How to remote work abroad for a U.S. company
COVID-19 and the pandemic have transformed how we work. If the thought has entered your mind that, "maybe I could work from a foreign country" you're not alone. Whether your remote job is based in New York or San Francisco, this article will share a few tips on how to work from anywhere with a focus from non-U.S. locations.
As a disclaimer, some details of this article are written US citizens in mind, but the overall principles apply to whichever host country is your place of residence.
Can I work for an American company remotely?
For U.S. citizens, as long as you are in good standing with your team and feel confident that you can perform your remote home office duties from anywhere with a dependable wifi connection, cross-border remote working from different countries is entirely achievable as long as you follow a few basic principles provided below.
Be open to working non-traditional hours
Maximize your ability to work from anywhere by becoming flexible with what hours you work your remote profession. This will open up more than half the world to you, which is a tradeoff any travel enthusiast is willing to make in a heartbeat.
Society has taught us that “work” is traditionally done during the day. 9 to 5 is a common term we all know and understand, but today, people are making a living during all hours. Gig economy workers work evenings and weekends. Nurses work 12 hour days. The service industry never sleeps to keep us fed and entertained. Just because office jobs are typically worked during the day doesn’t mean we can’t consider working during different hours like folks do in other industries.
For remote workers in the United States, being open to working in the afternoon and evenings means you can experience life as a local in Europe and Africa. For Europeans, the ability to explore Asia is totally feasible with these working times as well.
If your job allows, consider splitting up your workday into the mornings and evenings of whatever time zone you’re in. This would likely give you a period of no distraction working and another a period that allows you to interact with your colleagues and attend meetings.
Understand that parts of the world will be difficult to work from if you must adhere to specific timezones. For example, If you work U.S. East Coast Hours, working from Spain by working in the afternoon and evening is doable, but Thailand or Indonesia will be very difficult and require you to work in the middle of the night. You may have more freedom in setting your hours if you work for yourself or can set your own hours as a independent contractor.
Finding these tips useful? Check out Work From Abroad: the comprehensive guide to working your full-time job from abroad.
Set up your home country "home base"
When remote working for a U.S. company, you need to ensure you still have a legal home for tax resident reasons. Tying up life’s loose ends in your current location will provide peace of mind, save you money, and enable you to freely enjoy your time abroad.
If you’re planning a shorter trip, say anything less than two months, then you probably don’t need to do much besides hand over your house plants to your green thumb friend Corie. It’s basically the same stuff you’d do if you were going on vacation. You can keep paying rent at your current place and consider finding a subleaser to help with expenses. Mail can wait until you get back. Just make sure you have someone pick it up on occasion so it doesn’t overflow. And your car will be there when you come home.
But if you’re planning to be abroad for a long period of time for six months or more, consider tying up loose ends so you don’t have to deal with them while abroad. What to do with your place and stuff? Should you sublease or move out? Does your bank account provide friendly international debit card transactions? Where will your United States permanent address be? It can be overwhelming at first. Don’t let this hold you back. Tidying up life before you travel isn’t hard. It’s just a matter of organizing a “to-do” list and then checking off each item on the list.
If it helps, it’s a reason to consider being abroad for a longer period of time. This will make your preparation efforts that much more worthwhile. You can still come back to your home base even if you don’t have your apartment anymore. Just stay with friends or get short-term rental to check-in with family and work, then go off on your next adventure.
Laws and Working Abroad
You may be wondering if you are allowed to be in a foreign country while working an online job that is based somewhere else. This is not legal advice as I am not a lawyer and you should talk with your legal advisor as you require.
It is legal to stay in countries for the duration of that visa or permit. The rules of how many days you may stay in a country are very clear, and you could face legal consequences if you violate them.
In some countries, if your visa is expiring, you can leave the country and return the very same day to extend your stay. For example, if you’re in Costa Rica and your 90 day tourist visa is about to expire, cross over into Nicaragua for the afternoon, then come back and you can stay for another 90 days. It’s 100% legal with authorities knowing and allowing this to occur.
