How to Save Money When Paying Your Employees Overseas from Home

The last 24 months have been tricky for a number of industries across the globe, but one thing that has happened is that people are more open to the idea of working from home. Not only do more people want to explore it as an employment option but employers are coming round to the idea that it is something that can really work for both the employee & the employer!

 

Remote Working

Lockdown saw many people forced to work remotely and it is something that has caused a shift in people’s way of thinking. People are starting to realize that a working life without a long commute gives them a much better work/life balance – and it’s something people are really starting to enjoy. Not only that but spending so much time at home has given people the opportunity to look up different ways of earning money and considering things like a freelancer life.

 

The Benefits of Remote Workers

As an employer, it stands to reason that you are going to do what you can to ensure that you recruit the best person for the job. This isn’t just in terms of skills but in terms of workmanship, work ethic and how they get on with the rest of the team. Previously your search was limited to people who lived nearby or were willing to relocate. However, with remote workers, there are no limits and instead, you can concentrate on recruiting the best person for the job regardless of distance. This means that you can be in one country and your team could be located in several different countries and with technology better than ever, this really can work. However, not all companies are happy with remote working.

 

Saving Money When Paying Your Employees

Although it is important that your employees enjoy their job, at the end of the month they will want to be paid. There are definite benefits to hiring someone remotely, but one thing you want to make sure of is that sending them their wages doesn’t result in hefty fees for either of you. There are different options available, so you should research these in advance and ensure that you make the best choice for you and your business.

 

• Money Transfer Companies

Depending on your country and where you are sending money to, money transfer companies are often the most cost-effective way to send money, especially when you consider that payments sent are often available instantly. Companies are starting to look at these payment options to try to find the cheapest money transfer company, so they can pay those that work overseas for them getting the lowest fees.

 

However, as you might imagine each money transfer company works in a different way, so you should make sure that you read up on what they offer & what their terms are before you sign up and commit to sending money with them. Checking reviews from previous customers is a good idea too!

 

• PayPal

PayPal or indeed any other eWallet provider could be a good choice too. What you need to keep in mind is that the person receiving the money will need to have an account to receive the money. With PayPal, this needs to be linked to their bank account if they want to withdraw their funds for spending – not usually an issue, but it is worth checking with your employees if they have this set up. You should also be sending money as a business/service payment which will have some fees attached to them. These fees could mean that the person you are paying receives less than expected, so certainly something worth discussing in advance.

 

• Cryptocurrency

For many people, Cryptocurrency seems like a futuristic payment method that will never really catch on, but actually many people are already using it. Depending on the industry you work in you may find the take up of this option popular; of course, Cryptocurrency comes with its own risks. We probably aren’t at the stage where you’re going to pay the salary in Bitcoin on a job advert, but it can be a cost-effective way to send money so worth exploring if your employee shows interest.

 

• Banks

When it comes to bank transfers most of us still default to bank payments, especially for simply account to account payments. However, paying abroad isn’t always as simple and as such you should check with your bank how it works – sometimes payments take longer or your bank will require more information in order to make the payment happen. International payments sometimes have fees attached to them, particularly if there is a change in currency. It’s definitely worth checking the fees and terms of international payments because for those looking to save money when paying employees overseas from home banks can be the most expensive option.

 

Final Thoughts

There are many positives to being able to employ people from overseas, it even gives freedom to the people that already work for you if they want to explore the options surrounding international travel and/or relocating abroad. As an employer, it gives you many more opportunities to get the right people on your team & ensure that you have the perfect people for the job. Remote working also helps to create happy workers as people are able to be far more in charge of their own work/life balance. Not only is wanting your employees to be happy the right thing to do, but generally seeking happier employees to work harder and stick around for longer. Business-wise this is a good thing because avoiding expensive recruitment fees helps save the business money.

 

Of course, having a remote team might result in different dynamics and you may have to leave a new way of working and approaching things. However, with a little research, an open mind and looking at your money transfer options it’s perfectly possible to have an overseas workforce and still have a business that thrives, in fact, in many ways having remote workers could improve your business efficiency and therefore an option well worth considering.