Sending an Employee Overseas - American Express

esources specialist Paul Brunell. These accounts allow employees to withdraw pay in either
currency.
While such arrangements may be impractical for small firms, employers may still be able to
negotiate guaranteed exchange rates through a foreign exchange company, says Brunell
who served as an international human resources executive for several major companies
before starting his own consultancy for small and mid-sized firms in Atlanta. Other tips:
Factor in all of the costs. Supplying benefits such as living quarters and security (if
needed), can drive costs up to several times the actual salary, says Brunell, so make sure
youʼve got the proper amount budgeted. Also, keep in mind that these perks may create local
tax obligations for your employee. “They can wind up getting hung out to dry with a tax bill,”
Brunell says. The employer should factor in enough extra salary to enable the employee to
cover the taxes on those perks.
You may also be subject to the employerʼs share of whatever local social security or other
entitlements apply. In many countries, these can be significantly higher than in the United
States.
Get local knowledge. Whenever possible, an employer should visit the country in question,
or send an advance team, to familiarize themselves with local laws and customs. Consider
consulting a U.S. lawyer familiar with international human resource issues. While the attorney
wonʼt know everything about every country, he or she may be able to advise and help you
with the process, the questions to ask, and perhaps provide a referral to a reliable local
lawyer. Especially important is to understand and abide by local visa rules, which of course
vary from country to country.
Whether the motivation is staying competitive in a global economy, or aggressively expanding
oneʼs customer base, sending employees overseas can have terrific rewards, Carson says.