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Why USA pays so well to developers (or rarher Europe pays so bad) (sh.itjust.works)

submitted 2 years ago by HelloLemmySup@sh.itjust.works to c/programming@programming.dev

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Or rather why Europe pays so bad.

I wonder whats the reason behind many american companies being able to pay 200-400kusd a year while its hard to get past 100k usd in the richer countries of Europe (Germany, Scandinavia, UK, etc.). A junior in USA gets more than a senior in Europe. And after 10 years the american may get 2-4x the salary of the european counterpart. In contrast life in USA is often even cheaper.

Are european companies greedy?
Are european companies less competitive?
Are the high taxes and equality in Europe pushing companies to not try harder to reward talent while USA rewards the high performers as they can see the benefits it brings?

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[–] HelloLemmySup@sh.itjust.works 2 points 2 years ago (1 children)

I think its hard for some americans to understand that welfare in Europe is not an utopia. I personally believe the estate needs to provide help and support to citizens including healthcare and basic education at a minimum. Ideally some basic help for people that are unable to work and whatever is needed for people to not be on the street.

My biggest issue is as it is right now I can see how much money I have been putting over the years and how much extra money I still need to put on top privately to have a quality of life for things such as pension, salary insurance, etc. So while almost half my salary goes out as taxes I still need to contribute on my own to private companies. On top of that I can see people that can take advantage of the system and between the high taxes and all the help you can get (house help, unemployment, lids, etc.) theres people not working that get almost as much as an engineer working full time. I think something is off.

But this has nothing to do with the post of why american companies choose to pay more than european ones.

[–] Andreas@feddit.dk 1 points 2 years ago

I brought up the social system because you can see that everyone in this thread arguing against you is saying that your "excellent welfare system" is the reason why your income is lower than the corresponding American programmer's. The massive taxation is obviously a big factor to your reduced income, but let's look away from that for a bit and just focus on the American companies.

American companies in America pay more because the costs of doing business in America are much lower and there is a greater availability of loans and funding.

American companies in Europe pay more because they have the advantages listed above that local European companies don't have and they have the resources to invest in a global expansion.

That's it. That's the answer.