I have started working for a Japanese company, and will relocate to Japan in about two months. I haven’t started the visa process. For the initial two months, I will be working remotely from my home country for the office in Japan. Can someone point to me how to get my salary paid directly by the Japanese company? They are a small company and they are also not sure. I also read that I cannot open a bank account in Japan to receive the salary and then transfer it back to my home country. I do have an option to receive the payment to a bank account in my home country. In this case, do they have to deduct income tax, pension etc as applicable in Japan and deposit the remainder in the bank account in my home country?
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Did this with my employer while I was overseas. Essentially, I signed a full time employee contract, and at the same time signed a document to be hired as a contractor until I was in Japan.
What they had me do is bill the company for my monthly salary each month, and they’d deposit it to my local bank account in my currency without deducting taxes (since the work wasn’t occurring in Japan).
You will be responsible for paying taxes in your home country on this amount during tax time, so estimate that and put money aside for when that time comes.
There are many ways to transfer money from them to you. I believe my employer used Wise, which is far better than doing an international money transfer through traditional means (banks here charge large fees to send money internationally).
Hope this helps give you some ideas!
They will have to deduct 20.42% withholding tax on salaries paid overseas. But they probably have a tax accountant that handles there taxes and maybe their payroll, so they should just ask them.