Converting Pesos To Dollars At Government Fixed Rate

[ecohen14]

I am moving to Buenos Aires at the end of December for a job. I will be paid in white and will be paying taxes, with a work visa and all of that. I heard from some Argentine friends that if you open a bank account (or your company helps you open one) and are paying taxes and everything that you can be eligible to convert a portion of your salary in pesos to US dollars at the government fixed exchange rate (5.4 or whatever it is now). Does anyone know anything about this?

Thanks!!

 

[sesamosinsal]

For now, that's the rule, if you will make more than $7,200 ARS/month (or has the minimum increased?). http://www.lanacion....p-con-mi-sueldo

But don't be surprised if this unexpectedly and unofficially changes, i.e. "No hay sistema" for days on end during peak demand... The government thinks they've won the war against the climbing dollar. Heh. We'll see.

What are the details of your work contract, if you don't mind me asking? Is it a local company? A foreign one?

 

[ecohen14]

Wow, thank you, that website is perfect! Does this apply/can be processed at any bank? Or do I need to go to a government office to do this each month? 20% max conversion seems pretty fair.

It is an American based company with an office in BA (not remote or online work) so I will be paid in pesos. But I am hoping to save some money in dollars!

 

[sleslie23]

It is an American based company with an office in BA (not remote or online work) so I will be paid in pesos. But I am hoping to save some money in dollars!

I would STRONGLY suggest that you have some formal agreement that you get a yearly (if not more frequent) inflation adjustment of your salary. If they can't agree to that, at least make your HR and managers aware that inflation in Argentina is high and MUCH higher than official statistics.

 

[Noruega]

...pesos to US dollars at the government fixed exchange rate (5.4 or whatever it is now).

The official is much higher than that, 8.549 right now.

 

[Joe]

Is it possible to have the company pay part of your salary in dollars in the US?

 

[ecohen14]

I doubt they would pay me in dollars, it is a very big company and I don't think they would want to get tangled up in all the legal details of that.

 

[sesamosinsal]

I doubt they would pay me in dollars, it is a very big company and I don't think they would want to get tangled up in all the legal details of that.

They don't have to pay you in dollars, but they might able to index your salary in dollars at a "bluer" rate.

I would not accept a work contract here in pesos without a clause regarding possible devaluations in the local currency.

Imagine you would have accepted a contract last year this time when the dollar was at $6.50 or something like that, only to have it devalue to $8.00 thirty days later.

 

[nkotb]

First of all, the rate you cited hasn't been around for years. The official rate is 8.55 today, as others have stated. Second, there are a myriad restrictions and conditions on exchanging pesos at the official rate - you should assume that this a privilege, not a right. There is a good reason regular Argentinians buy black market dollars at 12.73 as of today: legal purchases are mostly an illusion. Third, you will be charged 20% if you withdraw your legally bought dollars within a year or less. Fourth, the term "fixed rate" is definitely incorrect. The official rate was 4.20 three years ago when the currency restrictions began. I would strongly recommend doing more research on current economic conditions before deciding to move here.

 

[Ceviche]

The blue dollar going down is worrying me. Hope all is normal on jan 31st my target date.