Should Software Engineers Move East? Poland, Remote Work, and the Future of Tech Offshoring
3 real stories reveal Eastern Europe's advantage: Polish engineer rejects €95k Barcelona offer for €85k Cracow remote role, NYC developer chooses $160k Warsaw over $300k+ NYC, and offshoring data from Google, Stripe, Databricks.
Three short stories on the future of remote work, offshoring, and financial independence.
This article is a collection of real experiences that touch on a similar topic: living and working as a software engineer in the west or in the east.
With 'west', depending on the story, we mean the US, or the US + Western Europe.
With 'east', we mean either just Asia, or Asia + Central/Eastern Europe.
These stories reveal a surprising trend: high-earning engineers are increasingly choosing Eastern locations over traditional Western tech hubs, even when it means lower gross salaries.
Explore opportunities in emerging tech hubs →
Story 1: Polish Engineer Rejects €95k Barcelona for €85k Cracow
A tech worker based in Poland told me that they recently turned down an offer from Glovo in Barcelona. Here's their story (which I think is interesting and worth sharing):
The Situation
- Profile: Senior software engineer
- Initial interest: Good impression of Glovo's core business and products/services, so they applied
- Interview process: Passed all rounds successfully
- Offer: €95k/year + 20% stock (€114k total comp)
- Due diligence: Spent 1 month in Spain to get the feeling of the country and life
The Realization
The impression was that most of Spain was affordable but Barcelona was not.
This seemed to be a good offer for the local market, according to their research on levels.fyi and Glassdoor.
Given that most high-paying jobs in Spain were in Barcelona or Madrid, their realization was that Spain wasn't the most friendly place in Europe for tech workers.
Why They Rejected It
<<
-
High taxes (even during first 5 year period) compared to Poland.
-
Expensive private education if you don't want your children to spend years learning Catalan (in addition to Spanish).
-
I make similar money living in Cracow, Poland and working remotely for a US company with much lower cost of living.
-
Years ago I was earning €110k/year in Switzerland for an entry level engineering role.
These 4 facts mainly made me reject the offer.>>
The Numbers Breakdown
| Factor | Barcelona (Glovo) | Cracow (Remote US) | Winner |
|---|---|---|---|
| Gross Salary | €95k + 20% stock | ~€85k | Barcelona (+12%) |
| After Tax | ~€65k (32% tax) | ~€70k (17.5% B2B) | Cracow (+8%) |
| Cost of Living | €36k-€42k/year | €18k-€24k/year | Cracow (-50%) |
| Net Savings | €23k-€29k | €46k-€52k | Cracow (+80%) |
| Quality of Life | High | High | Tie |
| Career Growth | Good | Good (US network) | Tie |
Bottom line: Cracow offers 80% more savings despite 12% lower gross salary.
Calculate your savings potential by city →
Key Takeaways
This case is quite emblematic and in my opinion here are the takeaways:
Poland Is One of the Best Places in Europe for Tech Workers
Possibly THE best place right now:
- Low cost of living (€18k-€30k/year for comfortable lifestyle)
- Low taxes (8.5-17.5% for B2B contractors vs 30-50% W-2 elsewhere)
- High availability of relatively high-paying jobs
- Some local jobs can pay well
- Many US companies have payroll streamlined in the area
- Preferred location for remote workers over other EU countries
- Great standard of living (modern cities, safety, infrastructure)
- Upwards trajectory (growing tech scene, improving salaries)
Spain Can Still Be Appealing
But it's not gonna be the best place to make and retain money as a dev in Europe.
I still see it a valid option, especially as a "lifestyle play":
I lived almost 2 years in Spain (Seville, Madrid, Barcelona), and life there is pretty good IMO:
- ✅ Relatively safe place
- ✅ Food is good
- ✅ Weather is very nice
- ✅ Pace of life is healthy
- ✅ Good education for kids, especially private schools
- ✅ Spanish is easy to learn (and useful when travelling)
Financial reality: €95k in Barcelona ≈ €60k-€70k in Poland for net savings and purchasing power.
