Freelancers, designers, developers, marketers, and teams of specialists in Russia continue to provide in-demand services to international clients. However, sanctions, restrictions, and the inability to use standard SWIFT transfers have created significant barriers for those working in the global market.
Imagine you’ve just completed a major project for a client in Europe or the US and are waiting for payment, but now you can’t receive the funds directly, and other options are time-consuming and costly. Additionally, you want to avoid losses during currency conversion to retain as much of your earnings as possible.
Finding a reliable method to receive payments is more critical than ever. In this article, we’ll examine the available solutions for freelancers and small businesses to get paid from abroad—and how NoWALL can simplify the process.
Available Payment Options: Pros and Cons
1. Direct Bank Transfers (SWIFT)
How It Works:
To receive funds through a traditional SWIFT transfer, the sender must provide the recipient’s full banking details, including the SWIFT code of the Russian bank. The sending and receiving banks process the transaction, and the money is deposited into a Russian bank account.
Advantages:
- Widespread SWIFT availability makes it convenient for recipients in most countries.
- Suitable for sending large sums.
Disadvantages:
- Several Russian banks have been disconnected from SWIFT, making this method inaccessible for many.
- High fees for international transfers.
- Long processing times; transactions may take several days.
- Risk of rejection if the sending bank has restrictions on transfers to Russia.
Best For:
This method is ideal for those with access to SWIFT-enabled banks not affected by sanctions. However, for freelancers working with smaller amounts, this method may be inconvenient due to delays and high costs.
2. Online Payment Systems (PayPal, Payoneer)
How It Works:
Platforms like PayPal and Payoneer allow users to receive payments from clients and then withdraw the funds to a bank account or use linked payment cards.
Advantages:
- Quick payment processing and user-friendly interfaces.
- Support for multiple currencies with conversion options.
Disadvantages:
- Restricted use in Russia due to sanctions; for example, PayPal no longer supports payments to Russian users.
- High fees for currency conversion and withdrawals.
- Some systems do not allow direct transfers to Russian bank accounts, requiring a foreign bank link instead.
Best For:
This option suits those already working with international payment systems and able to withdraw funds abroad. However, it has become less viable for most Russian freelancers due to restrictions.
3. Cryptocurrency Payments
How It Works:
Recipients register a cryptocurrency wallet, receive payments in cryptocurrency, and exchange them for rubles through an exchange or swap service.
Advantages:
- Independent of traditional financial institutions and sanctions.
- Fast transfers and direct transactions with international clients.
Disadvantages:
- Cryptocurrency volatility may result in value loss during conversion.
- Fees for withdrawals and exchanges.
- Requires technical knowledge and security precautions.
Best For:
This method is convenient for experienced cryptocurrency users but may not be ideal for those prioritizing stability and avoiding currency risks.
4. Receiving Payments on a NoWALL Virtual Payroll Card
Unlike the options above, NoWALL offers a simple and reliable way to receive international payments in rubles via a virtual payroll card.
How It Works:
Step 1: Provide Your Details
Verify your identity with NoWALL’s manager by submitting required documents (passport or other ID) in compliance with international security and anti-money laundering standards (KYC/AML).
Step 2: Get a Virtual Payroll Card
Once issued, your virtual payroll card becomes available immediately. You have sole control over your accounts, and this electronic card functions like a standard debit card, enabling you to receive international transfers from employers.
Step 3: Receive Transfers
Share your card details with your employer, who can transfer your salary via international payment systems such as SWIFT.
Step 4: Currency Conversion and Withdrawals
Funds received in foreign currencies (e.g., USD or EUR) are automatically converted into rubles at a competitive market rate. This minimizes losses from unfavorable exchange rates.
Use your rubles for:
- Online purchases and services.
- Transferring funds to Russian bank accounts.
Advantages of NoWALL for Receiving Salaries:
- Quickly receive payments without delays or unnecessary fees.
- Supported for various currencies (USD, EUR, etc.), with automated conversions into rubles.
Taxation on International Payments
It’s important to note that income received from abroad is subject to taxation in Russia. Residents are taxed at 13%, while non-residents face a 30% rate.
To comply with tax regulations:
- Declare your income by filing a tax return.
- Convert your income into rubles using the Central Bank of Russia’s official exchange rate on the date of receipt.
- Pay your taxes before the deadline.
NoWALL does not act as a tax agent, so users are responsible for handling their tax obligations.
Conclusion
NoWALL offers freelancers and small businesses a convenient solution for receiving international payments. The NoWALL payroll card is a reliable, fast, and user-friendly tool that allows you to get paid without delays, extra fees, or currency risks.
Open your virtual card in just 15 minutes and start receiving payments from abroad effortlessly. For more information or to calculate your transaction costs, contact our manager via the NoWALL Telegram chatbot.
