Foreign freelancer in Romania: Tax regulation and available jobs
Freelance work can be a great way to make money, especially for those who want to travel or settle in a foreign country. Romania makes no difference. Here you will find an overview of the possibilities of freelance work and the tax regulations for these activities, which also apply to foreigners.
Self-employment is becoming more common these days, and massive technological advances allow people to do many of the jobs that required an office presence or that didn’t even exist 10 or 15 years ago.
Working as a freelancer in Romania can be an opportunity to make money as well as any other job. Some even say the monthly income is better than a traditional job. Websites dedicated to this type of activity are filled with job advertisements and the benefits are many.
Being your own boss and a better work-life balance are high on the list for freelancers. Since freelancer jobs are usually creative, they involve custom schedules, depending on the freelancer’s time or inspiration.
Freelance work does not include geographical boundaries, so self-employed people can choose local or international appearances. Employment opportunities are multiplying, as are potential sources of income.
Contact with different people, possibly from different countries or areas of work, is an additional benefit that leads to more knowledge and skills for the freelancer.
Working as a freelancer offers the opportunity to control monthly income to some extent based on the decision to work more or less during a given month. In addition, authorities in Romania usually offer some tax incentives for the self-employed.
The tax regime for freelancers in Romania
In Romanian legislation there is no separate category for taxpayers called freelancers or self-employed, so the amount of social and tax contributions is the same. Freelancers are required to complete the same tax returns as everyone else. However, depending on their activity, their work can be governed by different types of contracts.
As Romania is an EU member state, citizens from other member states in Romania have to comply with far fewer rules if they want to work, as they do not need a visa, passport to enter, or a work permit.
Self-employment (freelance work) can be regulated by law either through a contract with an authorized natural person (PFA – Persoana fizica autorizata) or through a copyright contract for creative activities. These two types of contracts are most common for those who want to work independently in Romania.
In order to set up a PFA in Romania, one must first be registered for tax purposes in Romania and prove either the ownership or the lease of the professional headquarters. Most of the foreign nationals in Romania who choose to open a PFA also have Romanian residency and a local ID. For the establishment, the authorities also require proof of expertise in the areas in which the PFA would work and the documents submitted should be recognized by the Romanian Ministry of Education. With one PFA you can even hire up to three people. Since the registration process in Romania can be quite bureaucratic, many choose to organize it with the help of a law firm or an accountant.
The copyright contract version is much easier for many if it covers the field of activity. It’s about just signing a contract with one company and the freelancer has to register with the tax office and report the income and pay taxes with it.
Legislation on taxation of these two types of contract was changed earlier this year and is still unclear even for Romanian residents as an employer recommending the best option between the two parts.
Jobs that you can do as a freelancer in Romania
As everywhere in the world, most of the projects for freelancers in Romania are with IT (programming or web design), for translators, web content or bloggers in various fields, including corporate blogging. In addition, many other activities can be done from a freelance position, from a photographer and designer to a part-time foreign language teacher or employee at various local websites.
Foreign companies that are growing massively in the local market need foreigners who speak more languages for various projects, so this is an opportunity. Check out our latest jobs in Romania here.
There aren’t many online freelance communities in Romania, but you can find part-time or temporary jobs on most job boards.
Known as the freelancer community in Romania, Congrazie.ro is one of the most useful local platforms for freelance jobs. You can find jobs in various fields such as online marketing, content writing, web design. Access is free.
Caut-expert.org is not a freelancer platform, but one for specialists in various fields, but can be a useful tool for freelancers who specialize in a subject area and are looking for a specific project.
Self-employed jobs in Romania can also be found on international freelancer sites, and the biggest ones are Freelancer.com, Upwork.com, Crowdsprings.com (for designers) or Constant-content.com (for copywriters).
The payments vary greatly depending on the project. The prices of a freelancer can be between 3 and 50 euros per hour or can be negotiated on a project basis.
(Photo source: Adobe Stock)