Introducing CodeCapitals: Calculate Your Savings as a Software Engineer Across European Cities

We've just built codecapitals.com - the first website to benchmark savings potentials for software engineers across cities worldwide.

The platform is aimed at comparing how much you'd actually be able to save as a software engineer working in different cities in Europe as a full-time employee with an on-site job.

Try the CodeCapitals Calculator →

Why CodeCapitals Exists

When comparing job offers or deciding where to relocate, most engineers look at:

• Base salary
• Total compensation
• Maybe cost of living

But what really matters is: How much will I save?

• €200k in Zurich with €60k expenses = €140k saved (after tax)
• €150k in Berlin with €30k expenses = €90k saved (after tax)
• €120k in Warsaw with €20k expenses = €85k saved (after tax)

CodeCapitals answers this question directly.

How It Works

1. Select Your Lifestyle

You can choose the standard of living you plan to have:

Lifestyle	Monthly Spending	Includes	Best For
Frugal	€1,000-€2,000	Shared housing, home cooking, public transport, minimal entertainment	Maximum savings, FIRE-focused
Comfortable	€2,000-€3,500	1-bed apartment, eating out 2-3x/week, hobbies, occasional travel	Balanced lifestyle
Luxurious	€3,500-€5,000+	Nice apartment, frequent dining, travel, entertainment, premium services	Enjoying high income

Important: These are middle-points of ranges. You can technically spend (and save) less than Frugal or more than Luxurious.

Note for developers: Developers tend to be more frugal than "normal people." If you're a frugal developer, consider:

• Frugal level = "Frugal/Comfortable"
• Comfortable level = "Very Comfortable"

2. Select Your Seniority

Choose your experience level:

Level	Big Tech Equivalent	Years Experience	Typical Total Comp
L3 (Entry/Junior)	E3, SDE1, IC1	0-2 years	€70k-€120k
L4 (Mid-Level)	E4, SDE2, IC2	2-5 years	€100k-€170k
L5 (Senior)	E5, SDE3, IC3	5-8 years	€140k-€230k
L6+ (Staff+)	E6+, Senior SDE, IC4+	8+ years	€200k-€350k+

3. Get Ranked Results

You'll receive a ranked list of European cities with the amount of savings in USD that you should be able to accumulate after one year of work.

Results show:

• Annual savings in USD
• After-tax income
• Living costs for your selected lifestyle
• Net savings rate

Calculate your savings potential →

Understanding the Benchmarks

Lifestyle Levels Explained

The 3 lifestyle levels (frugal, comfortable, luxurious) are middle-points of ranges, not absolute limits.

This means:

• You can spend less than our "Frugal" level
• You can spend more than our "Luxurious" level

Subjectivity: What is frugal for someone might be comfortable for someone else. The levels we chose represent what most people would agree on.

Example: Berlin Living Costs

Lifestyle	Housing	Food & Transport	Entertainment	Total/Month	Annual
Frugal	€700 (shared)	€400	€200	€1,300	€15.6k
Comfortable	€1,200 (1-bed)	€700	€400	€2,300	€27.6k
Luxurious	€1,800 (nice 1-bed)	€1,000	€700	€3,500	€42k

Seniority and Salaries

For seniority levels and salaries at each level, we're considering salaries of big tech companies (Google, Meta, Amazon, Apple, Microsoft, etc.).

This is because:

1. Big tech salaries are well-documented and consistent
2. They represent the upper end of market rates
3. They're achievable targets for strategic career planning

How to Use CodeCapitals if You're Not in Big Tech

If you don't work for a big tech company, you can still use the calculator with some adjustments:

Strategy 1: Adjust Seniority Level Down

Non-big-tech senior ≈ L3 (Big Tech Entry/Junior)

If you're a senior at a regular company, consider the L3 level as your equivalent "senior - non big tech" salary level.

