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An Agent of Record (AOR) is a third-party entity that helps a client’s business hire and engage international contractors compliantly by managing worker classification, contractor relationships, onboarding, contracts, invoicing, tax documentation, and regulatory compliance, reducing risk and administrative burden.

An Agent of Record (AOR) helps businesses in working with independent contractors globally by managing classification, taxes, contracts and compliance, whereas an Employer of Record (EOR) acts as the legal employer for full-time employees of a client business and handles payroll, benefits, and HR compliance.

You should use an AOR when hiring international contractors to ensure the right worker classification, stay compliant with local laws, and streamline onboarding, payments, and paperwork across borders.

Payoneer Workforce Management accommodates quick onboarding of international contractors through its AOR service and manages worker classification, compliant local contracts, tax documentation, and payments in local currencies.

An Agent of Record (AOR) service is responsible for maintaining the correct contractor classification, compliant onboarding, contract creation, taxes, legal paperwork, invoices, compliance with local laws, and timely, accurate payments.

When looking for an AOR service, consider aspects like global coverage, localized contract and tax support, compliance expertise, multi-currency payment infrastructure, and a proven track record in managing independent contractor relationships. For such insights, one can research their website and review sites to assess client feedback and service reputation.

Using an AOR for managing international contractors reduces compliance risks, helps maintain proper contractor classification, simplifies onboarding and payments and frees up internal resources by handling administrative tasks.

Yes, Payoneer Workforce Management (WFM) helps businesses pay international contractors in over 160 countries and 70 currencies through its Agent of Record (AOR) service, and also maintains compliant contractor classification, handles tax documentation, and streamlines cross-border contractor management.

An AOR helps maintain compliance by correctly classifying contractors, issuing locally compliant contracts, handling tax documentation, and adhering to local laws to reduce legal and financial risks.

Yes, while an AOR handles independent contractors, you can transition a contractor you’re working with to full-time employment through an Employer of Record (EOR) if you decide to offer them a permanent role.