Boss Lady

5 Ways to manage payroll for outsourcing overseas

on

More businesses than ever are relying on outsourced and freelance workers, often in countries other than the company’s home location. It’s convenient and allows you to have your work done from any location, remotely. Many outsourced staff and freelancers are based in overseas countries, so if you have any performing work for you, it’s important to know how to manage payroll pay them for their services.

5 Ways to manage payroll for outsourcing

Here are five smart strategies to manage payroll for outsourcing, particularly for freelancers or workers who are located overseas.

PayPal

PayPal is one of the most popular and widely-used methods to manage payroll for sending payments to freelancers from anywhere in the world. As long as you have an account that is linked with your checking or savings account, you can transfer funds to your freelancer. You are responsible for transaction fees, but getting money over to freelancers is fast, easy and convenient. Recipients can easily transfer their funds to their bank account as long as they have a PayPal account of their own. As an international payment method, it also has good language support if the freelancer needs to connect with customer service.

Western Union

Western Union has a very wide global reach even in rural and remote areas. For example, even if you need to send money to India to pay freelancers living outside the major cities, Western Union is one of the best tools available. It’s a known and trusted name that has been around for many years. There are also multiple branches in nearly every country around the world.

You can use Western Union’s website or app to quickly and conveniently transfer funds to your freelancers to streamline your process to manage payroll. While transfers may take up to a week, which is longer than some other options, it’s still a reliable service for paying freelancers for their precious time and effort. It’s better for larger payments, so you may want to use it to pay your freelancer for multiple jobs at once.

International bank transfers

There are a variety of options available to you when you want to use international bank transfers to manage payroll for overseas workers. Services like OFX and TransferWise allow you to avoid high international transfer fees as they skip going through your bank. You can send money as long as you know the freelancer’s bank information, International Bank Account Number or IBAN and BIC/SWIFT code.

There is a transfer processing fee associated with the services that range from $40 to $80 depending on your bank. You can get an estimate of the length of time your payment will reach your freelancer in India, but most transfers take around one to three business days.

Another option is to make your transfer in person at your bank. Again, you will need the recipient’s banking information, IBAN and BIC/SWIFT code.

Payoneer

Payoneer is another good method for sending money to freelancers. It’s a trustworthy service that is secure for making payments to anywhere in the world. Funds are quickly sent over to your recipient so they can access their money within two to six hours after their receive it. It’s quick and easy to sign up for Payoneer and the transaction fees are minimal compared with other similar services. There is a $25 annual fee to maintain your account.

ACH transfer

An Automated Clearing House transfer, also known as ACH transfer, is a good option if you want to transfer money to a freelancer based in India. It’s easy and quick to do from your bank account. There are no fees or even trips to your bank needed, which saves you precious time and money. Smaller payments are sent using this method, so you would want to pay for individual jobs if you choose ACH transfers. Funds can get to the freelancer within three or more days.

Conclusion

Finding the best method to manage payroll and pay freelancers overseas is easier than you thinnk. You can try these to see which works the best for you and them.

About Business Woman Media

Our women don’t want to settle for anything but the best. They understand that success is a journey involving personal growth, savvy optimism and the tenacity to be the best. We believe in pragmatism, having fun, hard-work and sharing inspiration. LinkedIn

Recommended for you