Papaya Launches Global Equity and Contractor Management Features
Alex Margolin| Jun 30, 2020
Being the world’s best global payroll platform for the entire workforce (payroll, EoR, and contractors) means constant improvement. For Papaya, that means creating new ways to simplify your global expansion.
Our newest offerings, launched today, provide tools to incentivize your workforce globally and make contractor management easy.
The new features let you:
• Provide any type of equity plan for your global employees
• Overcome compliance gaps in your global equity plan
• Hire contractors without risk of misclassification
• Validate and pay contractor invoices automatically in different languages, currencies, and formats
All of Papaya’s offerings are backed by Papaya’s advanced compliance intelligence alongside our real time reporting, and state-of-the-art privacy and security features.
Extending Equity Plans to a Global Workforce
In today’s business environment, it’s common for companies to offer equity to their employees. Those that don’t, lose a competitive edge in hiring and retaining global employees.
Offering your local plan to employees abroad, however, is complicated and expensive. Equity is highly regulated, with different tax laws, securities procedures, labor laws, and accounting codifications (GAAP) in every country.
Different plans also have different tax ramifications. Stock options (ESOP), for example, become taxable only if exercised while Restricted Stock Units (RSU) vest automatically and are immediately taxable. Employee Stock Purchase Plans (ESPP) offer a preferable tax rate, but only for qualifying programs, which differ from country to country.
Companies that want to give equities to employees globally face a compliance risk if they don’t have a tax expert and legal advisor in every country who know how to administer the plans and deduct the proper taxes. Failing to comply with the entire maze of regulations can result in heavy fines.
Or you can simply let Papaya manage the whole process for you. From plan management to ongoing tax calculations, Papaya administers the whole global program.
Papaya supports every type of equity plan (e.g. RSU, ESOP, ESPP) and all types of employment (payroll, employer of record, and contractors) in more than 100 countries.
Offering equity to global employees used to be prohibitively complicated and expensive. With Papaya, it’s simple and affordable.
For more information view our global equity management solution.
Managing Contractors Globally – with No Compliance Risk
The “gig economy,” which includes 35% of US workers alone (a whopping 57 million people), has made it cost-effective to hire independent contractors for all types of short-term projects.
Working with overseas contractors, however, can be a compliance risk. Inadvertently misclassifying those who should be classified as employees can lead to significant fines. Each country has its own classification rules.
It can also be labor-intensive. Collecting and processing countless invoices each month in different languages, currencies, and formats is overwhelming and prone to error.
Papaya’s new contractor management offering makes it a snap.
Papaya signs the contracts, accepting full legal liability for your contractors. Papaya’s platform collects invoices for all your contractors and validates each one, ensuring accuracy, then manages cross-border payments to all your global contractors with the touch of a button.
You choose the talent. We manage the rest.
For more information view our global contractor management solution
Get the Papaya Experience
Papaya’s award-winning cloud-based SaaS platform provides an end-to-end solution for global workforce management, from onboarding to on-going management to cross-border payments.
The automated platform ensures payroll compliance, provides benefit management, and ensures data privacy in compliance with GDPR. Papaya’s knowledge center provides updated information on salary benchmarks, mandatory benefits, tax rates, and more – everything you need to know before hiring overseas.
Papaya’s three-tier governance model provides a powerful safeguard for compliance and accuracy. A dedicated project manager oversees all your projects and serves as the single point of contact. Our Center of Excellence answers questions and gives on-going support. Our in-country partners stay informed of labor or tax law changes so you are always in compliance.
Contact us for a strategic consultation. We can help with budget planning, compliance, and a plan for management and communication for your distributed workforce.