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Tips on Working for a US Company While Living in Venezuela

Written by Nexton | Nov 15, 2021 7:23:08 PM

Disclaimer: This article is not a substitute for legal nor accounting advice. Look for professional advice before you take action.

As a senior developer, you’re probably familiar with the benefits of becoming a remote worker for a US company, such as a stable salary in USD, flexible working hours, great company culture, company benefits, and much more. However, understanding the contractual agreements of remote work, the visa and tax regulations governing remote workers, and how to manage international payments can seem daunting. 

In this article, however, we’ll help you understand the basics of working as a remote worker in Venezuela, including what taxes you need to pay, whether or not you need a US work visa, how to receive payments, and more.

Do Remote Workers From Venezuela Need Remote Work Visas?

No, foreign remote workers do not need a visa to work for companies in the US. As long as the worker doesn’t reside inside the US, they are considered separate legal entities to regular employees and aren’t subject to US employment law. 

What Kind of Work Agreements Do Remote Workers Sign With Their Employees? 

Some remote workers choose to work on a per-project basis or as freelancers who take on multiple clients/projects at once. Many individuals who work in this fashion choose not to sign formal agreements with their employers/clients, and instead simply use informal proposals to manage their rates and deliverables.

At Nexton, however, we specialize in helping senior software engineers find long-term employment opportunities with US software companies. All of the jobs we present to our talent are governed by formal remote work contracts that outline: 

  • The company’s work policy, 
  • Compensation, benefits, and payment/billing procedures. 
  • The equipment/services needed in order for the worker to do their job. 
  • Termination policy. 

What Taxes Must Remote Workers From Venezuela Pay?

In stark contrast to other Latin American countries such as Brazil, Argentina, and Colombia, Venezuela has very vague laws regarding remote work. While Venezuelan employment allows for citizens to work remotely, its tax authorities make no distinction between remote workers and regular employees. 

Instead, remote workers that work in Venezuela will be charged progressive tax rates based on their income (measured in tax units). Tax rates vary from 6% to 34%. 

How To Manage Payments for Remote Work In Venezuela? 

One of the main benefits of taking on remote work as a software engineer in Venezuela is getting paid in USD. Unfortunately, receiving your software developer salary inside Venezuela from an international source and in foreign currency can be tricky. 

At Nexton, we do not manage any payments on behalf of talent. However, we can recommend some of the following alternatives to help remote workers manage their payments within Venezuela. As opposed to banks, these payment platforms and wallets offer more competitive exchange rates and, in some cases, lower fees: 

  • Bitcoin or other cryptocurrencies. Decentralized cryptocurrencies like Bitcoin, Ethereum, Binance, USDT and Tether (to name just a few) are becoming ever more popular among remote workers receiving international payments. As a remote worker, consider asking your employer to receive part or all of your salary in crypto for faster, easier transactions. 
  • Payoneer. It is a global payment platform that allows its users to set up multicurrency accounts, create invoices for billing, and more. Payoneer operates within Venezuela, and users may also be eligible for a Payoneer Mastercard, to use in local establishments. . 
  • Paypal. It is a leading online payment platform that’s increasingly popular among Venezuelan remote workers and freelancers. Due to the economic crisis in Venezuela, businesses and retailers are also turning to the platform to handle their payments

Start Remote Work At US Companies Today

At Nexton, we specialize in connecting talented LATAM developers with the best software engineering jobs at US companies. Now that you understand the basics of how to become a remote worker in Venezuela, you can contact us to kickstart your remote engineering career and start reaping the benefits of working from home.