Receiving a Salary from Abroad

Receiving a euro salary from an employer in Europe is becoming increasingly common among remote workers and in jobs with an international connection. Even though the salary being in "euros" sounds advantageous, some cost items come into play as this money reaches your account in Turkey and becomes usable. In this guide we explain what to watch out for on the transfer and FX side when receiving a euro salary from abroad.

How does the salary arrive?

Your employer sends the salary to the IBAN you provide. If you use an account in Turkey, because Turkey is outside SEPA, the payment usually arrives as SWIFT (an international transfer); this means the possibility of an intermediary bank charge, a recipient bank fee and (if your account is in TRY) an exchange-rate margin. If you have an account in Europe (or a European IBAN through a provider), the salary can arrive there via SEPA; in that case the euros stay as euros in your account in Europe and transferring them to Turkey is a separate step.

Euro account or TRY account?

For those receiving a regular euro salary, the most important decision is which account type to use. In a TRY account, every month the incoming euros are automatically converted into TRY and an exchange-rate margin is paid each time — and you cannot choose the timing. A euro (foreign currency) account, on the other hand, lets you receive euros as euros and convert to TRY only when you need to, and at a more suitable rate. On a regular and recurring income like a salary, this difference can reach a serious amount over the year. To make your decision based on your transaction frequency and amount, see the do I need to open a euro account page.

How much reaches my account net?

How much of the incoming salary is credited to your account net depends on the intermediary bank charge, the recipient bank fee and (if it is a TRY account) the exchange-rate margin. To estimate this amount in advance, you can enter the sent euros and the possible deductions into the Incoming EUR transfer calculator. This reduces the "how much will arrive this month?" uncertainty and lets you plan your budget better. For the detail of the incoming deductions, see the are there deductions on incoming SEPA transfers page.

Practical tips

1. Give your IBAN completely and correctly. Wrong information leads to a return and an extra cost.
2. Choose your account type consciously. A euro account is often advantageous for a regular euro salary.
3. Learn the incoming deductions. Ask your bank about incoming transfer fees.
4. Plan the conversion. If you are in a euro account, convert to TRY based on need and rate suitability.
5. Ask an expert about the tax side. The payment cost is one thing, the tax obligation another; consult an accountant.

Summary

Receiving a euro salary from abroad can be advantageous; but as the money reaches your account in Turkey, an intermediary bank charge, a recipient bank fee and (if it is a TRY account) an exchange-rate margin can come into play. For a regular salary, the most effective saving is usually using a euro account. This page explains only the payment dimension; for your tax and reporting obligations, consult a qualified accountant.