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Howdy vs South: Which Is Better for Hiring LatAm Engineers in 2026?

Compare Howdy and South on hiring speed, pricing, vetting, and post-hire support to see which fits an embedded LatAm engineering team.

October 26, 2026

Howdy fits US midmarket and enterprise companies building embedded, engineering-led LatAm teams, with engagement, coaching, and retention handled. South fits companies that want a one-time headhunting search or hires in fields like construction and medical support.

Howdy typically presents a first candidate within 24 hours of opening a search and reaches a hire in 1 to 2 weeks.

How we compared:

  • Engagement model and who legally engages the professional, as each provider describes it on its own site
  • Pricing structure as published, what sits inside the monthly rate, and how each provider quotes a rate
  • Time to first candidates and to hire, reported in each provider's own terms
  • Vetting steps each provider documents publicly, including pass rates where stated
  • Replacement, retention, and support after the professional joins your team
  • Commitment and cancellation terms, where each provider publishes them

Howdy publishes this comparison. Details about South come from South's own pricing page and FAQ, last verified October 26, 2026.

Quick overview

Both companies help US teams hire full-time professionals in LatAm. Howdy bills one all-in monthly rate. South offers a flat monthly rate under its staffing model and a one-time fee for its headhunting search. The bigger difference sits in what each one is built around. Howdy is a global workforce partner built around embedded teams: a four-stage vetting process that fewer than 5% of candidates pass, recruiters who include 31 full-time psychologists, and 11 Howdy Houses, 10 of them in LatAm, where professionals can work and meet. Howdy reports that over 98% of its professionals stay with their partners through the first two years, based on internal placement data. Engineering is the core of Howdy's work, and partners also build teams across finance, operations, and support.

South describes itself as a recruiting and staffing service for remote professionals across many business functions, from engineering and accounting to construction and medical roles. Its staffing model wraps compensation and service into one flat monthly rate, and it also sells a one-time headhunting search and a standalone Employer of Record service.

For an engineering leader at a growing company, the useful question is which model fits the team you are adding this quarter and the one you expect to run in two years.

At a glance

HowdySouth (per its pricing page and FAQ, October 2026)
Time from opening a search to hire (as each provider reports it)Typically: first candidate within 24 hours of opening a search; hired in 1 to 2 weeksCompany-reported average time to hire under 16 days; first shortlist "within days" for common roles
Engagement modelFull-time nearshore staff augmentation with local engagement handledFull-time staffing (flat monthly rate), one-time headhunting, or standalone EOR
Who engages the professionalHowdy, with Contractor of Record as the primary model; EOR, direct contracts, and custom structures also offeredDepends on the model. South's pricing FAQ describes staffing hires as full-time remote contractors; South acts as legal employer under its EOR service
Payroll, benefits, equipment, complianceHandled by Howdy; benefits included in all-in rates for technical roles; equipment and Howdy House office access includedPayroll and compliance included in staffing, per South's pricing page; South's EOR can administer medical, dental, and vision coverage
RolesEngineering-led teams, extending into finance, operations, and supportEngineering, finance, sales, support, operations, marketing, construction, and medical roles
Pricing structureAll-in monthly rate with a 15% Howdy management fee for every role; for technical roles, about 60% goes to the professional and 25% to benefits and local costsOne flat monthly rate per hire covering compensation and South's service; South points to typical ranges by role and confirms an exact rate in writing before each search. Headhunting is a single fee
Upfront and cancellation termsNo startup, recruiting, or sourcing fees; no long-term contracts or cancellation fees; no minimum term, with hires joining as full-time members of your teamNo deposits, setup fees, minimum commitments, or cancellation fees, per South's FAQ
VettingFour stages, fewer than 5% pass; 100K+ candidates interviewed each yearEnglish assessment, internet speed test, interview, behavioral and communication tests, reference checks; South says it accepts the top 0.5%
Post-hire support and retentionOver 98% of professionals stay through the first two years (internal placement data); performance coaches with 10+ years of experience; AI training and English programs; replacement from Howdy's pre-vetted networkStructured early check-ins; South's FAQ describes a 120-day window to reopen the search if a hire doesn't work out, and its pricing page lists a free replacement under staffing and a 120-day guarantee under headhunting
CoverageMexico, Colombia, Brazil, Argentina, Chile, Peru, Uruguay; 11 Howdy Houses (10 in LatAm, plus Austin)Recruits across LatAm as a region; remote-first, no offices
Best forEmbedded, engineering-led teams that will grow across functionsOne-time searches and specialized non-technical fields

Where Howdy fits best

Teams building an embedded group across functions

Howdy partners typically start with engineers and extend the same team into finance, operations, and support. Every hire goes through the same four-stage vetting and gets the same coaching and Howdy House access, and every all-in rate carries the same 15% management fee, so the second and third functions don't mean a new vendor or a new process. For technical roles, the rate also includes benefits.

Teams that care about the vetting bar

Howdy interviews more than 100,000 candidates a year through a four-stage process that fewer than 5% pass. The recruiting team includes 31 full-time psychologists trained as recruiters, so the process tests how a professional communicates and works with a team alongside their technical depth.

Teams that want people to stay

Howdy reports that over 98% of its professionals stay with their partners through the first two years, based on internal placement data. Each professional works with a performance coach who has 10+ years of industry or engineering-management experience, and gets AI training and English programs. Benefits for technical roles and equipment sit inside the all-in rate, and professionals in Howdy House cities have a place to work and meet their peers. If a hire doesn't work out, Howdy finds a new candidate from its pre-vetted network, which for engineering roles draws on the top 1% of LatAm engineering talent.

