United States
No global market holds more sway over entrepreneurs than that of the United States. As the largest economy in the world, it presents unmatched opportunities for growing businesses. Among the challenges, one comes multiplied by 50 as each state essentially acts like a small country, adding another layer of complexity that newcomers must overcome to thrive.
Empowering Global Teams: From HR to Payroll Precision
HSP provides full-service international payroll processing to ensure that your employees’ pay is calculated correctly, your employees are paid on time, every time, and all required payroll compliance filings are managed seamlessly and efficiently.
Our services include standalone payroll, Employer of Record (EoR), Professional Employment Organization (PEO), Non-Resident Employer payroll – circumstances and local law permitting, – Employment tax guidance, and employee expense report support.
HSP provides full-service international payroll processing to ensure that your employees’ pay is calculated correctly, your employees are paid on time, every time, and all required payroll compliance filings are managed seamlessly and efficiently.
Our services include standalone payroll, Employer of Record (EOR), Professional Employment Organization (PEO), Non-Resident Employer payroll (circumstances and local law permitting), employment tax guidance, and employee expense report support.
Managing a mobile international workforce, whether for short-term or long-term assignments, can add further challenges to your HR function. Through our Global Mobility Consulting group, HSP supports your company’s global mobility and expatriate strategy needs and helps you navigate the complex home, host, and cross-border country requirements.
HSP helps you prepare to send an employee overseas and helps you and the employee stay compliant while living and working abroad.
Designed to extend your in-country HR capabilities, our HR Administration services provide recurring HR support to address those common challenges associated with hiring, onboarding, paying, providing benefits, offboarding and answering the myriad of employment-related questions for your international employees.
By syncing up both the HR and the Payroll function, we ensure that you have a seamless and comprehensive solution.
Our technical consulting services address the challenges facing today’s global marketplace by assisting clients in establishing the appropriate structures to manage and support their workforce.
We understand country-specific HR and Employment best practices, compensation and flexible working packages, understanding benefits requirement and benefits sourcing, performance management, leave policies and termination/redundancy assistance.
At a Glance
Yes, local bank account needed.
Yes, depends on the entity.
The standard payroll frequency is Weekly, Bi-Weekly, Monthly.
No, local registration isn’t required.
The employer taxes are 10-15% of gross salary.
Streamlined Success: Entity Management and Beyond
HSP’s Legal Management services include entity requirement analysis and selection, incorporation and post-establishment corporate income tax, indirect tax, and other registrations and licenses. In addition, our services are designed to keep your entity operational and compliant by providing ongoing corporate secretarial support, maintenance and custody of legal records and corporate books, tax agent representation, registered office address, and annual legal compliance.
At HSP, we understand that a company must fulfill local accounting obligations while also reporting on consolidated results to investors and leadership team. With this in mind, HSP Group can assist with both the preparation of local statutory bookkeeping and Financial Reporting – that is, in local GAAP, local currency and local language, and management reporting – considering management entries, and in English.
One of the main things that keep our clients up at night is worry about whether their overseas entities are reporting, filing and paying the correct taxes in each of their respective jurisdictions. HSP’s Tax Compliance takes this burden away from our clients. Our services include both indirect (Sales Tax, VAT, GST, IVA) and direct (CIT and WHT) taxes filing preparation and submission, pre-tax assessment review, tax recovery and tax audit support.
HSP’s technical consulting services is customized to support your business to prevent and resolve many different challenges you will encounter while operating overseas. It is also designed to assist you in scaling operations and developing more efficient and compliant processes in each of your overseas locations.
United States Awaits Your Business
Experience HSP’s expert solutions for cross-border payroll, and entity management solutions. Simplify your complexities abroad.
Good to Know
Deciding which business entity to establish is important. At first glance, it may seem like setting up a branch office — not incorporating at all — helps you achieve your goal of getting up and running fast in the United States. But the wrong business setup can have serious implications.
While it’s true all states but Montana are “at-will” by default — meaning employers can hire or fire US employees for any or no reason — most employees belong to a so-called “protected category” (race, age, sex, religion, nationality, etc.). They can, consequently, make a claim of discrimination under US law if they believe they have been treated unfairly.
Corporate taxes are levied at many levels of government, from federal and state levels down to individual municipalities. Corporations also consider taxes like the Federal Alternative Minimum Tax and, depending on their business structure, they may need to collect sales and use tax at the point of the consumer purchase.
It is not uncommon for companies to “outsource” the HR administration (payroll, employee benefits) to a third party in so-called “co-employment” arrangements. A Professional Employer Organization (PEO) names three partners in an employment relationship — the employee, the underlying company, and the third-party PEO firm.
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Don't take our word for it
When Morpheus selected HSP Group. Randy, Steve and the team have been brilliant partners, taking what would otherwise have been a stressful and time-consuming process and managing every aspect of it for us. This has allowed our new team to fully focus on our US Customers, safe in the knowledge that HSP have their backs. Over and above doing the basics brilliantly, what we’ve really appreciated is that whenever we’ve required expert guidance to avoid the hidden pitfalls of International expansion, HSP have educated us on the pros and cons of different approaches, allowing us to select the right path for our business. Having HSP on our team has made us stronger, enabling Morpheus to confidently scale our US operations”.
Top Challenges
Paying Taxes
The American tax system is notoriously complex, and the IRS is known for strictly enforcing the complex array of federal, state, and local rules. Companies are still assessing the 2018 tax reform that changed the rules for corporations and individuals earlier this year. Among the changes: cutting the corporate tax from 35% to 21% and moving toward a territorial system of taxation.
50 Individual States
Each state comes with its own set of rules and regulations. This lack of consistency means compliance and administration will vary depending on where you incorporate and operate, the location of customers, where product may be shipped to, whether you’re selling to businesses or consumers, and where you may employ staff. With the rise of remote work, this adds employment and payroll complexity.
New Compliance Regulation
A new anti-corruption legislation, the Corporate Transparency Act (CTA), will take effect before the end of the year, bringing hefty fines for noncompliance. The CTA will require certain corporations and LLCs to file beneficial ownership information with the treasury departments’ Financial Enforcement Network (FinCEN). It will also eliminate anonymously owned and controlled legal entities in the US over a two-year implementation period.
Next Steps
An untold number of businesses realize success with their US expansion plans every year — and you can too. Our expert-led managed services and technical consulting help you compliantly navigate the complex regulatory landscape in the United States.
Paired with GateWay, our global expansion management (GXM) system, we empower you to effortlessly manage your international footprint. This pioneering platform unifies all the applications and data you need in a single place for your ease of use.
“While local vendors tend to primarily care about their sliver of the business, HSP Group is, as the single provider, fully invested in the success of the entire organization.”
Head of Finance and Operations at a fast-growing FinTech