Contractor invoicing currency and guaranteed payouts

At Remote, a contractor can submit invoices and get paid in their preferred supported currency. To keep things streamlined for you, we allow your company to pay all invoices in a single currency. This currency is chosen during customer onboarding or as specified in the Terms of Service (ToS), if applicable.

When Remote receives payment for contractors' invoices, we centrally calculate all the invoices and convert the amount to the contractor's preferred currency before paying the funds out.

Guaranteed Payouts for Contractors

Guaranteed Payouts for Contractors Contractor invoicing currency and guaranteed payouts is only available for Wise and Remote Payment.

For Wise and Remote Payments, we will guarantee that contractors receive the full invoiced amount in their preferred currency and protect contractors from currency fluctuations. 

If the contractor uses Stripe Connect, we only provide an ‘estimated’ payout, as we can’t guarantee those payouts.

The beauty of this new guaranteed local payout feature is for Contractors to receive their pay in their local currency and in full. They won't need to handle any FX conversion. To get the full invoiced amount, contractors can raise their invoice in their local currency if different from the companies billing currency.

We have also provided alternative solutions below to accommodate different needs;

• Invoice in Contractors’s desired Currency - If Contractors currency and your company’s currency are different, then currency exchange is required. They can submit an invoice in their local currency, we will apply the Remote Rate based on that day’s mid market rate, plus a small spread to cover the ability to guarantee & cover payment processing costs and the company would cover the fees.
• Invoice in the Billing Currency (different contractor withdrawal currency) - If the Contractor bills the company a fixed amount in the company’s billing currency but their withdrawal method is different from the billing currency, we will show them a guaranteed payout amount, in this scenario because the amount they charge the company is fixed, we take the fees out of this meaning the Contractor bear the fees.
• Invoice in Local Billing Currency with Virtual Currency Account - If you or the Contractor are unhappy paying the fees, Remote allows the ability for you to use partners like Wise, Payoneer, Revolut and more which offer virtual currency accounts. In most scenarios this allows the Contractor open a local bank account in the currency they have selected as their billing currency, meaning the invoicing and payment all happens on local rails with no payment fees or FX charges. This allows the Contractor handle their own FX into their local currency, outside of Remote. This means they invoice you, (the company) in your billing currency for example USD and get paid to their virtual account in the same currency (USD). This way, there will be no FX guarantee.
  
  Contractors have the choice to be paid directly into their bank account or via Stripe Connect. Please refer below to the list of supported payout countries and currencies. 

How we handle exchange rates for contractor invoices

• We lock in the Remote FX rate when a contractor creates and sends their invoice to you.
• We guarantee this rate for up to 90 days, as long as it stays within our tolerance range. This tolerance depends on how stable the currency pairing is.
• If the currency becomes too volatile and moves outside our tolerance, we’ll reset the Remote FX rate to a new mid-market rate. This helps keep things fair for you, the contractor, and Remote.
  Rate re-calculation can happen if the contractor invoice is in pending approval state or approved but not paid.
• If you select to pay by bank transfer, we will guarantee the FX rate indicated on the Transaction Receipt regardless of volatility for 3 business days from the contractor invoice approval date
• If you’ve already sent funds: If you initiated payment within 3 business days from the contractor invoice approval date, we will honor the FX rate regardless of currency volatility.
• If payment is initiated after 3 business days and the FX rate fluctuated far from the original locked rate after you’ve sent the payment, we will recalculate the invoice based on current market rates and create a new Transaction Receipt. We will notify you via email that the TR has been recalculated and you will need to remit the difference.

• Wise: Supported Contractor Countries and Currencies
• Stripe Connect: Country Availability for Local Currency Payouts
• Explore contractor payout coverage in every country