International payment for Design Job

Discussion in 'Design and Graphics' started by John J Rambo, Jun 2, 2011.

  1. John J Rambo macrumors member

    Joined:
    Mar 10, 2010
    Location:
    Belfast
    #1
    Hi guys,

    I live in the UK and I have just completed a job for a client in America, its my first international job so I wasnt really sure how to sort payment.

    We agreed a fee in $ that would be transferred to my bank account.

    I was wondering if I should expect to receive the full amount converted into sterling or would I be charged any fees?

    The reason I ask is that the fee that arrived looks a little short on what I had been working out via online convertors for the daily rates...

    thanks in advance for the help.
     
  2. arkitect, Jun 2, 2011
    Last edited: Jun 2, 2011

    arkitect macrumors 601

    arkitect

    Joined:
    Sep 5, 2005
    Location:
    Bath, United Kingdom
    #2
    Unless your client pays all fees for the transfer you will always receive less than the invoiced amount.
    And do not forget that banks use their own exchange rate which bear little resemblance to online exchange calculators.
    *Hint* They do not calculate in your favour. :eek:

    If you will be doing lots of US work it is worth looking into opening a USD account.
     
  3. opeter macrumors 65816

    opeter

    Joined:
    Aug 5, 2007
    Location:
    Slovenia, EU
  4. arkitect macrumors 601

    arkitect

    Joined:
    Sep 5, 2005
    Location:
    Bath, United Kingdom
    #4
    :confused:
    And you say that… why exactly?
     
  5. opeter macrumors 65816

    opeter

    Joined:
    Aug 5, 2007
    Location:
    Slovenia, EU
    #5
    Because of exchange rates, administration "borders" etc.
    And I did not even mention that, it is also more complicated, if you are outside of the EU or USA.
     
  6. arkitect macrumors 601

    arkitect

    Joined:
    Sep 5, 2005
    Location:
    Bath, United Kingdom
    #6
    Certainly you have to be more careful with an international client, but I would never say it is not worth it.

    In this case the OP should have stipulated his fee is payable in GBP (Not USD) and transfer fees are payable by the remitter.
    Then the exchange rate would not have concerned him.

    And why is it more complicated for someone outside the EU or US to do foreign work? :confused:
    I can't imagine anyone being refused having money transfered into their account. Of course individual countries have different levels of extortionate taxes, but that is another issue. :)

    I am not trying to be argumentative here, just speaking as someone who actually does do quite a bit of work internationally. On the other hand I didn't learn it all in my first transaction either. :p
     
  7. DesignerOnMac macrumors 6502a

    DesignerOnMac

    Joined:
    Jul 23, 2007
    #7
    If the funds were wired to you from America, you need to take into consideration the wire fees. With Bush and the Patriot Act, the wire fees almost doubled. The Bush administration did this to track laundered money etc. Also some banks add their own little charge and deduct it from the wired funds.

    Have you considered a PayPal account? I'd look into it.

    Having work or no work is the point here, and not whether you accept international design work. On the next job, add it the wire and bank fees.
     
  8. Jim Campbell macrumors 6502a

    Jim Campbell

    Joined:
    Dec 6, 2006
    Location:
    A World of my Own; UK
    #8
    I live and work in the UK, but I derive almost half my income from US clients. Some do bank transfers, some use Paypal, ironically the most favourable in terms of exchange rate and fees is a foreign currency cheque -- First Direct (my bank) use a very fair exchange rate and their fee is 0.5% of the cheque's value, minimum £5 and max £50. The downside is that if they decide to present the cheque to the original US bank before they'll clear the funds into your account, it can take up to six weeks to see the money.

    Yes, it is a bit galling to see a large chunk of your money disappear in exchange or transaction fees, but you only need to declare the net amount as taxable income, and paid work is better than no work.

    Cheers

    Jim
     
  9. Jim Campbell macrumors 6502a

    Jim Campbell

    Joined:
    Dec 6, 2006
    Location:
    A World of my Own; UK
    #9
    Speaking as someone directly involved in a UK publishing project which has backers outside the EU, I can confirm that moving money into the EU from outside is whole orders of magnitude more difficult than moving it around within the EU. Money transfers attract far greater suspicion from the banks and everyone is terrified of getting smacked with anti-terrorism or anti-money-laundering laws, so if the 'i's aren't all dotted and the 't's crossed just so, they'll bounce the transfer back to the originating bank.

    Cheers

    Jim
     
  10. Consultant macrumors G5

    Consultant

    Joined:
    Jun 27, 2007
    #10
    Can be easily done with PayPal for those who don't mind the fees.
     
  11. Jim Campbell macrumors 6502a

    Jim Campbell

    Joined:
    Dec 6, 2006
    Location:
    A World of my Own; UK
    #11
    Ever tried getting a Paypal account in Bosnia? I'm told it's not so straightforward.

    Cheers

    Jim
     
  12. ezekielrage_99 macrumors 68040

    ezekielrage_99

    Joined:
    Oct 12, 2005
    #12
    +1 for that, unless the project has a budget of $USD50K+ you'll end up loosing with exchange rates, foreign currency conversion fees via the banks and Government taxing issues (generally speaking double dipping).

    Otherwise Western Union could work :p
     
  13. Consultant macrumors G5

    Consultant

    Joined:
    Jun 27, 2007
    #13
    He is based in UK.
     
  14. opeter macrumors 65816

    opeter

    Joined:
    Aug 5, 2007
    Location:
    Slovenia, EU
    #14
    Yes, the OP is based in UK. But I trought on this whole "thing" as an ordinary situation. You think designers are located only in the UK or US of A? Step outside of your office, please.

    Sadly, it is very complicated, to do jobs (not only design jobs) and get payed outside of the EU and USA.
     
  15. Jim Campbell macrumors 6502a

    Jim Campbell

    Joined:
    Dec 6, 2006
    Location:
    A World of my Own; UK
    #15
    You're not reading what I'm writing.

    I said: moving money into the EU is harder than moving money around the EU.

    You said: get a PayPal account.

    I said: Getting a PayPal account in Bosnia isn't that easy, because the person sending the money needs an account as well as the one receiving.

    I use Bosnia as an example because that is the example I'm familiar with, as I explained previously. The publication I'm involved with has a Bosnian backer, and the finances have been murderously complex, precisely because Bosnia is not (yet) in the EU.

    I offered this example in response to arkitect's specific query:

    Country of origin for the payment makes a huge difference. Trying cashing a cheque sent from Nigeria some time.

    Cheers

    Jim
     

Share This Page