Have you created a global team at your tech company? Have you found that a global remote workforce benefits your company in a variety of ways? Maybe you are just getting started creating a global team? No matter what stage you and your company are at with your global team, payroll will always be one of the biggest challenges that you face and you may be stuck.
TRUSS wants to help you hire the global talent that you need and we want to help you find the best way to manage that team. To help create a better understanding of how payroll works with a global team, we have created a quick guide to the 3 Ways to Run Global Payroll.
TRUSS provides tech companies with the support they need to find, recruit, and hire talent in Central Asian countries that include – Kazakhstan, Uzbekistan, and Georgia. The support provided by the TRUSS Team does not end there. We will help you onboard, manage, and provide payroll support for your global workforce.
Contact TRUSS today to learn more about our services and prices!
READ MORE: Best Ways to Hire Global Remote Talent
What Are the 3 Most Common Global Payroll Models?
When you build a global remote team in emerging markets, payroll is a primary concern for many companies with challenges that include – international labor laws and tax codes, data provided by multiple teams in different countries, creating comprehensive payroll reports for a distributed team, how to pay wages in different countries, and payroll data security.
U.S.-based tech companies who hire international talent to their team and need to find a way to manage payroll will find three common global payroll models – In-House, Decentralized, and Centralized. Here is a better look at each payroll model and how it can help you manage a remote workforce located across the globe.
READ MORE: Best Way to Work with Teams in Different Time Zones
In-House Global Payroll Model
Are you hoping to start a separate office in a different country? The In-House Global Payroll Model may be the right fit for your company and is intended for companies that want complete control of the payroll, employee data, and the hiring process within their own organization and have a separate payroll team to serve each team in each location. The benefits of this global payroll model is total control by your company, clear oversight by the management team, and the ability to use your own payroll practices. The chief challenge associated with this model is the need to have an in-house payroll team around the globe – which means more time and money.
Decentralized Global Payroll Model
The Decentralized Global Payroll Model is a hybrid payroll system that incorporates your own HR department and payroll staff working with In-Country Payroll Processing Partners (ICPs) in each country where you have a remote team. With this model, many companies possess an in-country network to manage each interaction one at a time. When you employ this global payroll model, the in-country providers give you immediate cultural insight that helps mitigate compliance risks. The main challenge of the decentralized model is that you may have to manage multiple payroll vendors in multiple countries, regions, and time zones – which can be inconsistent and time consuming when you have to find the right ICPs.
Centralized Global Payroll Model
The Centralize Global Payroll Model is a versatile option with a pair of variations – Aggregator and Unified Provider. With the centralized model, your company employs a single provider that coordinates and manages the activity of the in-country providers for your team. The key difference between Aggregator and Unified Provider is that the aggregator model employs a series of in-country vendors to support your global team and with the unified provider model all payroll issues are handled by a single provider with a unified platform that can handle a variety of human resources elements. The biggest benefit of this model is that it can be very cost-effective and efficient with payroll data accessible via a single provider. The challenge to this model is that you need to find a single provider that you can trust, that needs to be carefully vetted.
READ MORE: Best Regions to Build Your Global Remote Team
How Can TRUSS Help Manage a Global Team?
How do you manage a global team? It is a question we hear a lot here at TRUSS – and we are here to help. TRUSS provides tech companies with a comprehensive platform to help recruit, hire, and manage a remote team in Central Asia. We have a global team to help you find, recruit, and hire the right people for your company to succeed and when you have found the right fit, we have the capabilities to help you onboard and manage your global team – which includes payroll. To help you remain compliant with local employment laws, the TRUSS Team can serve as your employer of record in Central Asia.
Global payroll can be a challenge for companies that want to hire a global team and we hope that this guide to the best 3 Ways to Run Global Payroll has helped you understand your options. Contact TRUSS today to get the help you need with global payroll!