Strategy 2: Adjust Lifestyle Level Up

If you're junior at non-FAANG, use this formula:

Your actual situation + Select lifestyle one level up

Example: You're a junior dev at a non-FAANG company on a Comfortable lifestyle:

• Select: L3 level (entry level big tech)
• Select: Luxurious lifestyle
• This approximates your actual savings potential

Strategy 3: Use Percentages

Look at the savings rate % rather than absolute numbers:

• If CodeCapitals shows 40% savings rate for your city/level
• Apply that % to your actual salary

Example:

• Your salary: €60k
• CodeCapitals shows: 40% savings rate
• Your estimated savings: €24k/year

Real-World Examples

Example 1: Mid-Level Engineer Comparing Cities

Scenario: Mid-level engineer (L4), comfortable lifestyle

City	Salary	After Tax	Living Cost	Annual Savings	Rank
Zurich	€160k	€127k	€42k	€85k	#1
London	€135k	€91k	€36k	€55k	#2
Amsterdam	€125k	€82k	€33k	€49k	#3
Berlin	€110k	€70k	€28k	€42k	#4
Barcelona	€95k	€65k	€24k	€41k	#5
Warsaw	€85k	€70k	€18k	€52k	#6

Insight: Warsaw (#6 by salary) beats Berlin, Barcelona, and Amsterdam for actual savings!

Example 2: Senior Engineer Maximizing Savings

Scenario: Senior engineer (L5), frugal lifestyle

City	Salary	After Tax	Living Cost (Frugal)	Annual Savings	Years to €300k
Zurich	€220k	€175k	€30k	€145k	2.1 years
London	€175k	€118k	€27k	€91k	3.3 years
Dublin	€160k	€104k	€27k	€77k	3.9 years
Munich	€140k	€88k	€30k	€58k	5.2 years

Insight: Zurich allows reaching €300k savings in half the time of Munich!

Example 3: Entry-Level Engineer Starting Career

Scenario: Junior engineer (L3), comfortable lifestyle

City	Salary	After Tax	Living Cost	Annual Savings	Path to Financial Security
Zurich	€120k	€96k	€42k	€54k	€100k in 2 years
Amsterdam	€85k	€56k	€33k	€23k	€100k in 4.3 years
Berlin	€75k	€48k	€28k	€20k	€100k in 5 years
Warsaw	€70k	€58k	€18k	€40k	€100k in 2.5 years

Insight: Warsaw offers surprisingly strong savings for entry-level, beating Amsterdam and Berlin!

Run your own calculations →

Key Insights from CodeCapitals Data

1. Zurich Dominates for Absolute Savings

At every level and lifestyle, Zurich offers the highest absolute savings in Europe:

• High salaries (€120k-€250k+)
• Low taxes (~20% effective rate)
• Even with high costs, savings potential is unmatched

BUT: Quality of life matters too - not everyone wants to live in Zurich.

2. Eastern Europe Punches Above Its Weight

Warsaw, Kraków, Bucharest offer surprisingly high savings rates:

• Lower salaries, but much lower costs
• Favorable tax structures (especially for B2B contractors)
• High quality of life for the money

For FIRE-focused engineers, Eastern Europe can match or beat Western European cities.

3. Lifestyle Choice Matters More Than You Think

City	Frugal Savings	Luxurious Savings	Difference
Zurich	€145k	€100k	€45k/year
London	€91k	€55k	€36k/year
Berlin	€55k	€28k	€27k/year

Choosing frugal over luxurious can cut years off your path to financial independence.

4. The "Comfortable" Sweet Spot

Most engineers find "Comfortable" lifestyle offers the best balance:

• Not sacrificing quality of life
• Still saving 40-60% of income
• Sustainable long-term

Extreme frugality can lead to burnout and doesn't align with enjoying high income.

