The world of work has evolved, with more and more people working either remotely or in a hybrid setup. Companies are now widening their talent pool by recruiting internationally, and this opens up opportunities for workers to expand their job searches from local employers to global companies. Remote work comes with the opportunity to work from anywhere, usually on a flexible schedule, but there are legal and compliance considerations you need to take into account before you start working for a foreign company.
In this guide, we’ll talk about everything you need to know before working for a non-US-based company, including the legal, visa, and tax considerations, whether on a remote or hybrid setup, or as a freelancer.
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Benefits and disadvantages
Working remotely for an international company comes with both pros and cons. Let’s break them down:
Benefits
Work-life balance: Working for a foreign company generally means remote working, which gives you flexibility over where you spend your days, and often, flexibility in terms of your working hours too. This can help you build a work-life balance that allows you to work around family or household routines and even fit in hobbies, all on a schedule that suits you.
Travel: Employment with a foreign country may involve hybrid working, where you have to travel to a physical location once in a while. If you like to travel, this will likely be a huge draw for you.
Expanding your skills: You’ll be interacting with colleagues abroad, learning about different cultures, and even learning to speak a new language, which will broaden your knowledge, experiences, and outlook.
Disadvantages
Currency conversion: Depending on where the company you work for is based, wages might be lower than what you’re used to in the US, which has a favorable exchange rate compared to most parts of the world.
Time zone differences: Working in a country different from your clients or colleagues typically means adjusting to a different time zone, which can have adverse effects on your work-life balance, especially when you have to start early or finish very late.
Isolation: Remote work, where you rarely or never meet your colleagues in person, can feel isolating if you’re not the type that enjoys being alone. If you work better when with company, look for options such as co-working spaces or try to initiate or participate in virtual check-ins.
Legal considerations
Working remotely and expanding your opportunities by applying for roles in foreign companies sounds appealing, and it can be an exciting, life-changing choice. However, it’s important to make sure you’re up-to-date with the labor laws and compliance requirements around visas, work permits, and employer responsibilities.
Work permits: Generally, if you’re working within the US, but for a foreign company, you do not need a work permit. However, if your role involves physical travel and working abroad in person, you’ll likely need a work permit, depending on the country you plan to work in and how long you’re staying.
Visas: You’re unlikely to need a visa if you’re purely working remotely, but again, if your job role involves travel to where the company is based, you may need a visa. Depending on the country, you may be able to enter for a short time with just a visitor visa. It might also be possible to apply for a digital nomad visa, which will allow you to reside legally, but only temporarily, in a foreign country, for 1-2 years. This is also an option if you work for a foreign company and plan to work remotely and travel at the same time, not just remain in the US.
Employer of record (EOR): Your contract may include the use of an Employer of Record (EOR), which is a third-party service that hires workers on another company’s behalf and completes all legal compliance paperwork, payroll, and taxes.
Tax implications
It’s important that you understand how tax works when working for an international company to avoid any penalties or legal complications. Working with a platform that allows you to send and receive invoices, and keep records and paperwork up-to-date, is very helpful to make sure you’re being fully compliant. If you spend time abroad as part of your work, your tax responsibilities might be different from the tax requirements for staying in the US and working remotely. Generally, if you’re based in the US and are a US citizen, you’ll have to file your taxes in the US and will be taxed on your worldwide income.
Tech and infrastructure set up
If you’re employed on a remote basis by a company not located in the US, you’ll need to make sure you have the technical equipment and infrastructure in place to do your job effectively. The company you work for may provide a budget for this. You’ll need a strong, secure internet connection and VPN to complete your work, which will be largely online. You may also want to invest in a WFH office setup to make your working environment comfortable so you can stay productive. This would include an ergonomic chair, noise cancellation headphones, or a headset with a microphone for making calls or attending virtual meetings.
Can non-US citizens work remotely for US or foreign companies?
If you’re a non-US citizen and want to work for a US company remotely, rules vary depending on where you’re based. To live and work in the US, you’ll need a work visa to physically work in the country, which typically needs to be sponsored by an employer. If you’re in your home country working for a US company, this is more straightforward, and you’ll need to follow the rules and legislation in your home country.
For example, if you’re a UK citizen, working in the UK, but for a US company, you pay tax based on your global earnings via the HMRC. You may have to complete a W2 form if you’re employed by a US company, or a W-8BEN form if you’re a freelancer, to ensure you don’t have to pay tax in both countries.
Top jobs at international companies
If you’re considering working for a foreign company while living in the US or staying in your home country, you’ll find a range of job opportunities and freelance or remote job options available. Examples include:
1. Copywriter
Writing content for websites, adverts, marketing campaigns, blogs, articles, and resources, using a company’s brand voice and optimizing written content for SEO.
2. Social media manager
Creating platform-specific content, campaigns, and strategies to market a company across various social media platforms.
3. Web developer
Developing web applications and websites using programming languages, such as JavaScript, HTML, and CSS.
4. Online tutor
Teaching students virtually on a range of subjects, which commonly includes ESL (English as a second language).
5. Virtual assistant
Providing admin or technical support services remotely, including booking events and meetings, upgrading systems, and answering emails.
6. Customer service advisor
Answering customer inquiries or providing resolutions to consumer issues or concerns via phone calls or emails.
7. Sales executive
Selling products and services via phone, email, and virtual meetings.
Key takeaways
Working for a foreign company while living in the US is possible and provides you with options to expand your job search beyond US companies, which also means access to more opportunities. While this is definitely exciting, don’t forget to plan for the legal, social, and geographical considerations discussed so you can enjoy all the benefits without the setbacks.