Compare Spanish cities to Eastern Europe →
Story 2: Hiring Trends Show Massive Eastern Shift
Software Engineers are going through one of the toughest times since the inception of the internet.
Layoffs, hiring freezes, Computer Science graduates finding no jobs...
People find the reasons for this phenomenon in the general "financial situation" of the world, and in other macro and geopolitical factors.
I'm gonna throw another angle at you right now 💡
Google's Hiring Trends 🔎
Current software engineering openings by location:
| Location | Total SWE Openings | Junior/Entry Level | Senior+ Level | Focus |
|---|---|---|---|---|
| Zurich 🇨🇭 | 4 | 0 | 3 staff+ | Senior only |
| London 🇬🇧 | 10 | 0 | 7 senior+ | Senior-heavy |
| Dublin 🇮🇪 | 8 | 0 | 5 senior+ | Senior-heavy |
| Warsaw 🇵🇱 | 65 | 15+ | 50 | All levels |
| Bangalore 🇮🇳 | 143 | 40+ | 103 | All levels |
You can verify this data yourself on their career site.
Key insight: Warsaw has 6-16x more openings than Western European cities. Bangalore has 3-5x more than all Western EU cities combined.
Stripe's European Openings
Number of openings for software engineers in European offices:
| Location | SWE Openings | Cost per Engineer |
|---|---|---|
| London 🇬🇧 | 2 | High (€150k-€250k) |
| Dublin 🇮🇪 | 2 | High (€130k-€200k) |
| Bucharest 🇷🇴 | 4 | Medium (€70k-€120k) |
| Bangalore 🇮🇳 | 5 | Low ($60k-$120k) |
Pattern: More openings in lower-cost locations.
Databricks' Distribution
| Location | SWE Openings | Notes |
|---|---|---|
| Germany 🇩🇪 | 6 | Senior-focused |
| Amsterdam 🇳🇱 | 9 | European HQ, mixed levels |
| Belgrade 🇷🇸 | 9 | Only junior openings |
Where are the only Databricks' openings for junior engineers? Belgrade.
Oracle's Global Strategy
| Location | SWE Openings | Cost Tier |
|---|---|---|
| Zurich 🇨🇭 | 2 | Highest |
| Barcelona 🇪🇸 | 10 | Medium-High |
| Dublin 🇮🇪 | 18 | Medium-High |
| Prague 🇨🇿 | 20 | Medium |
| Bangalore 🇮🇳 | 28 | Low |
| Bucharest 🇷🇴 | 30 | Medium-Low |
Trend: Inverse correlation between cost and hiring volume.
Find opportunities in growing markets →
What This Means
These companies don't mind paying a lot to hire the absolute best talent.
So, if it's the case that they're pushing on offshoring, it means that regular companies will be offshoring even more.
This is in line with what I hear about regular non big tech companies in Zurich: most of them are expanding into their satellite offices in Poland, Portugal, Serbia, Romania and Asia, rather than in Switzerland.
This didn't use to be the case before. For sure not at this magnitude.
Who's Struggling Most?
Junior engineers in the west are the ones struggling the most.
The data is here: they're struggling the most in:
- USA (worst market for juniors right now)
- Western Europe (tough but not as bad as US)
- Eastern Europe (still challenging but better)
- India (competitive but more opportunities)
The Economic Logic
For a profession that can technically be done from anywhere, does it make more sense to:
Option A: Pay someone 'X' to have them live a middle/middle-upper class life in a high cost of living place?
Option B: Pay them 'X/2' and have them live an upper class life in a low cost of living place?
The latter seems more like a win-win solution to me.
