetting is mostly yours, through reviews and your own interviews.

03

Staffing or outsourcing agency

How it works. The agency supplies engineers, or delivers a whole project, under its own contract. It usually picks the people and manages them.

Good when you want to hand over a defined project and are happy for the agency to run it.

Watch out for prices that bundle a markup you cannot see, minimum terms, and less say over who works on your product. Ask who the engineers are, and whether you can interview them, before you sign.

04

Dev-Hire

How it works. Describe the role, or search vetted engineers yourself and see their monthly prices. You get a shortlist of 3 to 4 within 48 hours, interview the ones you like, and your engineer starts within a week. They join your standups and work in your tools.

Good when you want engineers in your team quickly, with a price you can see upfront and the freedom to scale or pause each month.

Watch out for fit, as with any hire. Interview your shortlist, and we replace the engineer at no extra cost if it does not work out. Want extra safety? Choose two risk-free weeks, with a three-month first term if you continue.

What a year costs: one senior engineer

Hire in-house
About $188,500 (salary plus about 30% for benefits, taxes and equipment), plus a recruiter fee of about $21,750 to $36,250 if you use one
Dev-Hire
$42,000 to $58,800 (12 months at $3,500 to $4,900), with payroll, benefits, equipment and replacement included

The in-house figure uses a typical salary for a senior web engineer. Use the pricing calculator to compare your own stack and seniority.

Open the pricing calculator

Costs people forget

  • Recruiter or placement fees
  • Benefits, payroll taxes and equipment
  • Months of a seat left empty while you hire
  • Your team's time spent screening and interviewing
  • Notice periods and severance if it does not work out
  • Platform or service fees on top of a freelancer's rate
  • Minimum terms in agency contracts

Ten questions to ask any provider

  1. 01What is the full monthly cost, including every fee?
  2. 02Is there anything to pay upfront?
  3. 03How long until someone is working with my team?
  4. 04Who checks their skills, and how?
  5. 05Can I interview the engineer before they start?
  6. 06How many hours of my working day will they overlap?
  7. 07What is the minimum commitment?
  8. 08What happens if the engineer is not the right fit?
  9. 09Who owns the code and IP?
  10. 10Can I scale up, scale down or pause, and how much notice do I need?

Questions

See engineers and their prices now.

Describe who you need. Matching engineers show up straight away, and a shortlist of 3 to 4 follows within 48 hours.