Can Non-US Citizens Work for US Companies and Live Abroad?

Yes — non-US citizens can legally work for US companies while living abroad, provided they have employer consent, comply with local visa rules, and pay taxes in their country of tax residence. Here's what you need to know before getting started.

At a glance: can non-US citizens work for US companies remotely?

Working remotely for an American company while living outside the US as a non-US citizen is totally viable. However, there are a few legal and logistical factors to be aware of to ensure you're complying with foreign jurisdictions.

How do non-US citizens work legally for US companies from abroad?

Here are five things digital nomads and non-US citizens living abroad need to get right when working remotely for a US company.

1. Get consent from your employer and establish your worker classification

Not all companies are open to their international hires traveling and working remotely in another country. This may be an arbitrary preference of the US employers, or it may be for legal reasons.

You should share your desire to work remotely abroad early in the interview and hiring process. This will ensure you and the company are a good match for each other in advance. It will also give the company time to determine the appropriate worker classification.

Your worker classification is important when deciding to work remotely from another country as it will set out your working relationship with the US company.

The main two types of worker classifications are employees and independent contractors. When it comes to remote working while living abroad, working as an independent contractor has advantages.

Unlike full-time employees who must work according to a company-regulated schedule, independent contractors have much more freedom and independence over their work.

Countries each draw the line between contractor and employee in slightly different places. But generally, contractors decide how, when, and most importantly, where they complete a given project.

Should you decide one day to relocate to a country with an entirely different time zone, working as a contractor gives you the autonomy to adapt your working schedule as you see fit. This also frees the company from navigating different employee benefits and tax laws as you move from country to country.

If a US company already employs you, the employer could consider reclassifying you as an independent contractor. But be aware that the working relationship must also change to reflect this.

Suppose the company continues to treat you like an employee, such as controlling your work methods. In that case, the company will be subject to misclassification and could face penalties.

It's also worth mentioning that independent contractors do not receive employee benefits and have different tax obligations to employees, which we will explain in the next section. Employees are entitled to the same mandatory benefits they would receive in their home country.

2. File taxes with your country of tax residence and complete form W-8BEN when requested

Regardless of worker classification, all non-US citizens working for US companies will pay taxes in their country of tax residence, even if they're traveling or temporarily abroad.

You only pay US taxes if you earn US-sourced income while physically present in the country. If you work remotely from another country, your income isn't US-sourced, thus, isn't taxed in the US.

Both employees and contractors must pay taxes in their home country, which is typically determined by the 183 days taxation rule. This rule means a person residing in one country for over 183 days a year is considered a tax resident and should pay income taxes on their US-earned income.

Contractors are self-employed and must therefore file a self-assessment tax return to report their foreign-earned income to their local tax authority. Employees will have their taxes withheld and filed by the US employer to the employee's local tax authority.

If you move around as a digital nomad, you pay taxes wherever you have the most residential ties. Depending on your worker status, you or your employer may need to file multiple tax returns if you qualify as a resident in multiple countries.

Local governments recommend that contractors continue to pay their social security contributions while living outside of their home country to ensure they receive benefit entitlements such as state pensions and unemployment allowances, depending on what their home country provides.

Avoid US tax implications with form W-8BEN.

The company paying you may request that you complete form W-8BEN and submit it back to them to certify that your country of residence for tax purposes is not the United States. This form frees you from the requirement to file a US tax return with the Internal Revenue Service (IRS).

Once you file form W-8BEN, this form is good for the next three years.

Independent contractors seeking professional tax advice can use Deel's Tax Advice Marketplace on the Deel platform to get help from a qualified tax advisor.

3. Know the local visa and permit requirements before you travel

Before booking your flights, look into your chosen country's unique visa requirements and permit regulations. Different countries and regions allow different lengths of stay and have specific eligibility criteria and requirements.

Option 1: Apply for a tourist visa for short-term stays (90–180 days)

Many countries allow non-residents to work remotely for a maximum of 90 days or 180 days, depending on the country, without obtaining a work visa or sponsorship. This arrangement works well for those who choose to live the digital nomad lifestyle and are happy to move to a new country every few months.

Option 2: Apply for a remote work/digital nomad visa for medium-term stays (6, 12, or 24 months)

If you hope to stay in one country for an extended period, you can choose from these countries that offer digital nomad visas. This type of visa has become especially popular following the pandemic as countries increase efforts to fill talent shortages and boost economies. Check each country's conditions, application process, and costs before applying.

Option 3: Apply for a work permit or residency permit for long-term and permanent stays

If you intend to live in a foreign country long-term as an expat, be aware of the local regulations as they vary between countries. Many countries require you to apply for the appropriate visa and, upon arrival, obtain a work permit or residency permit, depending on your nationality. Sometimes, these visas require sponsorship from your employer or an EOR.

After a certain period, you may be able to apply for permanent resident status. At which point, the country becomes your new country of tax residence. If you are an independent contractor, you must fulfill the local tax obligations of this country. If you are an employee, you must inform your employer of your change in residency, as this will impact their corporate tax liability and compliance with employment laws.

4. Do not interact with the local market as a remote worker (unless permitted by the country)

Typically it is against local labor laws to interact with the local workforce or participate in "economic activities" as a remote worker for a US company. Activities include:

• Performing work for domestic subsidiaries or local employers
• Employing, soliciting, or contracting workers from the local labor force
• Providing services or selling goods to the local market

For example, suppose the company asks you to attend a networking event with local people, or you decide to outsource your work to a local freelancer. In that case, you have interacted with the local market and have participated in economic activities within that country.