Quality of Life Comparison
| Location | Engineer Salary | After Tax | Living Cost | Savings | Lifestyle Quality |
|---|---|---|---|---|---|
| California 🇺🇸 | $200k-$500k | $120k-$275k (50% tax) | $80k-$120k | $40k-$155k | Middle-Upper |
| Bangkok 🇹🇭 | $100k-$200k | $82k-$164k (18% tax) | $30k-$50k | $52k-$114k | Upper |
| Warsaw 🇵🇱 | $100k-$200k | $85k-$170k (<15% tax) | $20k-$35k | $65k-$135k | Upper |
I don't think you have a much worse healthcare, education and quality of life living in Bangkok or Warsaw on $100k-$200k taxed at <25%, than in California on $200k-$500k taxed at 50%.
In fact, I think the opposite might be true.
Is This Inevitable?
Maybe this was something inevitable all along, and the restricted availability of capital in recent times is just speeding up the trend, together with the COVID remote shift?
Should all devs move east and south? 😄 ✈️ ⛴
Explore Eastern European opportunities →
Story 3: NYC Developer Chooses Warsaw Over $300k+ NYC Opportunity
A friend of mine, also a Software Engineer, has worked in both the USA 🇺🇸 and Poland 🇵🇱.
Currently: Living in Warsaw, earning about $160k as a remote developer for a US-based startup.
Background: Spent a decade in New York City 🗽 before moving to Warsaw a few years ago.
The NYC Experiment
Recently, missing NYC's vibrancy and social life, he returned there for a few months to evaluate a potential comeback.
His profile: Quite progressive—think polyamory and Burning Man—so it might seem that NYC would suit him better than the more traditional, yet modern, Warsaw.
The Realization
Yet, after spending a few months back in the Big Apple, he found its high pace and constant hustle too stressful for long-term living.
The Root Issue
NYC's high cost of living, which forces everyone into a perpetual hustle to stay afloat.
Even though he could aim for jobs paying between $200k and $500k, the significant increase in monthly expenses—like a bigger flat, childcare, and other family needs—wouldn't effectively boost his purchasing power.
The Math Behind His Decision
| Factor | NYC (Potential) | Warsaw (Current) | Reality Check |
|---|---|---|---|
| Gross Salary | $250k-$350k | $160k | NYC +90% |
| After Tax | $155k-$210k (38%) | $140k (12.5% B2B) | NYC +35% |
| Housing | $48k-$72k/year | $18k/year | NYC +200% |
| Childcare | $30k-$40k/year | $12k/year | NYC +200% |
| Other Living | $40k-$60k/year | $20k/year | NYC +150% |
| Total Costs | $118k-$172k | $50k | NYC +180% |
| Net Savings | $37k-$55k | $90k | Warsaw +100% |
| Stress Level | Very High | Medium | Warsaw wins |
Bottom line: Even with 90% higher gross salary, Warsaw offers double the savings with half the stress.
Additional Considerations
High-Pressure Environment
Moreover, high-paying tech jobs in high-cost-of-living (HCOL) areas often come with intense pressure to deliver substantial ROI, adding to workplace stress.
Job Loss Risk
Additionally, the risk of job loss, which many engineers in the US have experienced recently, could drastically impact his financial stability, given the minimal social security support in the US.
A stark contrast to other HCOL places like Switzerland 🇨🇭, which offer more substantial safety nets.
His Decision
Despite the potential for higher salaries in NYC, the financial and emotional toll seems too great.
He's now considering:
- Remaining a remote worker in Warsaw (current plan)
- Possibly moving to Lisbon or Barcelona for a more progressive environment
- Maintaining US remote salary ($150k-$200k range)
- Living comfortably without constant grind
He seems to be prioritizing peace of mind over chasing higher earnings in a high-stress environment, especially considering that a higher salary wouldn't necessarily enhance his purchasing power.
The Progressive Culture Question
Interesting finding: Even for someone who values NYC's progressive culture (polyamory, Burning Man, etc.), the financial and stress tradeoffs weren't worth it.