How CodeCapitals Relates to Our Other Resources

CodeCapitals is part of our comprehensive career planning ecosystem:

Career Planning Tools

Resource	Purpose	Use When
CodeCapitals	Calculate actual savings potential	Comparing job offers, deciding where to relocate
City Rankings	Understand city characteristics	Researching potential locations
Company Guides	Find top employers by city	Targeting applications
€100k Guide	Strategies to reach high salaries	Career progression planning
FIRE Blueprint	Long-term financial independence	Strategic life planning

Integrated Workflow

Step 1: Read city guides to understand options

Step 2: Use company listings to target applications

Step 3: Use CodeCapitals to compare actual financial outcomes

Step 4: Follow career strategies to achieve target salaries

Step 5: Implement FIRE blueprint for long-term wealth

Start with CodeCapitals calculations →

Methodology & Data Sources

Salary Data

• Source: Big tech compensation (Google, Meta, Amazon, Apple, Microsoft)
• Verification: Levels.fyi, Glassdoor, community data
• Updates: Quarterly to reflect market changes

Cost of Living Data

• Sources: Numbeo, Expatistan, local market research
• Categories: Housing, food, transport, healthcare, entertainment
• Verification: Community feedback, personal experiences

Tax Calculations

• Country-specific: Accurate tax brackets and rates
• Includes: Income tax, social security, healthcare contributions
• Excludes: One-time costs, variable deductions

Assumptions

• Full-time employment (not contractor/freelance)
• On-site work (not remote)
• Single person (no family considerations)
• Renting (not buying property)

Limitations to Be Aware Of

1. Individual Circumstances Vary

CodeCapitals provides averages and estimates:

• Your spending might differ
• Your tax situation might vary (deductions, etc.)
• Family size impacts costs significantly

2. Big Tech Focus

Salaries are based on big tech companies:

• Regular companies pay 30-60% less
• Startups vary wildly
• Use our adjustment strategies for non-big-tech

3. Single Snapshot in Time

Markets change:

• Salaries adjust (usually up 3-5%/year)
• Costs change (inflation, housing bubbles)
• Tax laws change

Use CodeCapitals for relative comparisons more than absolute predictions.

4. Doesn't Account for Everything

Not included in calculations:

• Relocation costs
• Visa/permit fees
• Language learning
• Family considerations
• Career growth potential
• Quality of life factors

Use CodeCapitals as one input among many in your decision-making.

Future Expansions

We're planning to add:

• More cities: Asian hubs (Singapore, Tokyo), more US cities
• Contractor mode: B2B taxation comparisons
• Remote work: Geo-arbitrage scenarios
• Family mode: Adjusted costs for couples/families
• Historical data: Track changes over time

Try CodeCapitals now →

Your Feedback Matters

CodeCapitals is an evolving tool. We want to hear from you:

What would make it more useful?

• Additional cities?
• Different calculation modes?
• More detailed breakdowns?
• Export/comparison features?

Found an error or discrepancy?

• Let us know so we can correct it
• Share your real-world experience
• Help make the tool better for everyone

Conclusion

CodeCapitals is the first tool to answer the most important question: How much will I actually save?

By focusing on net savings rather than gross salary, it reveals surprising insights:

• Warsaw can beat Amsterdam for savings
• Zurich dominates despite high costs
• Lifestyle choice impacts outcome dramatically

Whether you're:

• Comparing job offers
• Planning a relocation
• Pursuing FIRE
• Strategizing your career

CodeCapitals gives you the numbers to make informed decisions.

Calculate your savings potential now →

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Frequently Asked Questions

How accurate are CodeCapitals' savings estimates?

Generally within 15-20% of reality for most users. Accuracy depends on how closely your situation matches our assumptions:

High accuracy (±10%) if you:

• Work in big tech
• Are single
• Live lifestyle matching our definitions
• In major city centers

Lower accuracy (±30%) if you:

• Work at non-big-tech companies (use our adjustment strategies)
• Have family (costs increase 30-50%)
• Have unique circumstances

Best use: Compare relative savings between cities, not absolute predictions. If CodeCapitals shows Zurich saves 2x Berlin, that ratio is likely accurate even if absolute numbers vary.

