How can I transfer money to employees in other countries?
As businesses become more global, travel to different countries is becoming increasingly commonplace, as is the need to ensure employees are paid promptly while working in different countries. Achieving this while complying with the tax laws in their home country can be a challenge.
There are now systems and mechanisms that help mitigate exchange rate risk, use local banking networks and provide apps through which businesses can set up and track regular payments to employees and contractors who are based in other countries.
The benefits of these developments are clear – the use of local networks simplifies transfer processing and often means that payments can be made the same day.
The ability to lock into an exchange rate for up to 12 months means that cash flow is protected from the unpredictable forex markets, giving more control over the company’s spending.
The integration of solutions such as Soldo with accounting software such as Xero makes payroll completion more straightforward, while apps offer real-time control.
Managing employee expenses
When it comes to managing employee expenses, our smart spending solution has the same goals in mind, using similar methods. Striking the balance between expense control and prompt funds reimbursement has traditionally been a challenge when managing expense claims.
Many firms issue business credit cards to simplify the checking of expenses against receipts collected by their employees. The advantages of this are that employees can avoid having to use their own credit card or bank accounts when travelling, and it means they won’t be out of pocket for large items of expenditure, such as hotel bills.
However, the settling of company credit card bills can take as much time as specific items on personal bills and can also incur fees. Not only that, resolving discrepancies and dealing with lost receipts can further delay the processing of expense claims.
Our solution goes one step further, offering complete control. Our prepaid business cards can be controlled by your finance team in real time, from transferring funds to the cards while in use, through monitoring card activity to processing expenses as they happen.
And unlike some international transactions, transfers are free. Cards can be issued to individuals or cost centres. Rules and limits can be set on their usage, such as spending limits, types of transactions, geographical restrictions and time limits.
All this is managed via the Soldo web console, a back-end platform that is typically monitored and controlled by your finance team. It allows your company to control spending before it even becomes an expense – making runaway spending a thing of the past.
Travelling employees are equipped with our Soldo mobile app, which they can use to photograph and upload images of paper receipts as they spend. They no longer need to fill out detailed expense forms and attach all their receipts; with the mobile app, the expenses claim is effectively being compiled on the system in real time. Just make sure staff have a clear understanding of the company’s employee expenses policy to avoid confusion as to what is and isn’t an allowable expense.
In addition, our systems integrate with spending management systems such as Xero, and data can be exported to accounting software such as Concur and Sage. This means spending data can be mined and analysed to help provide insights that can help improve your financial management processes.
Soldo is the perfect way to get money out to your employees abroad while keeping control over their travel expenses.
If you’re looking for a spending management solution that can set employee budgets before they travel abroad, review transactions as they happen and use the data to provide insights into your company’s spending, get in touch for more information.