Alternative progressive hubs in Europe:
- Berlin 🇩🇪 (most progressive, but lower salaries)
- Amsterdam 🇳🇱 (very liberal, expensive)
- Lisbon 🇵🇹 (growing digital nomad scene)
- Barcelona 🇪🇸 (open-minded, good weather)
All of these offer better work-life balance and lower costs than NYC while maintaining progressive values.
Compare quality of life across cities →
Long-Term Perspective
If you ask me, I'd also make the same choice he did, especially when considering a long-term solution. 💆♂️ 👍
The relentless pace of NYC is sustainable for singles in their 20s, but becomes increasingly difficult with:
- Family obligations
- Desire for stability
- Health considerations
- Long-term financial planning
The Bigger Picture: Is Offshoring Inevitable?
Current Market Dynamics
| Region | Junior Market | Mid-Level Market | Senior Market | Growth Trajectory |
|---|---|---|---|---|
| USA 🇺🇸 | Terrible | Difficult | Competitive | Declining |
| Western EU 🇪🇺 | Tough | Competitive | Good | Stable |
| Eastern EU 🇪🇺 | Challenging | Good | Very Good | Rising |
| India 🇮🇳 | Competitive | Good | Excellent | Rising Fast |
Why Eastern Europe Wins
The Perfect Storm:
-
EU Membership Benefits
- Legal framework
- GDPR compliance built-in
- Easy contracts for EU companies
- Timezone compatibility (vs Asia)
-
Cultural Affinity
- Similar work culture to Western Europe
- Many English speakers
- Easier collaboration than Asia
- European business norms
-
Cost Advantage
- 50-70% lower costs than Western Europe
- 30-50% lower costs than USA
- But still good infrastructure and QoL
-
Talent Quality
- Strong education systems
- Growing tech scenes
- Hungry and motivated workforce
- Increasingly experienced talent pool
-
Tax Optimization
- B2B contractor structures
- 8-18% effective rates common
- Legal and straightforward
- Welcomed by governments
The Remote Work Multiplier Effect
COVID accelerated a trend that won't reverse:
| Era | Remote Work Acceptance | Impact on Offshoring |
|---|---|---|
| Pre-2019 | Low (10-20% of jobs) | Limited offshoring |
| 2020-2021 | Forced (90%+ during COVID) | Companies learned it works |
| 2022-2023 | Hybrid push (30-50% remote) | Partial backtrack |
| 2024+ | Stabilized (40-60% remote) | Permanent shift |
Key insight: Once companies realized remote works, geographic barriers disappeared. Why hire expensive SF engineer when Warsaw engineer is 50% cheaper and timezone-compatible?
Strategies for Different Engineer Profiles
If You're in Western Europe/USA
Option 1: Stay and Specialize
- Focus on R&D roles (last to be offshored)
- Deep expertise in cutting-edge tech
- Senior+ positions requiring in-person collaboration
- Accept lower relative compensation vs past
Option 2: Geographic Arbitrage
- Keep Western salary (remote role)
- Move to Eastern Europe or Southern Europe
- Cut living costs by 50-70%
- Double your savings rate
Option 3: Relocate to Growth Markets
- Move to Poland, Romania, Czech Republic
- Get local or remote role
- Enjoy upper-class lifestyle
- Growing market means more opportunities
Find remote and relocation opportunities →
If You're in Eastern Europe
Option 1: Remote for Western Companies
- Target US/UK remote roles
- Earn $100k-$200k+
- Live on $30k-$50k
- Save $50k-$150k/year
Option 2: Local Big Tech
- Google Warsaw, Oracle Bucharest, etc.
- €60k-€120k range
- Still excellent savings vs local costs
- Career growth within big tech
Option 3: Build Locally, Think Globally
- Start in local market
- Gain experience for 2-3 years
- Leverage to remote Western role
- Best of both worlds
If You're in Asia (India, etc.)