Why I wrote this: A note from our editor
I write about global hiring for Howdy, and one pattern keeps holding: people do their best work, and stay, when they're well cared for. That's why the parts of Howdy's model that come after the hire get as much attention as the search. Benefits for technical roles sit inside the rate, every professional works with a performance coach, and over 98% of Howdy professionals stay with their partners through the first two years.
Maria Cristina, Senior Editor, Global Hiring at Howdy

Teams that want to see where the money goes

For technical roles, Howdy publishes how each dollar splits: roughly 60% to the professional's bank account, 25% to benefits and local costs, and 15% to Howdy's management fee. Every role carries the same 15% fee, and the price shown is the price paid, with no startup, recruiting, or sourcing fees, no long-term contracts, and no cancellation fees.

Teams on a hiring clock

Howdy typically presents the first candidate within 24 hours of opening a search and takes partners from opening a search to a hire in 1 to 2 weeks.

Where South fits best

As of October 2026, South's pricing page describes a headhunting option with a single fee when South finds the candidate and a 120-day replacement guarantee. Companies that already have a LatAm entity or payroll provider can pay for recruiting alone.

Companies hiring in specialized fields

Buyers who want no commitment on the staffing model

As of October 2026, South's FAQ says it has no minimum commitments, deposits, setup fees, or cancellation fees, and that the monthly rate is confirmed in writing before the search begins.

Teams that want flexible location

South recruits across LatAm as a region and builds the pipeline around a stated country or time-zone preference, according to its FAQ.

Trade-offs to weigh with each

Howdy: Howdy places long-term, full-time members of your team. Teams looking for a one-off contractor for a short project will find a freelance marketplace a better match.

South: South is remote-first with no physical offices and recruits for full-time roles only. Its pricing FAQ describes staffing hires as full-time remote contractors who handle their own local taxes, so teams that want a local employment contract should ask about South's separate EOR service.

Switching or adding a second provider

Some teams run two providers, for example one for an embedded core team and another for a single headhunted search. If you are moving an existing LatAm professional from one provider to another, ask both sides how the transfer works before you start.

Cost: what you actually pay

Both providers quote one monthly number, so compare quotes for the same role, seniority, and country. Howdy's all-in rate for technical roles includes compensation, benefits, local employment costs, and the 15% management fee. South's flat rate includes compensation and South's service, with payroll, compliance, support, and replacement built in, according to its pricing page.

Three things drive the number with either provider: seniority, specialization (AI and ML roles cost more), and country, since employer costs vary across LatAm. Comparing Howdy's mid-level all-in pricing with a US fully loaded developer cost, a Howdy engineer runs roughly half the cost of a US hire nationally. The US figure builds on the Bureau of Labor Statistics median software developer wage for May 2025 ($135,980), with benefits counted at 30% of total compensation, the private industry share in the BLS Employer Costs for Employee Compensation release for June 2026.

Verdict by scenario

If you need toFit
Build an embedded team that starts with engineering and grows into finance, operations, and supportHowdy
Give professionals coaching, a local workspace, and a long retention track recordHowdy
Pay a one-time fee for a search and run employment yourselfSouth (headhunting)
Hire in specialized fields such as construction or medical supportSouth
Hire short-term or part-time contract helpNeither. Both focus on full-time hires; consider a freelance marketplace

Frequently asked questions

How much does Howdy cost compared with a US engineer?

Comparing Howdy's mid-level all-in pricing with a US fully loaded developer cost, a Howdy engineer runs roughly half the cost of a US hire nationally. The US figure builds on the BLS median software developer wage for May 2025 ($135,980), with benefits counted at 30% of total compensation.

How long does hiring take with each provider?

Howdy reports that it typically presents a first candidate within 24 hours of opening a search and reaches a hire in 1 to 2 weeks. South reports a company-wide average time to hire under 16 days. The two figures measure different things, so ask each provider for a timeline on your specific role.

Can I hire non-engineering roles through Howdy?

Yes. Engineering is Howdy's core, and partners also build teams across finance, operations, and support.

Does South hire software engineers?

Yes. South lists software engineering among its most frequent hires, along with accounting, sales, customer support, and operations roles.

Who engages the professional?

What's included in Howdy's all-in rate?

For technical roles, the rate covers the professional's pay, benefits, local costs, equipment, Howdy House office access, coaching, and the 15% management fee. There are no startup, recruiting, or sourcing fees.

How does each provider vet candidates?

Howdy runs a four-stage process that fewer than 5% of candidates pass, with 31 full-time psychologists on its recruiting team. South's site lists English assessments, internet speed tests, interviews, behavioral and communication tests, and reference checks.

Do professionals work from an office?

Howdy professionals in Howdy House cities have office access included, with 10 Howdy Houses in LatAm and one in Austin. South describes itself as remote-first.

What time-zone overlap should I expect?

What happens if a hire doesn't work out?

Howdy finds a new candidate from its pre-vetted network. As of October 2026, South's FAQ describes reopening the search if a hire doesn't work out within the first 120 days.

Is there a minimum contract length?

Howdy has no minimum term and no cancellation fees, and hires join as full-time members of your team. South's FAQ says it has no minimum commitment or cancellation fees on its staffing model.

Sources and methodology

  • Howdy figures come from Howdy's internal data. The retention figure reflects Howdy professionals who stay with their partners through the first two years, based on Howdy's internal placement data.
  • South details come from South's pricing page and FAQ, last verified October 26, 2026. Terms may have changed since.
  • US cost comparison uses the BLS May 2025 median software developer wage of $135,980, divided by 0.70 to reflect a 30% benefits share of total compensation (about $194,000 fully loaded), compared with Howdy's mid-level all-in cost of $81,000 to $97,000 a year.

Next step

See what an embedded LatAm team costs through Howdy for your roles and time zones. Talk to the Howdy team.


WRITTEN BY
María Cristina Lalonde
Senior Editor, Global Hiring
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