4 ms·

Bank transfers are probably the best way to handle this. I'd suggest to pay employees directly to their bank accounts from company account. And have company eat

Bank transfers are probably the best way to handle this. I'd suggest to pay employees directly to their bank accounts from company account. And have company eat the transfer fees as business expense. Another questions is how would you define salaries of your employees across various countries. As exchange rates could go up and down a lot. So you'd probably define salaries in the currency of country where company is incorporated in. So for a US company you would pay your employees by bank transfer in defined amount of USD, pay the transfer fee on top of that. And employees would get money in their local currency based on the exchange rate. Of course, ideally you would have all your remote employees open a bank account in your currency which would simplify everything.

izacus 9y ago
> So for a US company you would pay your employees by bank transfer in defined amount of USD, pay the transfer fee on top of that. And employees would get money in their local currency based on the exchange rate. For most banks / situation you actually get USD - the banks aren's allowed just do conversion by themselves (at least here in EU). So you get a separate USD account balance which you then need to manually request to exchange - which is good because you can decided when to exchange it :)
- richardknop 9y ago
  Right that's probably better. I think you can do the currency conversion at the same time you send a payment but it's better to leave it on employees to choose when to convert currencies. They might better optimise exchange rates. They might even want to keep most of their money in USD if their local currency is not very stable.
justboxing 9y ago
> Another questions is how would you define salaries of your employees across various countries Yes, good point. I'm incorporated in US and the remote workers are Contractors, not Employees (sorry, should've made that clear in my OP). I will be paying these contractors an agreed upon monthly or 1 time fees payable in USD.

izacus 9y ago

> So for a US company you would pay your employees by bank transfer in defined amount of USD, pay the transfer fee on top of that. And employees would get money in their local currency based on the exchange rate. For most banks / situation you actually get USD - the banks aren's allowed just do conversion by themselves (at least here in EU). So you get a separate USD account balance which you then need to manually request to exchange - which is good because you can decided when to exchange it :)

richardknop 9y ago
Right that's probably better. I think you can do the currency conversion at the same time you send a payment but it's better to leave it on employees to choose when to convert currencies. They might better optimise exchange rates. They might even want to keep most of their money in USD if their local currency is not very stable.

justboxing 9y ago

> Another questions is how would you define salaries of your employees across various countries Yes, good point. I'm incorporated in US and the remote workers are Contractors, not Employees (sorry, should've made that clear in my OP). I will be paying these contractors an agreed upon monthly or 1 time fees payable in USD.