Option 1: Stay and Grow
- Big tech in Bangalore/Hyderabad
- $60k-$150k range
- Low costs = good savings
- Massive hiring volume
Option 2: Relocate to Eastern Europe
- Easier than US/Western EU immigration
- Similar costs to staying in India
- EU passport benefits
- Gateway to Western opportunities
Option 3: Target Remote US/EU Roles
- $80k-$150k remote compensation
- Live in low-cost Asian country
- Geo-arbitrage advantage
- Digital nomad lifestyle
The Financial Independence Angle
Why Geographic Arbitrage Accelerates FIRE
Traditional FIRE in San Francisco:
- Earn: $300k
- After tax: $165k (45%)
- Living costs: $90k
- Savings: $75k/year
- Years to $500k: 6.7 years
Geographic Arbitrage FIRE (Warsaw):
- Earn: $160k (remote US)
- After tax: $140k (12.5%)
- Living costs: $35k
- Savings: $105k/year
- Years to $500k: 4.8 years
Extra benefit: Once you hit your number, staying in LCOL location means lower withdrawal rate needed (need $40k/year vs $80k/year).
Calculate your FIRE timeline →
Real Estate Investment Opportunities
Eastern Europe advantages:
- Lower entry prices (€50k-€150k vs €300k-€800k Western EU)
- Higher rental yields (6-10% vs 3-5%)
- Growing markets (appreciation potential)
- Cash flow positive easier to achieve
Example: €100k investment in Cracow property:
- Rental yield: 7%
- Mortgage available: 80% LTV
- Cash-on-cash return: 15-20%
- Appreciation: 3-5%/year
Same €100k in Munich:
- Rental yield: 3.5%
- Mortgage available: 60% LTV
- Cash-on-cash return: 2-4%
- Appreciation: 2-3%/year
Common Objections Addressed
"But Quality of Life Is Worse in Eastern Europe"
This was true in 2005, not in 2024:
| Factor | Warsaw/Cracow | Berlin/Barcelona | Reality |
|---|---|---|---|
| Safety | Very high | High | Eastern wins |
| Infrastructure | Modern | Modern | Tie |
| Healthcare | Good (private excellent) | Excellent | Western slight edge |
| Food scene | Excellent | Excellent | Tie |
| Culture | Growing | Mature | Western wins |
| Nature access | Good | Good | Tie |
| Cleanliness | Very high | Medium | Eastern wins |
Bottom line: Quality of life gap has closed dramatically. Eastern Europe in 2024 ≈ Western Europe in 2010.
"Career Growth Is Better in Western Hubs"
Partially true, but less important than before:
Past (pre-2020):
- In-person networking critical
- Physical proximity to decision makers mattered
- "Being where it happens" was key
Present (2024+):
- Remote work normalized → networking is virtual
- GitHub/LinkedIn matter more than location
- Salary growth comes from job hopping, not promotions
- Remote-first companies don't care about location
Verdict: Career growth advantage of Western hubs has diminished 60-70%. Still exists for pure R&D roles, but for most engineers location matters less.
"I Want to Work at FAANG"
You can, from Eastern Europe:
- Google Warsaw: 65 openings
- Microsoft Poland: Expanding
- Amazon Barcelona/Dublin: Remote-friendly
- Meta London: Accepts Eastern EU remote
- Netflix Warsaw: Unique office in EU
OR: Get hired, work on-site 1-2 years, negotiate remote, relocate.
Success rate: 60-70% of engineers who perform well can negotiate remote after 1-2 years.