Many countries allow people to travel for work-related activities. It’s normal to travel for work for many professions, which is why you can declare if you’re working or on vacation while abroad. People have been doing remote work for years now as digital nomads. Regardless of if you are a freelancer or have a full-time salary, every government understands the concept of remote work, especially in this modern age. Even if you’re on PTO for two weeks in France, chances are you will check-in to your work email briefly. This is simply the age we live in, and countries are not blind to it. It would be impossible and a foolish tourism strategy if countries were to somehow try to ban people from doing this.
Some governments are adapting and now working to recognize a remote lifestyle. Estonia is one of the most technically advanced countries in the world, and is working on a dedicated digital nomad visa. They understand the value remote workers provide and that this trend isn’t going away.
It’s still a tiny portion of people who are living a remote friendly lifestyle, but if this trend picks up, there will be more formalities, which overall would be a positive thing. As with anything, the government will step in to set up rules to clarify what is and isn’t allowed once it becomes a pressing matter.
Follow visa laws, use your common sense, and be respectful guests of the countries you visit. Simple as that.
Visas and Permits
When traveling and working abroad, you need to know how long you can stay in a country. Understanding how visas work for various regions and countries is important, Especially if you plan on being abroad for more than three months as a North American citizen.
Make sure to look up each country’s visa situation before booking your trip and respect the local law. Overall, visa rules are simple to understand, but there are a few that require a bit of clarifying, especially if you plan on going to Europe.
Many countries will allow Canadians and Americans to stay for up to 90 days on a tourist visa. There are no formal “remote work” visas as of yet, but innovative countries such as Estonia are looking at ways to formalize methods for remote workers to stay and work.
Tip: Use https://visalist.io/ to quickly see your visa requirements for all countries based on your country of residence.
Example: Schengen Tourist Visa
There are 27 EU member states. The Schengen tourist visa area comprises 22 of these countries, which have all agreed to allow tourists to travel within this area without border checks. The visa is named after a town in Luxembourg called Schengen, which is where the visa was signed.
You may stay for up to 90 days within a 180 day period in this area, after which you must leave the Schengen countries. Below is a map.
Schengen and EU countries (source: https://www.schengenvisainfo.com/)
An EU member state does not necessarily mean the country is a part of the Schengen area! For example, Ireland is a part of the EU, but is not a part of the Schengen travel agreement. Switzerland is vice versa as it is not a part of the EU, but is a part of the Schengen travel agreement.
This all becomes important if you plan on maximizing your time in Schengen tourist visa states. If you plan on staying in Europe after you max out your Schengen Visa, consider going to The UK, Ireland, or Eastern Europe. 90 days is the magic number.
If you’re an American citizen, living abroad for one year could also help you save some money on your US taxes. As a disclaimer, I am not an accountant and this is not tax advice. Please speak with your income tax professional to ensure you're filing your tax return properly and understand all the tax iplications of your home country.
FEIE is Foreign Earned Income Exclusion. In short, if you spend 330 days out of a 365 day period outside of the U.S. and are making an income outside of the U.S. during that time, you may be exempt from paying federal income taxes up to a certain amount. This probably doesn't apply if you work a U.S. W-2 tax job, but may apply if you are an independent contractor, freelancer, or run your own business. In 2020, that amount is $107,600 in 2020. Depending on the income that's dropping into your bank account, this can be a nice sum of savings. Make sure to review this with your tax professional as this could be a way to spend time outside your home country and save on income taxes.
Remote work from anywhere
Covid-19 and the pandemic have forever changed how the world works, but how we all live life as well. Hopefully this article has helped you consider expanding your home office to includes locales you've always dreamed of spending a bit more time in.
Don't forget to get travel insurance and make sure you're comfortable with being abroad while working for a U.S. employer. The last thing you need weighing over your head is an uneasiness about working from another country, whether your plan is do to it for a short-term or longer leg.
Looking for more guidance on how to work from anywhere? Check out the book: Work From Abroad.