I am from Latin America, I have recently formed a software factory. I am about to make my first important contract with a European company and I need to make a projection of the variation of salaries at 4 or 6 years in USD.

In Latin America I am used to contracts with annual adjustments, due to inflation, but with the dollar contract I don't know what is usually used.

I really appreciate any advice

1 Answer 1


With USD inflation, 2-3% per year is typical. In a high-tech field, salaries and software costs often increase by more than that, perhaps 5-15% per year.

If you are exporting Latin American services and software to USD customers, it seems that inflation would help you, not hurt you. As the dollars come in, the exchange rate will become more and more favorable as you pay costs in your home currency.

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