If the local authorities catch you, they may revoke your visa and charge you with immigration fraud. This charge could waive any future visa applications or result in deportation.

Some countries, however, such as Canada, have included special clauses in their digital nomad visa programs that permit interaction with the local labor market.

Top tip: Request a Digital Nomad Policy from your hiring company that outlines which work activities are acceptable across borders and which aren't.

5. Understand the different payment options

There are several dozen payment methods for getting paid as an international remote employee or contractor.

Payment options for nomadic employees

Employees can receive payment from their international employers through direct deposit into their local bank account. However, if you plan to use your local bank card for transactions and ATM withdrawals abroad, depending on your bank, you're likely to incur fees.

Consider depositing funds from your domestic bank account into digital banking platforms such as PayPal, Payoneer, Revolut, or Wise to avoid or reduce these fees. Depending on which neo-bank you choose, you may be able to convert your money into different currencies at the market rate with no premium on top, and make international ATM withdrawals and transactions without excessive charges.

If your employer uses Deel Payroll, nomadic employees benefit from a number of features designed specifically for cross-border working:

• Local currency payments — Deel's Treasury Services pay employees directly in their local currency, so there's no FX overhead regardless of which country you're banking in
• Anytime Pay — access a portion of your earned salary before your scheduled payday, directly to your registered bank account — useful for managing cashflow when you're moving between countries or time zones. Available to EOR and direct payroll employees in supported countries via the Finance tab on your Deel dashboard
• Country-specific compliance, handled automatically — when your tax jurisdiction changes because you've relocated, Deel manages the local tax filings, statutory deductions, and labor law requirements for your new country without your employer needing to switch tools
• Expat payroll support — for internationally mobile employees, Deel has a dedicated process covering shadow payroll and cross-border tax treatment, so complex expat situations don't fall through the cracks
• Entity transfers — if you move to a country where your employer operates through a different legal entity, Deel supports a structured transfer that keeps payroll running without interruption
• Flexible payment methods — employers can pay via Deel, Client Direct Pay, or a Hybrid approach depending on local banking infrastructure in your country

This makes Deel Payroll particularly well-suited for employees who relocate frequently or work across multiple countries throughout the year.

Payment options for nomadic contractors

Independent contractors can take advantage of more flexible payment options and have clients pay them directly into digital banking apps like PayPal, Payoneer, Revolut, or Wise. However, these aren't available in every country.

Companies that partner with Deel give their contractors access to one of the most flexible payment setups available for location-independent workers:

• 15+ withdrawal methods — including PayPal, Wise, Payoneer, DolarApp, Coinbase, Deel Card, and more, so you're never tied to a single banking country or infrastructure regardless of where you're currently based
• 120+ currencies including crypto — get paid in the currency that works for wherever you are, with no need to maintain a fixed local bank account
• Deel Card — a virtual or physical card linked directly to your Deel balance, usable globally for day-to-day spending across jurisdictions. Unlike a preloaded card, it draws directly from your earnings as you need them
• Deel Advance — access up to 30 days of earnings early for a 3% fee, useful for covering visa fees, relocation costs, or bridging cashflow gaps between moves or clients
• Automatic invoicing — Deel generates invoices on your behalf, removing admin overhead regardless of which country you're operating from
• In-platform tax advice — connect with certified local tax advisors per country directly through Deel, critical for nomads navigating multiple tax jurisdictions in a single year
• Perks and discounts — access to discounts on household brands including Booking.com and ExpressVPN, built directly into the contractor experience

Contractors can manage all of this — withdrawal methods, invoicing, tax advice, and advances — from a single Deel dashboard, wherever in the world they're working from.

Employer checklist: what US companies need to consider when a non-US employee works abroad

If you're a US employer with non-US staff working remotely from another country, here's what to plan for:

• Permanent establishment risk — if an employee works from a country long enough, it can create a taxable presence for your company in that country, even if you have no office there
• Payroll compliance — you may need to run local payroll or use an EOR to stay compliant with local employment laws
• Benefits obligations — employees working abroad may be entitled to local statutory benefits (healthcare, pension contributions, paid leave) under that country's labor law
• Social security treaties — the US has totalization agreements with many countries to avoid double social security contributions; check whether one applies
• Contract review — employment contracts should specify which country's law governs the relationship and how disputes are resolved
• Data privacy — employees working from the EU, for example, trigger GDPR obligations even if the employer is based in the US

The simplest way to manage this compliantly is through Deel. If the worker needs to be employed locally, Deel's EOR service handles local payroll, benefits, and compliance on your behalf — without you needing to set up a local entity. If the worker needs the right visa or work permit to operate in their country, Deel Mobility manages the full immigration process from application to approval.

Embrace the digital nomad lifestyle with Deel Mobility

Whether you're a remote worker trying to navigate the global workplace or a US company looking to hire or manage a remote international team, Deel can help.

Our global platform provides the following:

• Global hiring options
• Global payroll and payment options
• Visa and immigration support
• HR tools for global workforce management and engagement
• Equipment provisioning
• Flexible workspace memberships
• Misclassification protection for contractors
• Benefits administration
• Background checks
• Equity management

Want to learn more about how Deel works? Book a free consultation below to get your questions answered.