# Working for Australian Company In USA



## JustinB23 (Sep 5, 2012)

Hello everyone!
I recently lived in Australia for a year on a Work and Holiday Visa. The place I worked for involved online marketing/web design/SEO, & they've offered me a part-time, ongoing position while I live back in America/travel (guess they like my work!)
My question is, how can I set this up? I no longer have an Australian Visa, so I don't think I can have them continue to pay me in my Australia bank account, which I plan to close out anyways. I assume I can set-up some private contractor status, and have them deposit directly into my American account, but I have no idea how this works honestly.

Also, I don't know if I should post here or in the Australian forum. 

So, in summation, American citizen, looking to work remotely for Australian company whilst living in USA. Is it possible?

Thanks so much for your help!

Cheers!


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## Bevdeforges (Nov 16, 2007)

It's possible - though you need to be straight with your employer about your status. If you are a contractor, then it's up to you to pay the appropriate taxes and withholdings to the US authorities (IRS and Social Security, mostly).

Your Australian employer can pay you however you arrange it with them - directly into your Australian bank account (which you would then have to transfer over as needed or desired) or you can invoice them from the US and have them pay you in US dollars by check or wire transfer.

Just be careful, as a contractor has more expenses than an employee - you provide your own facilities, computers, office supplies, and you pay your own (US) taxes and social security. For social security purposes, the "self employment tax" is double what you'd pay if you were working for a US employer. You also will need to do your own bookkeeping so that you can report your earnings (probably via a Schedule C) and for that you need to keep track of all your expenses connected with your work.
Cheers,
Bev


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## JustinB23 (Sep 5, 2012)

Bevdeforges said:


> It's possible - though you need to be straight with your employer about your status. If you are a contractor, then it's up to you to pay the appropriate taxes and withholdings to the US authorities (IRS and Social Security, mostly).
> 
> Your Australian employer can pay you however you arrange it with them - directly into your Australian bank account (which you would then have to transfer over as needed or desired) or you can invoice them from the US and have them pay you in US dollars by check or wire transfer.
> 
> ...


Thank you for the response!

Just an additional couple of comments. If I hold another job that pays into social security in addition to this one, will I still have to pay the double-rate? I presume so. 

Also, to your knowledge, will I also have to pay Australian tax, or will the company? Or neither?

Once again, Thanks for your help!


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## Bevdeforges (Nov 16, 2007)

If you're not resident in Australia, you shouldn't normally be subject to Australian taxation. And as long as you are invoicing the company, they shouldn't have to pay any taxes other than whatever they'd normally pay on the use of a foreign vendor.

If you hold a "regular" job in the US, you'll have regular social security (and whatever other) withholdings. Working as a contractor is something apart, and unless you exceed the cap on SS earnings in total, I don't believe you're entitled to any special treatment in your contractor role.
Cheers,
Bev


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