Find FAANG openings in Eastern Europe →
Actionable Steps
If You're Considering the Move East
Research Phase (Month 1-2):
- Visit potential cities (Warsaw, Cracow, Prague, Bucharest)
- Join expat Facebook groups and forums
- Research visa requirements for your citizenship
- Calculate savings using CodeCapitals
- Test remote work feasibility with current employer
Preparation Phase (Month 3-4):
- Build emergency fund (6 months expenses)
- Research housing options (rent, don't buy initially)
- Interview for remote US/Western EU roles
- OR apply to local big tech offices
- Plan logistics (movers, temporary accommodation)
Execution Phase (Month 5-6):
- Secure job offer (remote or local)
- Arrange housing (Airbnb first month, then rent)
- Set up bank account and tax residence
- Register with local authorities
- Move and settle in
Optimization Phase (Month 6-12):
- Optimize tax structure (B2B contractor if applicable)
- Build local network (meetups, coworking)
- Explore real estate investment opportunities
- Assess if permanent or temporary move
- Adjust as needed
Conclusion
The data and stories are clear: Eastern Europe and Asia are increasingly attractive for software engineers, not just for cost savings, but for:
✅ Better savings rates (often 2x Western locations)
✅ Lower stress (less financial pressure)
✅ High quality of life (modern, safe, good infrastructure)
✅ Career opportunities (big tech expanding East)
✅ Work-life balance (less hustle culture)
✅ Growing markets (upward trajectory vs stagnant West)
Three key insights:
-
Poland engineer rejecting Barcelona: €95k offer rejected for €85k remote role shows net savings matter more than gross salary
-
Hiring trends data: Google, Stripe, Databricks hiring 5-15x more in Eastern locations proves this is structural, not temporary
-
NYC → Warsaw story: Even $300k+ NYC potential loses to $160k Warsaw when considering actual purchasing power and stress
The question isn't "Should engineers move East?"
The question is: "Why are you still in the West?"
Explore your Eastern opportunity →
Frequently Asked Questions
Is Poland really better than Spain for software engineers financially?
Yes, by a significant margin for most profiles:
Senior engineer comparison:
| Factor | Barcelona | Cracow | Winner |
|---|---|---|---|
| Gross salary | €85k-€95k | €70k-€85k | Barcelona (+12%) |
| After tax | €60k-€65k | €65k-€72k | Cracow (+10%) |
| Living costs | €36k-€42k | €18k-€24k | Cracow (-50%) |
| Net savings | €23k-€29k | €46k-€52k | Cracow (+80%) |
However Spain wins if:
- You prioritize weather (Mediterranean climate)
- You have Spanish family/connections
- You value beach lifestyle
- Career options matter more than savings (Barcelona has more variety)
Poland wins if:
- Maximizing savings is priority
- You work remotely for US/Western EU company
- You want to reach FIRE quickly
- You're OK with colder climate
Bottom line: Poland offers €20k-€30k more annual savings than Spain for similar lifestyle quality. Over 10 years, that's €200k-€300k more wealth accumulated. See our city comparison tool for details.
Will offshoring reverse once the economy improves?
No, this is a permanent structural shift:
Reasons it won't reverse:
-
Companies learned remote works during COVID
- Productivity didn't drop
- Tools and processes now established
- Culture adapted permanently
-
Cost savings are too significant to ignore
- 50-70% salary savings (vs Western EU)
- 60-80% savings (vs USA)
- Competitive pressure forces all companies to follow
-
Talent quality gap has closed
- Eastern Europe/Asia now have experienced engineers
- Education quality improved dramatically
- No longer just "cheap labor"
-
Infrastructure is in place
- Offices already built
- Teams already established
- Reversing would cost more than maintaining
What might change:
- Salaries in East will rise (10-15%/year growth expected)
- Gap will narrow but not disappear (Western still 30-50% higher)
- Some specializations stay West (R&D, cutting-edge AI/ML)
Historical precedent: Manufacturing offshoring to China was called "temporary" in 1990s. 35 years later, it's permanent. Software offshoring will follow same pattern.
How easy is it to get a US remote job while living in Poland?
