Setting up Payroll for Expatriate Employees

You can include expatriate (expat) employees in payroll. The zip code you use for the workplace address and the employee’s home address governs the tax withholding for expatriates.

Use the zip code 00000 for expatriates. When the workplace zip code is 00000, appropriate federal taxes are withheld. When the employee’s home zip code is 00000, no state or local taxes are withheld.

Note:

Employees who live in the United States but work in another country are not considered expatriates and are not supported in SuitePeople U.S. Payroll. Likewise, employees who live in another country but work in the United States are not considered expatriates and are not supported in the SuitePeople U.S. Payroll.

To include an expatriate in payroll:

  1. Create a new workplace. For more information, see Entering Workplace Records for Payroll.

    1. Go to Lists > Employees > Workplaces > New.

    2. Enter a Name for the workplace, for example, Expatriate or Expat plus an identifier if you have employees in multiple foreign locations.

    3. Click the Edit link on the Address subtab to open the address popup.

    4. Enter an address including a minimum of State and Zip. The Zip must be 00000 and the Country must be United States.

    5. Click OK, and save the record.

  2. Set up the employee’s address.

    1. Go to Lists > Employees > Employees.

    2. Click Edit next to the name of an existing employee, or click New Employee. For instructions for new employees, see Adding an Employee.

    3. On the Address subtab, add a new home address or edit an existing one. For more information, see Entering an Address for an Employee.

      Enter a Zip, which must be 00000.

  3. Link the employee to the expatriate workplace.

    1. On the employee record, go to the Payroll subtab.

    2. From the Workplace list, select the workplace that you created for the expatriate in step 1.

  4. Enter a Zip, which must be 00000.

  5. Save the employee record.

  6. Synchronize the updates to payroll.

    1. Go to Setup > Payroll > Update Payroll Information.

    2. Select a Subsidiary if you have a OneWorld account.

    3. Read the statement that begins with I have reviewed all payroll information..., and then check the Agree box.

    4. Click Commit Updates. For more information, see Updating Payroll Information.

Related Topics

General Notices