Introduction

As a Filipino remote worker receiving payments from a US-based employer using Gusto, you might be wondering about the best way to get those USD earnings into your local bank account in PHP. While Gusto itself facilitates sending payments internationally, understanding the intermediary steps and available services can help you optimize the process for speed and cost-effectiveness. This guide will introduce you to the common methods Filipino remote workers can use to receive USD employer payments from Gusto.

How Filipino remote workers can receive USD payments

Here's how Filipino remote workers can receive USD payments:

1. Direct Bank Transfer: Employer sends USD to your Philippine USD account.

2. Online Platforms:

• Transfi: Receive USD, withdraw PHP with speed and ease.
• Wise: Receive USD with provided account details.
• Payoneer: Receive USD, withdraw to PHP.  
• PayPal: Receive USD, withdraw to PHP (can have higher fees).
• Remitly/MoneyGram/Western Union: Employer sends, you receive in PHP or USD (depending on service).
• Parallax: Receive USD, withdraw to PHP (GCash, Maya, bank).
• Grey: Receive USD with virtual account details.  

3. Stablecoins (Indirect): Employer pays in USD stablecoins to your crypto wallet, then convert to PHP on exchanges. Tranfi makes transactions in stable coins and digital assets through Collections and Payouts. 

Gusto payment methods for Filipino remote employees

While Gusto primarily focuses on US payroll, it does offer ways to pay international contractors, including those in the Philippines. Here are the common payment methods Filipino remote employees can receive USD employer payments from Gusto:  

• Direct to Local Bank Account (PHP or USD): Gusto can send payments directly to a Filipino employee's bank account. The payment can potentially be received in PHP (with Gusto handling the conversion) or, if the employee has a USD-denominated bank account in the Philippines, potentially in USD. However, exchange rates and fees applied by Gusto and the receiving bank should be considered. 

• Via Online Money Transfer Services (Integrated or Indirect):

• Transfi: Transfi streamlines online payments in the Philippines by integrating popular local methods like GCash and Maya into a single platform for businesses. This allows for easier acceptance of digital payments alongside traditional options like OTC and bank transfers. For international transactions, Transfi aims to simplify cross-border payment collection, potentially handling currency exchange. By focusing on local preferences, Transfi helps businesses cater to a wider Filipino customer base.

• Parallax: This service is specifically highlighted as a seamless way to receive Gusto payments in USD and withdraw to PHP via GCash, Maya, or local banks with potentially better exchange rates and faster payouts than traditional methods. You would link your Parallax USD account to Gusto.

• Wise (formerly TransferWise): While not directly integrated within Gusto in the same way as a bank account, your employer could potentially pay your Wise USD account using the provided US bank details. You can then convert the USD to PHP within Wise and withdraw to your local bank.

• Payoneer: Similar to Wise, your employer might be able to send USD to your Payoneer USD receiving account. You can then withdraw the funds to your Philippine bank account in PHP.

• Gusto Global Contractor Payments: Gusto has a built-in feature for paying international contractors in over 120 countries, including the Philippines. Your employer can add you as a contractor, and Gusto will facilitate the payment. The funds are typically received in the contractor's local currency (PHP), with Gusto handling the USD to PHP conversion.  

• Other Methods (Less Common/Indirect): While less direct for Gusto, employers could potentially use platforms like PayPal to send USD, which the Filipino worker could then withdraw to their PHP bank account, though fees might be higher.

Key Considerations for Filipino Remote Workers:

• Fees and Exchange Rates: Carefully compare the fees charged by Gusto and any intermediary service (like Transfi, Parallax, Wise, Payoneer, or your bank) as well as the USD to PHP exchange rates offered.
• Withdrawal Options: Consider how easily and affordably you can withdraw the USD (or converted PHP) to your preferred local method (bank, e-wallet like GCash or Maya).
• Speed of Transfer: Check the estimated processing times for each method. Services like Parallax are noted for potentially faster payouts.
• Ease of Setup: Evaluate the steps required to set up each payment method.

Transfi is the most cost-effective and convenient method for receiving your USD payments from Gusto in the Philippines considering minimal fees, easy setting up, great speed and orderly transactions. 

Converting USD to PHP with low fees

Here are some of the best ways to convert USD freelance payments to PHP with low fees:

1. Transfi: Transfi simplifies online payments in the Philippines by integrating popular local methods (GCash, Maya) with traditional options (OTC, bank transfers) for businesses. It also aims to ease international payment collection and currency exchange, helping businesses reach more Filipino customers.

2. Wise (formerly TransferWise): Often provides the mid-market exchange rate with transparent and relatively low fees. You can receive USD using their provided bank details and convert to PHP within the platform for withdrawal to your local bank.

3. Payoneer: Offers USD receiving accounts and allows withdrawal to your Philippine bank account in PHP. Their fees and exchange rates are generally competitive, especially for freelancers.

4. Remitly: Known for good exchange rates and often waives fees for first-time transfers. They offer various payout options in the Philippines, including bank deposit and cash pickup.

5. Parallax: Specifically designed for international payments to freelancers, including those in the Philippines. They often offer favorable exchange rates and fast withdrawals to PHP via GCash, Maya, and banks.

6. Revolut: Provides competitive exchange rates and low fees for currency conversion. You can hold both USD and PHP and exchange within the app before transferring to your local bank.

