Source: https://rivet.global/blog/pay-contractors-in-brazil-from-us
Published: 2026-09-09 · Updated: 2026-09-09 · By Alexia M.

# How to pay contractors in Brazil from the US

Paying Brazilian contractors from a US company: BRL by PIX, the FX contract on inbound payments, IOF, CPF and CNPJ, W-8BEN and what each route costs.

## Key takeaways

- PIX, run by the Banco Central do Brasil, settles real payments in seconds.
- Payments from abroad are converted under an FX contract at the receiving bank or provider; IOF tax may apply on the exchange.
- Many Brazilian contractors invoice through a company (CNPJ), often under the MEI or Simples Nacional regimes.
- Collect a W-8BEN, or a W-8BEN-E if they invoice through a company.

Brazil has one of the strongest developer markets in the Americas, and PIX made local payments instant. Paying from the US adds a foreign exchange step on the Brazilian side.

## Routes

| Route | What happens |
|---|---|
| USD wire to a Brazilian bank | The bank closes an FX contract, converts to BRL, applies IOF where due |
| BRL payout via PIX | Your provider converts and pays locally |
| Platform | Platform fees and its own FX |

## What the contractor needs

- Account details or a PIX key in their name or their company's.
- An invoice; often a nota fiscal if they have a CNPJ.
- A clear description of the service for the FX contract.

## Your side

- W-8BEN or W-8BEN-E.
- Pay against invoices with references.

## A monthly run, step by step

1. Collect the W-8BEN or W-8BEN-E and the contractor's PIX key or bank details, with their CPF or CNPJ.
2. Agree whether the fee is set in USD or BRL.
3. Receive the invoice, or nota fiscal for contractors with a CNPJ, and pay on a fixed date.
4. Send the receipt and a short description of the service, which helps the contractor's bank close the FX contract.

Contractors invoicing through a CNPJ under Simples Nacional often prefer the payment in the company's name. Ask before the first run.

## Paying into the United States: the local rail

| What | Detail |
|---|---|
| Local rail | ACH for batch payments; RTP and FedNow for instant transfers |
| Run by | Nacha for ACH; The Clearing House for RTP; the Federal Reserve for FedNow |
| Settlement | Same-day ACH within the business day, standard ACH the next; RTP and FedNow in seconds, 24/7, where both banks take part |

Source: [Nacha: Same Day ACH](https://www.nacha.org/rules/same-day-ach-moving-payments-faster). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet pays contractors in Brazil in BRL on local rails where available, from your USD balance, with fee and FX shown before you confirm, and pays 120+ other countries the same way. Rivet is not a bank; regulated partner institutions hold the funds. See [BRL business payments](/blog/brl-business-payments).

## Questions

### How do I pay a contractor in Brazil?

By international wire to their bank, or by a provider that pays out in BRL via PIX or TED. Ask which they prefer.

### What is IOF?

A Brazilian tax on financial operations, including foreign exchange. The rate depends on the type of transaction; the receiving institution applies it.

### Does the contractor need a CNPJ?

Not to receive money, but many contractors invoice through a CNPJ for tax reasons.

### How long does it take?

A PIX payout arrives in seconds once converted. A SWIFT wire usually takes one to three business days plus the FX contract.