The effects of 'Brexit' on your online income

byPeterTy

149 followers

8 years ago

If, like me (and thousands of other WA members) you’re an ‘international’ member, based outside the US, then you may be wondering about the effect of ‘Brexit’ (the UK’s impending exit from the EU) on your online earnings.

The pound/dollar exchange rate hit a 31-year low recently, after Theresa May, the new UK Prime Minister, gave a speech at the Conservative party conference in Birmingham on 5 October which seemed to confirm that we’re heading for a ‘hard’ Brexit – not just leaving the political union of the EU but leaving the European Single Market as well. This is likely to drive the pound (and probably the Euro too) down even further against the dollar in future.

So is this good news or bad news? Well, it means that any dollar payments that you make, such as your WA subscription, domain registration, or software purchases, will be more expensive; but on the other hand, any affiliate income you receive in dollars will now be higher when converted into pounds. So, assuming that your online income is higher than your outgoings (and if it isn’t yet, hang on in there, follow and apply the WA training, and it soon will be J) then overall it’s good news!

Also, don’t forget that WA (and many other) affiliate commission payments are paid via PayPal, which you can then withdraw in your own currency. Paypal’s exchange rate is pretty good, usually better than you’ll get from your own bank. (Incidentally, it’s a good idea to make payments via PayPal as well; if you use your own UK or European debit or credit card directly, not only will it be at the bank’s exchange rate but your bank will probably add a ‘foreign currency transaction charge’ as well!)

There is one further possible future complication if, like me, you live in Scotland. (I’m English by birth, but I’m currently living in the beautiful Scottish Highlands.) This prospect of a hard Brexit has revived speculation about an ‘IndyRef2’: a second referendum on Scottish independence, so that Scotland could stay a member of the EU rather than being dragged out with the rest of the UK. If that does happen then Scotland will almost certainly have its own currency – this time it’s unlikely that Scotland would have a ‘sterling currency union’ with the UK, and it’s also unlikely that it would join the Euro, at least initially. In that case, as an unproven new currency the new ‘Scottish Pound’ (or whatever they decide to call it!) is likely to be weak against the dollar – so again, on the whole that would be good news for those of us whose earnings are paid in dollars.