Can I use CodeCapitals if I don't work in big tech?

Yes! Use one of these strategies:

Strategy 1: Adjust level down

• Non-big-tech senior ≈ L3 (Big Tech Entry)
• Non-big-tech mid ≈ Below L3 (won't show, but extrapolate)

Strategy 2: Adjust lifestyle up

• Junior + Comfortable → Use L3 + Luxurious
• Mid + Frugal → Use L3 + Comfortable

Strategy 3: Use percentages

• Look at savings rate % (e.g., 45%)
• Apply to your actual salary

Reality: Most software engineers can use CodeCapitals with small adjustments. Perfect accuracy isn't needed - you're comparing options, not predicting to the dollar.

Why are Eastern European cities ranked so high?

Low costs + decent salaries + favorable taxes = high savings rates.

Warsaw example (L4, Comfortable):

• Salary: €85k
• After tax: €70k (17.5% effective rate for B2B)
• Living costs: €18k/year
• Savings: €52k/year (61% savings rate)

Compare to Amsterdam (L4, Comfortable):

• Salary: €125k (+47% more than Warsaw)
• After tax: €82k (35% tax rate)
• Living costs: €33k/year
• Savings: €49k/year (39% savings rate)

Warsaw saves more despite 47% lower salary!

For FIRE strategies, Eastern Europe is exceptional.

Does CodeCapitals account for freelance/contractor taxation?

No, current version assumes full-time employment. This underestimates Eastern European advantages where B2B contractors get very favorable rates:

Actual B2B rates (not in CodeCapitals yet):

• Poland: 8.5-12% effective
• Estonia: 0% until distribution
• Romania: 10% flat
• Czech Republic: ~15% effective

Freelancer mode is planned for future update. For now, Eastern European savings are understated in CodeCapitals.

How does CodeCapitals compare to levels.fyi?

Different tools for different purposes:

Feature	levels.fyi	CodeCapitals
Focus	Gross total compensation	Net savings after all costs
Geography	Global, US-focused	Europe-focused
Data	Crowdsourced salaries	Calculated savings potential
Best for	Salary negotiations	Location decisions
Updates	Continuous user submissions	Quarterly methodology updates

Use both together:

1. Research salary on levels.fyi
2. Calculate actual savings on CodeCapitals
3. Make informed decision

Why isn't my city included?

Currently focused on European cities with significant tech markets. Adding cities requires:

• Sufficient salary data
• Reliable cost of living data
• Meaningful job market (50+ tech companies)

Cities we're considering adding:

• More Asian hubs (Tokyo, Seoul, Hong Kong)
• More US cities (Denver, Atlanta, Boston)
• More European cities (Helsinki, Vienna, Milan)

Request cities by emailing feedback - we prioritize based on demand.

Can CodeCapitals help with FIRE planning?

Yes! It's specifically useful for FIRE strategies:

See our complete FIRE blueprint which references CodeCapitals extensively.

Key FIRE insights from CodeCapitals:

1. Identify highest savings cities (usually Zurich, Warsaw, Dublin)
2. Calculate years to FI (Savings goal ÷ Annual savings)
3. Compare accumulation cities vs Coast FIRE locations
4. Model lifestyle tradeoffs (Frugal vs Comfortable savings)

Example: To reach €300k for Coast FIRE:

• Zurich, Frugal, L5: 2.1 years
• London, Comfortable, L5: 4.8 years
• Barcelona, Luxurious, L5: 9.4 years

CodeCapitals makes FIRE timeline concrete, not abstract.

How often is CodeCapitals data updated?

Quarterly for most data:

• Salary data (Q1, Q2, Q3, Q4)
• Cost of living (Q1, Q2, Q3, Q4)
• Tax law changes (as they occur)

Immediate updates for:

• Major tax law changes
• Significant market shifts
• Data errors reported by users

You can always check the "Last Updated" date on each city's data page.

Subscribe to updates to be notified when your target cities are refreshed.