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How to Facilitate Cross-Border Payments Using Workpay


Global Payment and Compliance

How to Facilitate Cross-Border Payments Using Workpay

As remote work, international partnerships, and global expansion become more prevalent, ensuring seamless and secure cross-border payments is important. Workpay...

September 7, 2023
min read
September 7, 2023
8 min read
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How to Facilitate Cross-Border Payments Using Workpay

Cross-border payment transfers wages, salaries, benefits, and other forms of compensation across international borders to employees in different countries.

As businesses and organizations expand globally, they often employ individuals working remotely in foreign countries. These employees could be remote workers, contractors, or individuals working in branch offices abroad.

There are many ways of facilitating cross-border payments, including direct bank transfers, international money transfer services, forex brokers, and cryptocurrency.

One of the top and most secure methods is using Africa's leading HR platform, Workpay. It ensures secure payments, seamless transactions, and compliance. Keep reading to learn how to facilitate cross-border payments using Workpay.

Components of Cross-Border Payments

Cross-border payments can involve various elements, including:

  • Salary and Wages: Ensuring that employees receive their regular pay in their home country's currency while complying with local tax regulations and employment laws
  • Benefits and Bonuses: Providing benefits such as medical insurance, retirement plans, stock options, and performance bonuses to employees regardless of location
  • Expense Reimbursement: Reimbursing employees for work-related expenses, such as travel costs, accommodation, and other business-related expenditures
  • Tax Withholding and Reporting: Navigating the complexities of international tax laws to accurately withhold and report taxes according to the employee's home country
  • Currency Conversion and Exchange Rates: Handling currency conversion when transferring funds across borders
  • Compliance with Regulations: Adhering to local labor laws, employment contracts, and regulations specific to each country to avoid legal issues
  • Data Privacy and Security: Safeguarding sensitive financial and personal information during the payment process
  • Efficiency and Transparency: Ensuring that the payment process is efficient, transparent, and easily trackable for the employer and the employee

What is Workpay?

Workpay is a Kenyan-born platform that helps employers handle HR, payroll, and compliance across multiple countries. The platform offers multiple services, including time tracking, EOR, perks and benefits administration, and managing leaves and time off.

Workpay helps fast-growing companies manage local and remote employees efficiently. They ensure employees receive timely payments through approved methods in the correct currency. In addition, Workpay ensures compliance with tax requirements within the country.

Getting Started with Workpay

The best place to start with Workpay is through a demo request. Workpay offers a no-commitment call with a product specialist to review the business' payroll state.

The specialist provides information on the tools to advance it. The demo ends with a quote based on the company's unique HR needs. Should the manager or employer like what Workpay offers, they can create an account and let the specialists take over.

Steps to Creating a Workpay Account

  • Employers may create a Workpay account by clicking the signup button on the Workpay website. Alternatively, they may download the app and use it to register.
  • The account requires a name, email address, and phone number. The name should be the overseer of the account. Similarly, individuals may use a group email for continuity purposes.
  • After accepting the terms and conditions, Workpay sends a verification code to the email used to register the account.
  • With this, the individual can create the organization profile by selecting the sector and adding the organization's name, team size, country name, and email.
  • Next, the registrant selects a subscription, and the Workpay team activates the account.

Facilitating Cross-Border Payments Using Workpay

Cross-border payment with Workpay is easy for employers. The first thing the overseer should do is add the employee to the work system.

Workpay allows employers to create a personal and employment profile and then add payment details. In the personal profile, managers include the employee's country of residence, thus allowing the platform to determine the correct currency and compliance requirements.

Paying employees from the payroll feature allows managers to view specific employees and their respective amounts. Therefore, before confirmation, the employer can confirm the correct amount after Workpay makes the necessary contributions and deductions.

Managers can set up and allow auto-running of payroll every week, month, or twice a week. The payroll feature under the account settings has an 'autorun' feature that managers can activate and set dates for to ensure timely payments.

Employers may also create allowance categories, indicating the type and value. In addition, they may also indicate if it is taxable, exempt, or partially taxable. With this information, Workpay can disseminate the allowances in the correct amounts and to the right employee.

Once the manager initiates the payment, Workpay sends instructions to the paying financial institution, initiating currency conversion and facilitating fund transfers. The recipient financial institution receives the payment and processes the incoming funds. After verification and clearing, the institution credits the funds to the employee's account.

Benefits of Using Workpay for Cross-Border Payments

  • Security. Workpay offers secure transactions when paying employees across borders. Data protection and security are top priorities and one of the qualities that make the platform trusted by high-performing companies.
  • Fast. Workpay ensures instant payments to employees in foreign countries. So employees receive their salaries on time, regardless of the time zone.
  • Compliance. Workpay handles the legal parts to ensure compliance. The platform ensures that as payments go through, they comply with taxes, compulsory deductions, pensions, and contributions according to local laws.
  • Affordability. Cross-border payments can be costly. However, with Workpay as a middleman, companies can save on costs resulting from errors.
  • Reports. Workpay offers access to reports to ensure managers can access payroll information in real-time.
  • Self-Service. Workers can access their payroll information from anywhere in the world in real time.
  • Customer support. Workpay staff provide support to employers and managers, free from time-zone limitations.

Workpay Makes Cross-Border Payments Easier

As remote work, international partnerships, and global expansion become more prevalent, ensuring seamless and secure cross-border payments is important. Workpay is a powerful solution that streamlines the process and offers numerous advantages to employers and employees.

By leveraging the innovative platform, businesses can manage their cross-border payments effectively, ensuring that employees in different countries receive their compensation efficiently, accurately, and compliantly.

In addition, Workpay's comprehensive approach covers every aspect of the payment process, from secure data handling to real-time currency conversion and regulatory compliance.

As the global workforce keeps evolving and diversifying, using a robust platform like Workpay for cross-border payments is more than just a convenience; it's a strategic advantage. So get in touch to learn how we can help you contribute to the success and growth of your global ventures.

Workpay Africa
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Workpay is a HR and Payroll software company that offers time & attendance, payroll, human resource, leave, expenses and remote teams solutions to businesses across Africa.

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