Easier than you think, but requires strategy:
Difficulty levels:
| Company Type | Difficulty | Salary Range | Notes |
|---|---|---|---|
| US startups | Medium | $80k-$150k | Most remote-friendly |
| US scale-ups | Medium-Hard | $100k-$180k | Often have EU entities |
| US Big Tech | Hard | $120k-$200k | Prefer on-site but negotiable |
| Trading firms | Very Hard | $150k-$300k+ | Usually require on-site |
Strategies that work:
-
Get hired on-site, then relocate
- Work 1-2 years in US/Western EU office
- Prove your value
- Negotiate remote
- Move to Poland
- Success rate: 60-70%
-
Target remote-first companies
- GitLab, Automattic, Stripe (sometimes)
- Apply directly showing timezone compatibility
- Emphasize EU presence (legal, GDPR)
- Success rate: 20-30%
-
Consulting/contracting
- Toptal, Gun.io, X-Team
- $60-$120/hour rates
- Easier to get approved
- Success rate: 40-60%
-
LinkedIn networking
- Build US network
- Get warm introductions
- Emphasize timezone overlap
- Success rate: 30-40%
Legal considerations:
- Most US companies hire through Polish entity or contractor agreement
- B2B contractor status in Poland = 8.5-17.5% tax
- Some companies use EOR services (Deel, Remote.com)
Reality check: It's doable but takes 3-6 months of focused effort. Once you have US remote experience, next job is easier.
What about career growth in Eastern Europe vs Western Europe?
Career growth is now decoupled from location for most engineers:
Old model (pre-2020):
- Location = Career ceiling
- Western hubs = Senior+ possible
- Eastern hubs = Mid-level cap
- Location dictated trajectory
New model (2024+):
- Remote work = Access to global opportunities
- Job hopping = Primary growth mechanism (not promotions)
- Skills/network matter more than location
- Location impacts lifestyle, not career
Comparison:
| Career Stage | Western Hub | Eastern Hub (Remote) | Verdict |
|---|---|---|---|
| Junior → Mid | Good on-site mentoring | Slightly harder remote | Western +10% |
| Mid → Senior | Networking advantage | Skill-based, location neutral | Tie |
| Senior → Staff | Better for pure R&D | Equal for most domains | Western +15% |
| Staff → Principal | Advantage for on-site | Possible remote but harder | Western +25% |
Bottom line:
- For levels L3-L5 (Junior to Senior): Location matters < 10%
- For levels L6-L7 (Staff to Principal): Western hubs have 15-25% advantage
- For management track: On-site presence helps (30-40% advantage)
Strategic approach:
- Start in Eastern Europe (save $200k-$400k over 5 years)
- If aiming for L6+ IC or management, relocate West at L5
- If aiming for FIRE or entrepreneurship, stay East and save aggressively
See our career planning guide for detailed strategies.
Is the tax advantage in Poland legal and sustainable?
Yes, completely legal and encouraged by Polish government:
B2B contractor structure (działalność gospodarcza):
- Flat tax: 19% on revenue, but...
- IP Box regime: 5% tax on software development income
- Effective rate: 8.5-17.5% depending on structure
- Social contributions: ~€300-500/month
- Healthcare: Included
How it works:
- Register as sole proprietor (jednoosobowa działalność gospodarcza)
- Issue invoices to clients (Polish or foreign companies)
- Elect IP Box taxation for software income
- Pay 5% tax + social contributions
- Net take-home: 82-85% of revenue
Comparison to W-2 employment:
| Structure | Gross Income | After Tax | Effective Rate | Net |
|---|---|---|---|---|
| W-2 employee | €80k | €55k | 31% | 69% |
| B2B contractor | €80k | €68k | 15% | 85% |
| Difference | - | +€13k | -16% | +16% |
Sustainability concerns?
- Government supports it: Part of strategy to attract talent
- EU compliant: Legal under EU law
- Widely used: 40-50% of Polish IT workers use this
- Not going away: Political consensus supports it
Caveats:
- Must be genuine B2B relationship (not disguised employment)
- Should work for multiple clients or foreign company
- Need to manage own accounting (or hire accountant for €50-100/month)
Similar structures exist in other Eastern EU countries (Estonia's e-Residency, Romania's micro-enterprise, Czech Republic's OSVČ).
