Backend Developer Salary in 2023
7 min.

How much should you pay for a backend software coder? In the current market situation, this is a very hot question. The answer depends on many factors, like where your company is located, where your developer lives, what programs they are proficient in, and so much more. At ProCoders we prepared all information you need to know about the topic in this article.

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Backend developers are key to your team — making sure your applications and systems live up to their promises. Here’s what they expect from their employers — and what you need to know to hire an experienced talent and treat them right.

Back-End Developer Salary Overview 2023 and Beyond

The landscape of the tech industry has been evolving rapidly, with the recent possibility of a recession and increased reliance on artificial intelligence (AI). So let’s delve into the current state of talent availability, rates, and changes in the back-end developer job market for 2023-2024.

Market Trends for 2023

In response to the potential recession, many North American companies have been forced to either let go of their developers or reduce their salaries. This has led to a substantial increase in the availability of skilled back-end developers in the market, resulting in a more competitive job market and downward pressure on salaries.

Another trend everyone talks about is AI. With the rapid development of AI technologies, many tasks that were once the domain of back-end developers can now be automated, reducing the demand for human resources. Simply put, where you once needed 2 developers, now you need 1. 

Moreover, during the previous period of growth, many companies adopted a “bench” model, hiring back-end developers in anticipation of future projects and expansion. However, with the looming threat of a recession, many of these “benched” developers have been laid off or had their salaries reduced, contributing to the downward trend in back-end developer salaries.

All in all, if you want to follow the rule “buy low sell high” now is definitely the “buy low” time. And here at ProCoders, we know the best places to do so. Let’s find out how backend engineer salary can vary based on 3 main factors: experience level, programming language, and location.

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Average Back End Developer Salary By Skills

Salaries for back-end developers vary significantly based on how many years of experience they have. To illustrate our point, we’ll show you how much does a backend developer make in the US. 

According to 2023 data from Payscale.com, entry-level developers earn around $60,000 per year, while senior developers can make up to $120,000 or more. Glassdoor.com provides a more detailed breakdown:

  • Entry level: $55,000 – $65,000
  • Mid-level: $80,000 – $95,000
  • Senior: $110,000 – $130,000

These figures represent national averages and may not account for regional differences in pay scales. But as you can see, salaries for entry-level vs. senior engineers vary more than double.

Average Backend Developer Hourly Rate by Regions

Backend developer rates per hour vary significantly by region, often prompting companies to explore offshoring for IT consulting services. The cost savings can be breathtaking, especially when hiring senior-level talent. The following table illustrates the differences in hourly rates across regions:

Country/RegionAverage RangeTop-end
North America$85-110$170
Latin America$45-65$95
Western Europe$65-110$140
Central Europe$35-65$85
Asia$25-55$75
Sources: Payscale, Glassdoor

As a company based in Central Europe, with offices in Croatia, Portugal, and Albania, ProCoders offers clients world-class backend developers at a fraction of the cost of larger markets: around $35 for entry-level, $40 for mid-level, and $60+ for senior-level. Working with us can help you save on employee benefits like healthcare coverage or vacation pay, and reduce time and resources spent on training, accounting, and recruiting. Moreover, you don’t have to think about their career path within your company! 

We can have your talent vetted, interviewed, and onboarded within two days to two weeks.

Comparing Backend Developer Salaries Based on Technologies

Backend developer salaries can also vary depending on the technology or framework they specialize in. In this table, we will compare the average salaries of backend developers working with Node.js, Ruby on Rails, Laravel, and Python in the United States using data from Payscale:

Technology/FrameworkJuniorMiddleSenior
Node.js$60,000 – $70,000$85,000 – $100,000$110,000 – $135,000
Ruby on Rails$58,000 – $68,000$80,000 – $95,000$105,000 – $130,000
Laravel$55,000 – $65,000$75,000 – $90,000$100,000 – $120,000
Python$62,000 – $72,000$85,000 – $100,000$110,000 – $135,000

While some technologies may command higher salaries, it’s important to consider factors such as demand, industry trends, and the specific needs of your project when evaluating which technology to use or specialize in. If you are not sure whether to hire Python programmer or else, you can always contact ProCoders to receive a free consultation on your case.

What Factors Affect the Back End Salary?

The average back end engineer salary and hourly rate can be influenced by various factors:

Cost of Living

Developers in regions with a higher cost of housing, transportation, healthcare, etc. may demand higher salaries to maintain their standard of living.

Market Conditions 

If there’s a shortage of qualified talent or an abundance of open positions, developers may be able to command higher rates. 

