Can My Wife Hire Me?

[tobyran]

Hi, I'm hoping to work as a freelance writer in Thailand. I already make a decent salary from this in the UK, and it wouldn't make much difference if I moved the business to Thailand - I would still keep all my clients.

From what I've read it would be difficult for me to set up a business by myself, but I am married to a Thai.

Would it be possible for my wife to set up a sort of publishing business and hire me as a consultant?

What would be the process to do this?

I don't think that Iwould be prepared to work illegally in Thailand – not that I have any strong opinions about those who do.

I appreciate your replies in advance.

Edited October 1, 2011 by tobyran

[sulasno]

setup a company with your wife holding 50% of the shareholding, a nominee holding 1% and yourself holding the balance

[tobyran]

setup a company with your wife holding 50% of the shareholding, a nominee holding 1% and yourself holding the balance

Cheers Sulasno, would it then be easy to get a work permit for me?

Would it be easier if my wife just opened a business in her name?

Edited October 1, 2011 by tobyran

[sulasno]

as a business partner, it would be necessary for you to live in Thailand;

as an employee it is not possible to find a local to fill the position ?

[tobyran]

as a business partner, it would be necessary for you to live in Thailand;

as an employee it is not possible to find a local to fill the position ?

Thanks Sulasno, I do intend to move to Thailand full-time soon.

It is debatable whether it would be possible for a Thai to do my job (in that they will not have my clients and reputation)

I suppose that it would be up to immigration to decide.

Edited October 1, 2011 by tobyran

[sulasno]

foreigners are not allowed to work in certain industries reserved for the local Thais;

depending on how old you are, a retired visa seems to be the easiest way to stay in Thailand

[tobyran]

foreigners are not allowed to work in certain industries reserved for the local Thais;

depending on how old you are, a retired visa seems to be the easiest way to stay in Thailand

Thanks, I'm well below the retirement age, and I would prefer to do things as legally as possible.

I know that I technically I could just go there and continue working as I am now - how could anyone know?

I just don't like doing things underhand - I'm a bit neurotic that way

[asiaexpat]

Look at this embassy web page about types of businesses in Thailand. You should decide which is best for your situation then find the requirements and restrictions based on the type ypou select. Each business type has it's own set of rules including employment of non-Thai workers.

http://www.thaiembassy.com/business/business_type.php

Edited October 1, 2011 by asiaexpat

[thaicbr]

quick question.. are you working for Thai customers and getting paid in Thailand?

If not then i do not think it is neccasary to do all of that. as long as you are being paid in the Uk and paying Uk taxes. You are simply residing here while working for Uk employers even on a contract basis.

I'm guessing that your work is sent back to the UK1

[Richard4849]

Yes your wife can set up a company and yes she can hire you. It's not difficult but it isn't going to be cheap. A certain level of capitalization will be requires (2 million baht I think), and there is a requirement that there be a certain number of Thai staff on the books. Then, the company will have to show revenue consistent with its purpose and its capability to keep paying you. The labor department may send someone out to check. You'll need someone to do the books and make financial submissions and all those things required to keep a company runnIng legally.

[TAWP]

4 Thai staff members for your work-permit and VISA to be sponsored - hired people can include full-time maid and [full-time] accountant.

So you better make a very nice income to be able to do this, if you are going to pay 4 throw-away salaries...

[Bluebell]

Yes your wife can set up a company and yes she can hire you. It's not difficult but it isn't going to be cheap. A certain level of capitalization will be requires (2 million baht I think), and there is a requirement that there be a certain number of Thai staff on the books.

4 Thai staff members for your work-permit and VISA to be sponsored - hired people can include full-time maid and [full-time] accountant.

So you better make a very nice income to be able to do this, if you are going to pay 4 throw-away salaries...

IIRC with a Thai wife it is 1 million baht registered capital and 2 Thai employees

[tobyran]

Thanks, I would have no problem putting up the registered capital. Two employees would be a possibility, but four employees would just be throwing money away. Would I be able to count my wife as one of the employees?

[Richard4849]

Yes.

