The True Cost of International Freelancing
When you freelance across borders, your gross income and net income can differ dramatically. Between payment platform fees, currency conversion costs, income taxes, self-employment taxes, social security contributions, and VAT/GST obligations, you could lose 30-50% of your gross earnings.
Understanding each deduction layer helps you optimize your structure and keep more of what you earn.
Payment Platform Fees Compared
| Platform | Fee | FX Rate | Best For |
|---|---|---|---|
| PayPal | 2.9% + $0.30 | 4% markup | Quick payments, wide acceptance |
| Wise | 0.5% + $0.50 | 0.5% (mid-market) | International transfers |
| Payoneer | 1% + $0 | 2% markup | Marketplace payments |
| Stripe | 2.9% + $0.30 | 1% markup | Client invoicing |
| Bank Transfer | $30 flat | 3% markup | Large amounts |
Self-Employment Tax by Country
United States15.3%
CalculateUnited KingdomClass 2 + Class 4 NI
CalculateCanada11.9% CPP (both portions)
CalculateAustraliaNo separate self-employment tax
CalculateGermanyIncome tax + voluntary social contributions
CalculateSpain€294/month flat rate (first year €80)
CalculatePortugal21.4% social security on 70% of income
CalculateSingaporeNo CPF required for foreigners
CalculateUnited Arab Emirates0% income tax + freelance license fees
CalculateJapanNational health insurance + pension
CalculateFrance22% micro-entrepreneur social charges
CalculateNetherlandsSelf-employed deduction (zelfstandigenaftrek) €5,030
CalculateThailandIncome tax on Thai-sourced income
CalculateMexicoRIF simplified regime (1%–2.5% on revenue)
CalculateNew ZealandNo separate self-employment tax
CalculateCalculate Your Net Freelance Income
See exactly how much you take home after all fees and taxes.
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