Experience Level

Senior developers often want to earn more than junior ones.

The Rarity of the Skills You Need 

If your project requires specific, uncommon skill sets – such as knowledge of an obscure programming language or extensive experience in a niche sector – you may need to pay more to attract the right talent. 

how hard it is to find backend developer

What is Backend Development?

Backend development refers to the server side of software applications, focusing on the logic, data storage, and server configuration that powers the application’s functionality. It manages data processing, ensures security, and enables communication between the front end and the server. 

Effective backend development knits everything together as a working whole, and the average back end web developer salary reflects that. They are typically the higher-paid members of your team, depending on their experience level and the web development technology stacks they have experience with (JavaScript, Java, Node.js, PHP, Ruby, etc.) 

What Does a Backend Developer Do?

Backend developers handle server-side data interaction with frontend components in web and mobile applications. They ensure data integration, customer account management, and payment processing. Web application testing is also part of their role, but we at ProCoders recommend hiring professional QA experts as well. 
To hire backend developers with the right skills, it’s crucial to ask good backend backend developer interview questions, and you can find them in our blog. In a tight talent market, offering a competitive backend software developer salary is also essential for attracting top talent.

How Do I Hire a Backend Developer for My Project?

While finding the ideal talent for your next project might seem intimidating, the good news is, there are thousands of IT consulting firms around the world that are dedicated to helping match you with the right staffers for your needs.

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Making the process simple and painless is just good business. But there are some things you should do on your end to ensure that your recruitment process is fast, painless and surprise-free.

  • Get clear on what you need — Exactly what tasks do you need your backend developer to perform? Will you need them for a short time, or for a longer-term outstaffing arrangement? What programs do you need them to know? What is your deadline to have work completed?
  • Set budget parameters — With answers from above in hand, you should be able to guesstimate how much an effort like this will take, and how many people you may need for the project. Come armed with this information when you meet with potential offshoring and/or consulting companies
  • Vet your providers — Once you’ve decided on the location of the consulting company you want to work with, scour the review sites and professional blogs to determine who the leading providers are in your area. Once you’ve narrowed your list to no more than five potential companies, begin making calls. Then narrow it down to three providers after that
  • Get thorough estimates — If you can provide the right information to a potential consulting partner, then you can work together to help establish the right mix of team members for your budget and expertise needs. They can also work with you to come up with project milestones, deadlines, and key performance indicators
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FAQ
Does the location of a back-end developer affect their salary?

Yes, the location of a back-end developer significantly affects their salary. The cost of living, local market conditions, and the availability of talent in a specific region can all impact salary expectations. Developers in areas with a higher cost of living or a competitive job market may demand higher salaries compared to those in regions with lower living costs and a less competitive market.

Can back-end developers be replaced with AI?

While AI and machine learning have made strides in automating certain tasks, replacing back-end developers with AI is not currently feasible. Complex problem-solving, creativity, and understanding of nuanced requirements are still areas where humans outperform AI. Developers will continue to play an essential role in building, maintaining, and evolving software systems.

What is more profitable in 2023, to have a bench with backend developers or hire-for-tasks developers?

The most profitable choice for your organization depends on its unique needs and project requirements. If there is a steady demand for backend development work, maintaining an in-house team might be more cost-effective. However, if your development needs are dynamic or project-based, staff augmentation with hire-for-tasks developers can be a highly profitable option. This approach provides flexibility and cost savings by allowing you to scale your team up or down based on current requirements, ensuring you only pay for the expertise you need when you need it.

What role does experience play in a back-end developer’s salary?

Developers with more experience often command higher salaries than entry-level or less experienced developers, because they typically have a deeper understanding of various programming languages, frameworks, and problem-solving techniques.

What industries pay the highest hourly rates for backend developers?

Finance, healthcare, e-commerce, and technology. These industries often require more complex, secure, and scalable software solutions, which can demand higher compensation for experienced and skilled developers. You can also find information about the average cost to hire an app developer in our blog.

Conclusion

Backend developer salaries and hourly rates are influenced by various factors, including location, technology specialization, experience, and market conditions. Keeping an eye on industry trends and adjusting strategies accordingly will ensure organizations can attract the best backend developers for their position. By considering options such as staff augmentation or hiring developers on a per-task basis, companies can find the right balance between cost-effectiveness and securing top-notch talent. 

At ProCoders, we’d love to connect you to the first-rate backend developers that we have for hire. We’ll help make sure the backend web developer salary you pay is worth the price.

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