How to Work Remotely for a US Company From Another Country

Working remotely for a US company while living in another country is more common than ever. But it's not as simple as sending a resume and hoping for the best. You need to understand how US companies hire internationally, what legal and tax issues you'll face, and how to present yourself as a low-risk, high-value hire. This guide walks you through the practical steps.

How US Companies Hire International Remote Workers

Most US companies that hire remotely across borders use one of two arrangements: independent contractor or employer of record (EOR). Some larger companies have their own foreign subsidiaries, but that's rare for typical remote roles. Understanding these models helps you know what to expect and how to negotiate.

Independent Contractor

As a contractor, you're not an employee. You invoice the company, usually monthly, and you're responsible for your own taxes, benefits, and equipment. The company doesn't withhold taxes or pay payroll taxes for you. This is the most common setup for small to mid-size US companies hiring abroad because it's simple for them: no foreign legal entities, no benefits administration.

From your side, being a contractor means you need to handle your own tax compliance in your country of residence. You might need to register as a sole proprietor or form a local company. In some countries, like the Philippines or India, you can register as a professional and issue official receipts. In others, like Germany, you might need a Gewerbeanmeldung (business registration). The paperwork varies, but the principle is the same: you're a business selling services to a US client.

Employer of Record (EOR)

An EOR is a third-party company that legally employs you on behalf of the US company. The EOR handles payroll, taxes, benefits, and compliance in your country. You're technically an employee of the EOR, but you work exclusively for the US company. This arrangement gives you more stability: you get local employment protections, sometimes benefits, and the company handles tax withholding.

EORs are common when a US company wants to hire someone full-time but doesn't want to set up a foreign entity. Services like Deel, Remote, and Velocity Global operate in many countries. The cost to the employer is higher—often $500 to $1,000 per month per employee on top of salary—so they reserve this for roles they're serious about. If you're offered an EOR arrangement, it's a good sign they see you as a long-term hire.

Which Should You Choose?

If you have the option, EOR is usually better for you. You get local labor law protections, and the company handles tax withholding. But many companies start with contractor arrangements and switch to EOR later. Don't reject a contractor offer just because it's not EOR—you can always negotiate a higher rate to cover self-employment taxes and benefits.

Time Zone Expectations: The Hidden Dealbreaker

US companies often expect you to overlap with their business hours, at least partially. The East Coast is UTC-5 (or UTC-4 during daylight saving), and the West Coast is UTC-8 (UTC-7). If you're in Europe (UTC+1), that's a 6 to 9 hour difference. In India (UTC+5:30), it's 9.5 to 12.5 hours. In the Philippines (UTC+8), it's 13 to 16 hours.

Some roles are asynchronous: software development, writing, design. Others require real-time collaboration: sales, customer support, project management. Before you apply, check the job description for phrases like "must overlap with PST" or "core hours 9am-1pm EST." If it's not clear, ask in the first interview.

You can negotiate. For example, if you're in Europe and the company is on the West Coast, you might offer to work 7am to 3pm your time, which is 10pm to 6am their time—not great. But if you shift to 12pm to 8pm your time, that's 3am to 11am their time, which overlaps with their morning. Some companies are flexible; others aren't. Be honest about what you can sustain. Working nights long-term leads to burnout.

Getting Paid: Methods and Fees

How you get paid depends on your arrangement. As a contractor, you'll typically invoice the company and get paid via one of these methods:

• Wire transfer: The company sends USD to your local bank account. Fees: $15 to $50 per transfer, plus currency conversion spread (1-3%).
• PayPal: Easy but expensive. Fees: 4-5% for international transactions, plus currency conversion.
• Wise (formerly TransferWise): Low fees (0.5-1%), mid-market exchange rate. You get a US dollar account and can convert to your local currency.
• Payoneer: Popular with freelancers. Fees: up to 2% for currency conversion, $1.50 per withdrawal to local bank.
• Deel or similar: If the company uses an EOR, they handle payment. You get paid in local currency, taxes withheld.

If you're a contractor, you should factor these fees into your rate. For example, if you want to net $5,000 per month and fees are 2%, you need to invoice $5,100. Also consider the exchange rate: if you invoice in USD and your local currency strengthens, you get less. Some contractors invoice in their local currency to avoid this risk, but most US companies prefer USD.

Payment timing matters too. Net 30 is common, meaning you get paid 30 days after invoicing. Some companies pay net 15 or net 45. If you need faster cash flow, negotiate net 15 or ask for a deposit. For a full-time contractor role, you might invoice monthly and get paid by the 15th of the following month.

Tax Basics: What to Ask an Accountant

Taxes are the most complex part of working internationally. I'm not an accountant, and you shouldn't rely on this article for tax advice. But here's what you need to discuss with a professional who knows both US and your local tax law.

For Contractors

As a non-US person working outside the US, you generally don't owe US income tax on your earnings if you're not physically present in the US and you're not a US citizen or resident. The US taxes citizens and residents on worldwide income, but non-resident aliens are taxed only on US-source income. Your services are performed outside the US, so they're foreign-source. However, the company might still ask you to fill out a W-8BEN form to certify your foreign status and avoid US tax withholding.

