How Much Does It Cost to Hire an App Developer?

Rokas Jurkėnas
November 29, 2024
November 29, 2024
How Much Does It Cost to Hire an App Developer?

Your Aunt Susan just discovered TikTok, your neighbor's dog has its own Instagram account, and you're convinced it's finally time to launch that app idea that will change everything. But then comes the haunting question: how much is it actually going to cost to hire an app developer? Spoiler alert: it's not as simple. Let’s break down the numbers, avoid the corporate horror show, and make sure you’re not about to throw away your life savings to get that dream app off the ground.

Understanding App Development Costs

Alright, first things first—what even drives the cost of app development? Are we talking a few bucks, or are you about to auction off your car on Craigslist? Well, the answer is somewhere in between. App development costs are like ordering sushi: you can get some cheap rolls, but the moment you start wanting sashimi-grade tuna or caviar toppings, things get expensive fast.

Here’s the deal: the cost to hire an app developer depends on various factors, and understanding these is the first step toward knowing what you’re up against. The main ingredients? The complexity of the app, the platform (iOS, Android, or the golden child, cross-platform), the geography of the developer, and, of course, the level of experience they have. App developer cost and app development cost are influenced by these factors, and knowing them can help you manage and reduce expenses. Oh, and don’t forget that there are three different types of chefs in this kitchen: freelancers, agencies, and in-house teams—each with its own pricing menu.

Types of App Developers

  • Freelancers: These are your lone wolves. Talented, flexible, but sometimes unpredictable—like a college roommate who does dishes only when they run out of clean ones. They charge by the hour, and costs can range between $20 to $150 per hour, depending on location and skill level. Freelancers can include specialized Android app developers who are adept at navigating the diverse ecosystem of Android devices, and iOS app developers with expertise in Swift and Objective-C.
  • Agencies: Picture a polished, all-inclusive experience. They’ve got designers, developers, QA testers—the works. It’s like ordering the Omakase at a Michelin-star restaurant: you pay a lot, but you get expertise across the board. Costs? Let’s say between $75 to $250 per hour, depending on the agency’s reputation and location.
  • In-house Teams: Hiring a developer for your own team is the equivalent of adopting a chef for your own personal kitchen. The cost is steep—a good developer might cost you $90,000 to $150,000 annually, not counting benefits, perks, and the odd $10 morning coffee. This approach is best if you’re in it for the long haul and want control over every little detail.

Factors Influencing the Cost of Hiring an App Developer

Three people working in a small office

1. App Complexity

It all starts with how ambitious you want to be. Is this a basic to-do list app, or are you building the next Candy Crush but with a built-in cryptocurrency wallet and AI-powered cat videos? Here’s how complexity breaks down:

  • Simple Apps (e.g., calculators, to-do lists): Typically cost between $5,000 - $20,000.
  • Moderately Complex Apps (e.g., apps with user authentication, in-app purchases): Costs range between $20,000 - $70,000.
  • Highly Complex Apps (e.g., social media platforms, real-time sync, AR/VR): Could cost upwards of $100,000, and often much more.

The more features you add—think user profiles, chat functions, or payment integration—the higher the price. Complex features mean more development time, and developers love billing for time.

2. Platform

  • iOS vs. Android vs. Cross-Platform: Ah, the age-old debate. iOS development tends to cost slightly more since you need to follow Apple’s meticulous guidelines (and their habit of rejecting apps because of an oddly-placed button). Android’s flexibility means more room for creativity, but more devices to test on—more time, more cost. Hiring iOS developers usually commands higher rates due to their specialized skills in Swift and Objective-C, while Android developers, proficient in Java and Kotlin, can vary in cost based on experience and region. Cross-platform development (e.g., using Flutter or React Native) can reduce costs, but beware of hidden inefficiencies.

3. Geography

In true global economy style, where your developer is based plays a huge role in cost:

  • North America: $100 - $250 per hour. The Rolls-Royce of developers, if you will.
  • Eastern Europe: $30 - $70 per hour. Skilled developers at more reasonable prices, though the cost can vary depending on the country.
  • India: $20 - $50 per hour. Generally, the budget-friendly option, but quality can vary significantly—think of it like ordering clothes online and praying the actual product matches the photo.

4. Experience Level

  • Junior Developers: Costs range from $20 to $50 per hour. They’re cheaper but might take longer, meaning you could still end up paying a similar amount.
  • Mid-Level Developers: $50 to $100 per hour. The sweet spot if you need solid skills without needing a rockstar.
  • Senior Developers: $100+ per hour. These are the veterans—if you’re aiming for a flawless product, go for a senior, but prepare to pay up.

Freelance vs. Agency: Which is More Cost-Effective?

Developer working at a laptop

You’re at a crossroads. Do you hire a solo developer from Upwork or Fiverr, or do you bring in the big guns—a full development agency? Let’s weigh the options. When you hire app developers or hire mobile app developers, consider factors like geographic location, associated costs, and market conditions to make an informed decision.

