tctctc Posted March 9, 2019 Report Share Posted March 9, 2019 Hi all, I hope this is the right section to post in. Long story short, We've recently been granted our 189 visa's, my current employer would like to keep me on as an employee but pay me an Australian related salary for my work - The technicalities are yet to be discussed, but I'd like to just have my ducks in a row etc. Has anyone had any experience in the above? I assume I'd have to be some sort of a contractor (since I cannot be an employee?) and handle all my own taxes/Super in Australian? How does being a contractor affect things like applying for credit cards later along the line etc? What disadvantages would arise (if any?). Thanks in advance Quote Link to comment Share on other sites More sharing options...
ottg Posted March 9, 2019 Report Share Posted March 9, 2019 (edited) There are no disadvantages just a few admin/tax issues to sort from the RSA side. Some of those issues may just be too much for your current RSA employer. You need to decide if payments will get done into your RSA bank account or into your Australia bank account. The latter is better. a. Many Australians are employed off shore, while others are based in Australia and do work offshore either ad hoc or online and do get paid in foreign currency b. Similarly, met a few expats that are still employed by their respective employers in South Africa. There will be an few obstacles to overcome by your RSA employer to do offshore payments as they need to work through the Reserve bank. Ensure & check that has been done 1-2 times before you leave there. c. There were also a few cases where expats still have their own businesses in South Africa and get regular equity payments etc. Search on the forum for "South African employer" for tax implications Once in Australia get yourself an expat tax consultant ( @Gerhardk ) to do your tax. Edited March 9, 2019 by ottg Quote Link to comment Share on other sites More sharing options...
Nev Posted March 11, 2019 Report Share Posted March 11, 2019 We do a lot of employing internationally as a company, It is not the exact same as you but the concepts apply To agree with ottg you should get a tax person to confirm, but how we do it is to just have the overseas contractors send us an invoice, then we pay them like an overseas vendor, super simple, tax and benifits are the contractors problem, and normally they just spin up a business to handle it all Quote Link to comment Share on other sites More sharing options...
iambrettstar Posted March 11, 2019 Report Share Posted March 11, 2019 @tctctc I'm in your situation. I created a company and invoice my old SA company monthly - they pay to my company account in A$, and I then pay expenses from there and pay myself a wage to my personal account. My accountant sorts out the tax + super and all that. I don't have a credit card, but I do have a car-loan: the interest rate was hiked up a bit, since my company has only been around for a few months, and I had to provide a ton of paperwork, bank statements, contracts etc., and I will totally refinance in a month or two to get a better rate elsewhere. I got an accountant here to assist with everything. I work from home, so I can claim deductions etc. for tax benefits, and the savings I get by having my accountant do these things for me is greater than the cost of my accountant, so it was a no-brainer. I haven't really thought about the longer term implications - I guess if applying for a mortgage there might be some hold-ups, but I'll let future me handle that one. Feel free to PM me if you want to chat more. Quote Link to comment Share on other sites More sharing options...
tctctc Posted March 12, 2019 Author Report Share Posted March 12, 2019 Thanks for the replies @ottg@Nev @iambrettstar. I appreciate it. Quote Link to comment Share on other sites More sharing options...
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