This article explains how clients who are hiring EOR employees can actually create the contract in non-local currency, where available.

Depending on their country, employees can receive salary payment either in Euros or US Dollars. 

Non-local currency payroll can be added to new or existing EOR contracts in select countries where permitted by law.

In this article:

How to create contract in non-local currency

Availability

Fees

Frequently Asked Questions

How it works

When creating a new EOR employee contract you will see the option to set compensation in a non-local currency. This feature will only be visible if non-local currency contracts are available in the country where your employee lives.

When selecting a non-local currency compensation during the contract creation process, we will show you an updated cost estimate.

This updated estimate will include the monthly fee for using this service and additional conversion fees that will be charged whenever funds are transferred to the employee. 

All fees will be charged in the same currency as the employment contract. 

Your employee must hold a local bank account denominated in the same currency as the contract. For example, if you are paying your Poland-based employee in EUR, they must hold a bank account in Poland which is denominated in EUR to receive their payroll.

All fees and payments, including your deposit and invoice as well as bonuses, allowances, and other adjustments will be denominated in the non-local currency.

Available Countries and Currencies

Fees

There are two fees for this service: a monthly fee and a conversion fee

Monthly Fee: $50 USD per employee. This fee covers additional compliance costs and extra procedures for non-local currency payroll. The fee is in addition to your Deel management fee. The fee will be converted to non-local currency each month.

Conversion Fee: A conversion spread fee that covers transaction costs and protects against currency fluctuations between your payment currency and the contract's non-local payout currency. This fee is based on 150 basis points(bps) and is invoiced in non-local currency.

Frequently Asked Questions

[ACCORDION]  Can I offer this feature to existing EOR employees?

Depending on the country, it is possible to offer compensation in a non-local currency to existing EOR employees with active contracts but this can not be done on the Deel platform. Please contact us for further details.

Otherwise the feature can be added during the contract creation flow for new EOR contracts.

[ACCORDION]  Why is there an additional non-local currency fee?

Non-local currency payroll is governed by local laws and regulations and includes additional compliance processes.

This fee covers the additional costs associated with ensuring compliance for you, and your employee.

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