In your country of residence, you owe income tax on your worldwide income if you're a tax resident there. You might need to register as a business, charge VAT/GST, or pay self-employment taxes. For example, in Portugal, you can operate as a freelancer under the simplified regime and pay a flat rate on your income. In Mexico, you'd register with the SAT and issue CFDI invoices. In India, you'd pay income tax under the presumptive taxation scheme if eligible.

Ask your accountant:

• Do I need to register as a business or can I operate as a sole proprietor?
• What taxes do I owe in my country, and how do I file?
• Do I need to charge VAT/GST to my US client? (Usually no, because it's an export of services, but rules vary.)
• Can I deduct home office, internet, and equipment costs?
• How do I avoid double taxation? (Check if your country has a tax treaty with the US.)

For EOR Employees

If you're employed through an EOR, you're a local employee of the EOR. You pay local income tax and social security, and the EOR withholds them from your paycheck. You don't need to worry about US taxes because you're not working for a US entity directly. But you should still confirm that the EOR is compliant and that your taxes are being filed correctly. Ask for payslips and annual tax statements.

How to Present Yourself to a US Employer

US employers hiring internationally have two main concerns: can you do the job, and will working with you be a logistical nightmare? Your application and interviews should address both.

Resume and LinkedIn

Use US-style formatting: one to two pages, no photo, no date of birth, no marital status. Focus on achievements with numbers. For example, "Increased conversion rate by 15% by redesigning onboarding flow" is better than "Responsible for onboarding." If you have a non-US phone number, list it with the country code. Make it easy for them to reach you.

On LinkedIn, set your location to your actual city. Don't pretend to be in the US. If you're open to relocation, say so in your headline. Otherwise, state that you're available for remote work. Many US recruiters search for "remote" in profiles, so include that keyword.

Addressing the Time Zone and Legal Concerns

In your cover letter or first interview, proactively mention that you're experienced working with US teams and that you're comfortable with the time zone overlap. If you're a contractor, say that you have a registered business and can invoice in USD. If you need an EOR, say that you're open to that arrangement. This shows you understand the logistics and saves them time.

Also, be prepared to explain your work authorization. You don't need US work authorization to work remotely from another country as a contractor. If you're an EOR employee, the EOR handles it. If you're asked "Are you authorized to work in the US?" you can say "I'm based in [country] and work as an independent contractor, so no US work authorization is required."

Interview Tips

US interviews are often more structured than in other countries. Expect behavioral questions ("Tell me about a time when...") and a focus on results. Be direct and concise. Don't be modest—US culture rewards self-promotion. If you led a project, say "I led..." not "We led...".

Test your internet connection and camera before the call. Use a quiet room with good lighting. If English isn't your first language, practice common phrases. You don't need to sound American, but you need to be understood. Speak slowly and clearly.

Negotiating Salary and Benefits

US companies often have a salary range for the role, but it may be adjusted for your location. Some companies use geographic pay differentials: they pay less if you live in a lower-cost area. Others pay the same regardless of location. Ask about this early.

If you're a contractor, you can negotiate a higher rate to cover self-employment taxes, benefits, and equipment. A good rule of thumb: if a US employee in the same role earns $100,000 per year, you as a contractor should ask for $120,000 to $130,000 to cover the 15.3% self-employment tax (in the US, but you'll have similar in your country), health insurance, and paid time off. But this varies by country and role.

Don't forget to negotiate other terms: paid time off, sick leave, holidays. As a contractor, you don't get paid when you don't work, so you need to factor that into your rate. If you want 20 days off per year, add 8% to your rate.

Legal and Compliance Checklist

Before you sign a contract, run through this list:

• Contract type: Is it a contractor agreement or employment contract via EOR?
• Payment terms: How much, in what currency, how often, and via what method?
• Tax forms: If contractor, have you completed a W-8BEN? If EOR, are taxes withheld?
• Intellectual property: Does the contract assign all IP to the company? That's standard, but check.
• Termination: What's the notice period? Can they fire you without cause?
• Non-compete: Is there a non-compete clause? Are you comfortable with it?
• Equipment: Will they provide a laptop? If not, can you deduct it?
• Expenses: Will they reimburse for software, internet, or co-working space?

If anything is unclear, ask. It's better to clarify before you start than to deal with a dispute later.

Tools and Setup for Remote Work

You'll need a reliable internet connection, a good headset, and a quiet workspace. Most US companies use Slack, Zoom, and Google Workspace. If you're not familiar with these, learn them. For project management, tools like Asana, Trello, or Jira are common. For code, GitHub. For design, Figma.

Consider a backup internet solution, like a mobile hotspot, in case your primary connection fails. Also, set up a VPN if you need to access US-only resources, but check company policy first. Some companies provide a VPN; others prohibit personal VPNs for security reasons.

Working remotely for a US company from another country is achievable with the right preparation. Focus on the arrangement that fits your situation, be upfront about time zones and taxes, and present yourself as a professional who understands cross-border logistics. The effort you put into getting the details right will pay off in a smoother hiring process and a more stable working relationship.