Working as a freelancer in the United States gives you incredible freedom to choose your clients, set your rates, and work from anywhere. But when it comes to sending money back home to family or managing finances across borders, many freelancers wonder about their options.
The good news? As a freelancer in the US, you absolutely can use Remitly to send money internationally. Whether you’re supporting family members, paying for property back home, or managing investments abroad, Remitly offers a straightforward solution for your international money transfer needs.
This guide will walk you through everything you need to know about using Remitly as a freelancer, including how the process works, what documentation you’ll need, and tips to make your transfers as smooth as possible.
Understanding Remitly’s Requirements for Freelancers
Remitly accepts customers who work as independent contractors and freelancers. The key requirement is that you’re legally residing in the United States and have the proper documentation to prove your identity and address.
As a freelancer, you’ll need to provide the same basic information as any other customer during the registration process. This includes your full name, address, date of birth, and a valid form of identification. Remitly accepts various forms of ID, including driver’s licenses, state-issued ID cards, and passports.
Your employment status as a freelancer won’t prevent you from opening an account or sending money. Remitly’s verification process focuses on confirming your identity and ensuring compliance with financial regulations, not evaluating your employment type.
Documentation You’ll Need as a Freelancer
When setting up your Remitly account, gather these essential documents:
- Primary identification such as a valid US driver’s license, state ID, or passport. Make sure your ID is current and the information matches exactly what you’ll enter during registration.
- Proof of address including a recent utility bill, bank statement, or lease agreement showing your current US address. This document should be dated within the last 90 days.
- Social Security Number for tax reporting and compliance purposes. This is standard for all money transfer services operating in the United States.
You won’t need to provide tax returns, proof of income, or client contracts unless you’re sending particularly large amounts that trigger additional verification requirements.
How Remitly Works for International Transfers
Remitly operates on a simple three-step process that works the same whether you’re a traditional employee or a freelancer.
First, you’ll create your transfer by entering the amount you want to send, selecting your recipient’s country, and choosing how they’ll receive the money. Options include bank deposits, cash pickup, mobile money, and home delivery depending on the destination country.
Next, you’ll provide your recipient’s information and pay for your transfer. Remitly accepts debit cards, bank transfers, and credit cards as payment methods. Bank transfers typically offer better exchange rates but take longer to process.
Finally, Remitly processes your transfer and notifies both you and your recipient when the money is available. Transfer speeds vary by destination and delivery method, ranging from minutes for cash pickup to several business days for bank deposits.
Managing Transfer Limits and Frequency
As a new Remitly customer, you’ll start with standard transfer limits that increase over time as you build a transaction history. Initial limits typically range from $2,999 to $5,000 per day, depending on your verification level and chosen delivery method.
Freelancers often appreciate that these limits accommodate regular family support payments while still allowing for larger occasional transfers. If you need to send amounts exceeding your current limits, contact Remitly’s customer service team to discuss increasing your limits.
The platform tracks your transfer frequency automatically, so you don’t need to worry about managing multiple transactions or keeping detailed records for transfer purposes. However, maintaining your own records is still wise for tax and budgeting purposes.
Tax Considerations for Freelancer Remittances
Sending money abroad as a freelancer doesn’t create additional tax obligations beyond your existing freelance income tax requirements. The money you send through Remitly has already been earned and should be reported as part of your regular freelance income.
However, keep records of your international transfers for your personal financial management. Large transfers might require additional documentation, and having organized records makes this process much smoother.
If you’re sending money to pay for business expenses abroad or making investments in other countries, consult with a tax professional about potential reporting requirements. These situations can have different implications than personal remittances to family members.
Choosing the Right Transfer Options
Remitly offers two main service tiers that cater to different freelancer needs. Express transfers deliver money within minutes to hours but come with higher fees and less favorable exchange rates. Economy transfers take longer but offer better rates and lower fees.
For regular family support payments, Economy transfers often provide the best value. The lower costs can add up to significant savings over time, especially for freelancers managing variable income streams.
Express transfers work well for emergency situations or time-sensitive payments. As a freelancer, you might use Express when you receive a large client payment and need to send money quickly for family emergencies or time-sensitive opportunities.
Security and Reliability for Independent Workers
Freelancers often work outside traditional banking hours and need flexible, secure financial services. Remitly’s platform operates 24/7, allowing you to initiate transfers whenever convenient for your schedule.
The service uses bank-level security measures including encryption, fraud monitoring, and regulatory compliance. Your transfer information and financial details receive the same protection as traditional banking transactions.
Remitly also provides tracking and notification features that give you peace of mind about your transfers. You’ll receive updates throughout the process, and your recipients get notifications when money becomes available.
Frequently Asked Questions
Are there different requirements for freelancers versus employees?
No, Remitly’s requirements remain the same regardless of employment type. All customers need valid identification and proof of US residence.
How quickly can I start sending money after signing up?
Most freelancers can begin sending money immediately after completing the basic verification process, which typically takes just a few minutes online.
What happens if I need to send more than my daily limit?
Contact Remitly’s customer service to request a limit increase. They’ll review your account and may ask for additional documentation for higher limits.