When choosing, always compare the live exchange rates and the total fees (including any hidden charges) of these services at the time of your transaction to find the most cost-effective option.

^{"Traditional bank transfers often come with hidden fees and prolonged processing times. TransFi ensures that Filipino remote workers get their hard-earned USD payments promptly and with minimal deductions." - Rahul Sahni, COO & CPO TransFi}

Crypto vs bank transfer: Best option for cashing out Gusto payments in the Philippines

It's crucial to consider your priorities when deciding between crypto and bank transfer for cashing out Gusto payments in the Philippines.

Bank Transfer (Direct to Local Bank or via Intermediaries like Wise or Payoneer):

• Pros: Generally reliable, familiar process, often directly integrated with platforms like Parallax for potentially faster and lower-fee withdrawals to PHP (including GCash and Maya).
• Cons: Can involve fees from Gusto, intermediary services, and your local bank. Exchange rates might not always be the most favorable. Processing times can vary.

Cryptocurrency (Indirect Method):

• Pros: Potentially faster transaction times for the USD transfer (as stablecoins). Could offer more control over exchange timing.
• Cons: Not a direct Gusto payout method. Requires using a third-party platform to receive USD (e.g., Wise or Payoneer), converting it to stablecoins, transferring to a crypto exchange, converting to PHP, and then withdrawing to your bank/e-wallet. This adds complexity and multiple layers of fees (exchange trading fees, withdrawal fees). Subject to cryptocurrency exchange regulations in the Philippines.

Takeaway:

For cashing out Gusto payments, bank transfer, especially when facilitated by services like Parallax or Wise, is generally the better option for most Filipino remote workers due to its relative simplicity, reliability, and often lower overall costs when factoring in all the steps involved in using cryptocurrency indirectly. While crypto offers speed in the initial USD transfer, the subsequent conversion to PHP and withdrawal can introduce more fees and complexities.

It's recommended to compare the fees and exchange rates of direct bank transfer (via Parallax or other intermediaries) with the potential costs of using cryptocurrency exchanges to make an informed decision based on your specific needs and the amounts involved.

Conclusion

Withdrawing USD from Gusto in the Philippines involves choosing a method that balances speed, cost, and convenience. While Gusto itself offers some direct options, leveraging intermediary services like Transfi, Parallax, Wise, or Payoneer can often provide more favorable exchange rates and lower fees for Filipino remote workers. By carefully following the setup procedures for your chosen platform and understanding the associated timelines and costs, you can efficiently access your USD earnings in PHP. Transfi’s general focus is on low-fee international transfers and potential stablecoin usage suggests it could be a future alternative worth exploring as it establishes stronger connections with payroll platforms and Philippine payment gateways. 

Frequently asked questions (FAQs)

1. How can Filipino remote workers receive USD payments?

• Direct to PHP bank: Employer sends, bank converts.
• USD bank account: Receive USD, convert later.
• Transfi: Easy conversions, payouts and collections.
• Wise: USD account details provided.
• Payoneer: USD receiving account.
• PayPal: Common, but can have higher fees.
• Remitly/WU/MG: Employer sends, receive PHP/USD.
• Parallax: USD account, fast PHP withdrawal (GCash/Maya).
• Grey: Virtual USD account details.
• Stablecoins: Receive USD crypto, convert to PHP.

2. How to receive stablecoin payouts from Gusto in the Philippines?

Your employer might send USD through Gusto via a standard method, and you could then use Transfi's platform to potentially convert those funds into stablecoins and then further convert them to PHP for withdrawal. Transfi highlights its support for stablecoins and local payment methods, suggesting a possible pathway, but it would require your employer to use a standard payout method from Gusto initially, with Transfi acting as a secondary conversion and transfer tool. Direct integration of stablecoin payouts from Gusto via Transfi is not a standard feature as of now.

3. How to open a USD account in the Philippines for Gusto payouts?

• Choose a Bank: Many Philippine banks offer USD savings accounts (BDO, PNB, Metrobank, BPI, UnionBank, etc.).  
• Check Requirements: Typically need valid IDs, proof of address, and initial deposit (around $200-$500 USD, may vary).  
• Visit a Branch: Generally required to open a foreign currency account.
• Fill Forms: Complete the bank's account opening documents.
• Fund the Account: Deposit the initial required amount in USD.
• Provide Account Details to Gusto: Once opened, give your USD account number and bank details to your employer in Gusto.
• Consider Fees: Be aware of maintaining balance, transaction, and potential withdrawal fees.

4. How to minimize conversion fees when withdrawing USD in the Philippines?

• Use Transfi: Often offer better rates than banks.
• Choose PHP withdrawal: Convert within platform, likely better rates.
• Avoid DCC at ATMs: Pay in local currency (PHP).  
• Check bank USD account fees: Some have high withdrawal costs.
• Consider Remitly/other platforms: Compare rates and fees.
• Withdraw larger amounts less often: Reduces per-transaction fees.
• Compare exchange rates beforehand: Use online converters.
• Be wary of hidden fees: Check all charges.

5. What are the best platforms for receiving USD salaries as a remote worker in the Philippines?

• Transfi
• Wise (formerly TransferWise)
• Payoneer
• Parallax
• Grey
• PayPal
• Remitly