Freelancers: Pros and Cons

Freelancers are a gamble. Hire the right one, and you get a specialist for a great price. Hire the wrong one, and you’ll wish you’d stuck to that boring 9-to-5 you just quit. Here’s the good and the ugly:

  • Pros: Cost-effective, flexible, niche expertise. Perfect if you’re just testing the waters.
  • Cons: Unpredictable timelines, limited capacity, high risk of ghosting (yes, that’s a thing). If you need a whole team, you’ll end up hiring multiple freelancers, and trust me, managing them all can make you consider a career change.

Agencies: Pros and Cons

Agencies, on the other hand, are like hiring a wedding planner who knows how to wrangle vendors, caterers, and Aunt Sally. They’ve got teams, processes, and structure.

  • Pros: Comprehensive services, better accountability, reliable timelines. Agencies will typically have a designer, developer, project manager, and QA testers—a full assembly line.
  • Cons: Cost. You’re paying for the polished experience, and the final bill can sting.

So Which Should You Choose?

If you’re bootstrapping or working on a prototype, start with a freelancer. But if you’re serious and have some cash to burn, an agency offers peace of mind and a better end-product—plus fewer sleepless nights.

Average Costs to Hire an App Developer

Confused business person

To make things painfully clear, here’s a breakdown of costs you can expect when hiring an app developer:

Freelancers

  • Junior Freelancers: $20 - $50 per hour
  • Mid-Level Freelancers: $50 - $100 per hour
  • Senior Freelancers: $100+ per hour

Agencies

  • Small to Medium Agencies: $75 - $150 per hour
  • Large Agencies: $150 - $300 per hour

Hiring a mobile app development company, especially from regions like Central or North-Eastern Europe, can lead to significant savings without compromising quality.

Example Estimates

Let’s say you want to develop a moderately complex app (think a fitness tracking app with a social feature). If you go the freelance route, you’re looking at around $30,000 - $70,000. For an agency, that same app could cost $50,000 - $150,000.

How to Budget for App Development

Puzzle

1. Know Your Budget Limits

Don’t go into this blindly. Set a realistic budget upfront. You don’t want to end up with a half-developed app because you ran out of money halfway through. Get quotes, compare costs, and be prepared for the unexpected.

2. Hidden Costs to Watch Out For

Think development is the only cost? Surprise! There are plenty of hidden costs lurking:

  • Maintenance and Updates: Apps are like children—you can’t just launch them into the world and forget about them. Expect to spend 15-20% of your initial development cost annually on maintenance.
  • Third-Party Services: Push notifications, payment systems, servers—they all cost money.
  • Marketing and Launch: You’ve built it, but no one will come unless you spend on marketing. Budget for ads, influencers, whatever it takes.

3. Get Clear Project Specifications

If you’re not specific, developers will interpret things their own way, and it usually results in more work and more costs. If you can draw, sketch the UI. If not, write it out. Good specifications equal fewer revisions and fewer headaches.

Common Questions About Hiring App Developers

Working desk illustration

How much does it cost to hire an app developer for a small project?

For a small project—let’s say a simple utility app—you’re looking at about $5,000 - $20,000. It can be cheaper if you’re hiring a freelancer from a lower-cost region, but be prepared for possible sacrifices in quality.

What is the average hourly rate for app developers?

Globally, the average rate for app developers can vary widely. North America averages $100 - $150 per hour, while Eastern Europe and Asia see rates between $20 - $70 per hour.

How long does it take to develop an app?

For a simple app, expect 2-3 months. A more complex app could take 6-9 months or longer. Remember, time is money, and developers will charge for each and every hour.

Is it cheaper to hire a freelance developer or an agency?

Freelancers tend to be cheaper, but agencies provide reliability and a more cohesive experience. If you’re okay with managing multiple people, freelancers are budget-friendly. For a full-service package, go for an agency.

Are there hidden costs in app development?

Absolutely. Maintenance, updates, server costs, third-party integrations—all these can add up. The initial development cost is just the beginning.

Conclusion

Money floating from a persons laptop

There’s no one-size-fits-all answer to how much it costs to hire an app developer. It depends on what you need, who you hire, and where they are located. Freelancers can be great if you’re looking to get a small project up and running without breaking the bank, but for larger projects or more comprehensive services, an agency might be the way to go—even if it means a larger upfront cost.

Feeling overwhelmed by all these numbers and possibilities? Don’t worry, you’re not alone. Here’s a thought—why not make the entire estimation process easier? Enter the AI Software Cost Estimator. With this nifty tool, you can get a detailed breakdown of your project’s scope, budget, timeline, and risks in just three minutes—and it’s free. No need to guess or fall victim to developers who overcharge. Instead, make informed decisions from the start.

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Rokas Jurkėnas

Founder
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Rokas is an entrepreneur and a No Code expert in one. He has founded two businesses, Idea Link, the leading No Code agency in the Baltic States, and Scantact, an online and on-site event management solution for expos, trade shows and fairs with lead retrieval functionality. He is the most prominent voice on the topic of No Code in Lithuania, having spoken twice in Login, the leading innovation conference in the country, sharing his knowledge in social media and news outlets.

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