We work with several payout providers worldwide to pay contractors in the fastest and most affordable way.
Transaction & FX Conversion Fees
Same Currency, Local Currency Payouts
If the currency of the employer and contractor are the same, and the payout uses a local payout, there is no fee for the contractor, and they will receive the total amount that they invoice.
International & Cross-Border Payments
If the currency of the employer and the contractor differ, the contractor will pay the FX fees and transaction costs to convert from the employer's currency to theirs. For example, if a company has USD as its billing currency and pays a contractor in GBP, the contractor will pay the FX fees and transaction costs to convert USD to GBP. We only pass on the amount that our payment provider charges.
Same Currency, Non-Local Payments
If your contractor requests a non-local currency payout, for example, USD, to a non-US-based bank account, this is known as a SWIFT payment, which is typically more expensive. Apart from the SWIFT fee our payment provider will assess, there may be added correspondent bank fees ranging from $20 to $50 which are often applied when the funds land in the contractor's bank account; these fees are outside our control.
When is the FX rate guaranteed?
We can only guarantee the FX rate when we begin the payout from Remote to your contractor. When a contractor submits an invoice, a few days might pass between invoice creation, invoice approval, and invoice payment from the employer. During this time, the FX rates may have changed.
See also: Contractor invoicing currency and guaranteed payouts