[mjnaus]

Please keep in mind that the required capital DOES NOT have to be paid up. The only thing you pay is a fee of 5.000 per 1.000.000 baht capital when registering. As mentioned above, when married to a Thai the requirements for a work permit are 2 employees and 1.000.000 capital.

Regarding the employees, these people don't actually have to work for you and you are not required to pay them an actual salary. They merely need to be on your books, meaning you will pay taxes and make contributions to the social system.

Please don't be fooled into this being a very expensive undertaking as many posters would have you believe. The process of setting up the company is actually rather easy and can easily be done by your wife herself. We did it this way (my wife handled all the paperwork), all in all the registration costed us less then 15.000 baht. The yearly running costs are also very very low, we pay our accountant about 10.000 per year to handle everything, this includes the signature at the end of year.

We're still in the process of getting me a work permit, so this might add some running costs. However, we still expect it to be very much worthwhile.

Edited October 2, 2011 by mjnaus

[TAWP]

Please keep in mind that the required capital DOES NOT have to be paid up. The only thing you pay is a fee of 5.000 per 1.000.000 baht capital when registering. As mentioned above, when married to a Thai the requirements for a work permit are 2 employees and 1.000.000 capital.

Regarding the employees, these people don't actually have to work for you and you are not required to pay them an actual salary. They merely need to be on your books, meaning you will pay taxes and make contributions to the social system.

Please don't write ways to trick the legal system openly on the forum - it will be used as sub-context to crack down on the process.

[Richard4849]

I've always been told that the company cannot run on a loss forever -- they will not allow you to renew your work permit. So, a sufficient amount of turnover has to be run through the company to cover all salaries, operating costs, and show a profit -- on which you will naturally have to pay corporate tax of 30%. There is also VAT to collect and submit.

As for the issue of "ghost employees" -- you should be aware that the labour department does make spot visits to make sure that people are not just running a ghost operation for a work permit.

As said, not terribly difficult. But it is going to cost.

[sulasno]

to my understanding a corporation may be de-registered by the Commerce Ministry if there are losses accumulated for 3 years;

[Richard4849]

to my understanding a corporation may be de-registered by the Commerce Ministry if there are losses accumulated for 3 years;

I don't think so.

It can be listed if it fails to submit financial information for three years, though.

[IMA_FARANG]

Hi, I'm hoping to work as a freelance writer in Thailand. I already make a decent salary from this in the UK, and it wouldn't make much difference if I moved the business to Thailand - I would still keep all my clients.

From what I've read it would be difficult for me to set up a business by myself, but I am married to a Thai.

Would it be possible for my wife to set up a sort of publishing business and hire me as a consultant?

What would be the process to do this?

-------------------

It seems to be POSSIBLE, but I wouldn't even think of doing such a thing until you get a lawyers opinion on certain points. One who has experience in Thai labor law, and Thai business employing foriengers as consltants.

I don't see it as being cheap or quick to set up either.

I presume as a freelance writer you will actually do the work in Thailand, possibly over the internet. The Thai law on that situation is NOT clear...because, frankly, the law is old and such a situation hasn't been considered yet. So no one really knows how to proceed. Almost certainly you will have to pay Thai income tax on at least part of your earnings that are generated by your efforts here in Thailand.

You should expect the Thai tax people to argue that you owe them tax on ALL your earnings...and you probably trying to keep your tax bill as low as possible. That will be a point of contention.

Also, to simply start a publishing business may look like a scam to the Thai tax and labor people...especially if you simply gift the start-up money to her...and she can not show the required experience to run such a business and make a profit. If not, it will look like a scam to the Thai immigration and labor people to get to live in Thailand without a proper visa and to also make money while living here. They won't be pleased with that thought.

If you can demonstrate that you bring an unique and invaluable asset (your client base) that no Thai can bring...then maybe you can be hired as a foriegn advisor, just because of that asset.

But first, I would think you need a Thai lawyer/lawyers who can give you good advice on how to establish such a business and the applicable laws.

That kind of professional advice will cost you.