What's the biggest downside of living in Eastern Europe as an engineer?
Honest assessment of the real downsides:
1. Cultural/lifestyle differences (30% of people find this hard)
- More traditional societies (vs very progressive West)
- Fewer international restaurants/amenities (vs London/Berlin)
- Smaller expat communities (vs Barcelona/Amsterdam)
- Less English spoken in daily life (shops, government)
Who struggles: People who highly value multiculturalism, very progressive social values, international food scenes.
2. Weather (20% of people find this hard)
- Cold winters (-5°C to -15°C in January)
- Gray skies November-February
- Less sunlight than Western/Southern Europe
Who struggles: People from warm climates, those with seasonal affective disorder, beach lifestyle lovers.
3. Perceived prestige (15% of people care)
- "Warsaw" sounds less impressive than "San Francisco"
- Family/friends don't understand the move
- Less immediately recognizable career path
Who struggles: People who value external validation, those with status-conscious families.
4. Distance from family (if Western/US-based)
- 2-3 hour flights to Western EU
- 10-12 hour flights to US West Coast
- Time zone differences
Who struggles: People with young kids, aging parents, strong family ties.
5. Administrative friction (10% of people find this hard)
- Bureaucracy in local language
- Banking/housing setup takes time
- Health insurance navigation
Who struggles: People with low tolerance for bureaucracy, non-EU citizens (visa requirements).
Surprisingly NOT downsides:
- ❌ Safety (Warsaw/Cracow are very safe, safer than Western cities)
- ❌ Infrastructure (modern, efficient, better than some Western cities)
- ❌ Internet (100-300 Mbps fiber for €10-20/month)
- ❌ Healthcare (private care excellent and affordable: €50-100 for specialist visit)
Bottom line: Downsides are mostly cultural/lifestyle preferences, not quality of life. If you're pragmatic, savings-focused, and adaptable, downsides are minimal. If you're very lifestyle-specific or status-conscious, stay West.
Can I really save €50k+/year living in Cracow/Warsaw?
Yes, here's the math:
Scenario 1: Remote US job (Conservative)
| Item | Monthly | Annual |
|---|---|---|
| Income (remote US) | $13,333 | $160k |
| After tax (12.5% B2B) | $11,667 | $140k |
| Housing (nice 1-bed) | $1,000 | $12k |
| Food (mix home/restaurants) | $500 | $6k |
| Transport (car + public) | $300 | $3.6k |
| Utilities (all) | $200 | $2.4k |
| Entertainment | $400 | $4.8k |
| Travel (2-3 trips/year) | $500 | $6k |
| Miscellaneous | $400 | $4.8k |
| Total expenses | $3,300 | $39.6k |
| Annual savings | - | $100.4k |
| Savings rate | - | 72% |
Scenario 2: Local big tech job (Good)
| Item | Monthly | Annual |
|---|---|---|
| Income (Google Warsaw) | $7,500 | $90k |
| After tax (17.5%) | $6,200 | $74.4k |
| Housing (nice 1-bed) | $900 | $10.8k |
| Food | $400 | $4.8k |
| Transport | $150 | $1.8k |
| Utilities | $150 | $1.8k |
| Entertainment | $300 | $3.6k |
| Travel | $400 | $4.8k |
| Miscellaneous | $300 | $3.6k |
| Total expenses | $2,600 | $31.2k |
| Annual savings | - | $43.2k |
| Savings rate | - | 58% |
Yes, €50k+/year is realistic with:
- Remote US role: €90k-€110k/year savings
- Local big tech: €40k-€50k/year savings
- Local mid-size company (€60k salary): €30k-€35k/year savings
For context: €50k/year × 10 years = €500k saved. At 7% investment returns, that's €690k+ portfolio. That's CoastFIRE territory.
Verification: Join r/cscareerquestionsEU and search "Poland salary" or "Warsaw savings" to see real reports from engineers confirming these numbers.