Understanding Upwork Fees

Overview

Upwork is a fantastic platform for freelancers to offer their services, but like many other platforms, it charges a service fee. Understanding fees is critical to making sure you’re priced competitively while also earning a good income.

Upwork’s Sliding Service Fee Structure

Upwork charges a sliding fee based on your lifetime billings with each client. This encourages long-term relationships with your clients. Here’s how it breaks down:

• For the first $500 you bill your client across all contracts, Upwork charges a 20% fee.
• For total billings with your client between $500.01 and $10,000, the fee reduces to 10%.
• For lifetime billings with your client that exceed $10,000, the fee further reduces to 5%.

Example

Suppose you’ve billed your client $600 in total. The first $500 would incur a 20% fee, which is $100. The remaining $100 would incur a 10% fee, for a total fee of $110.

Fees for Freelancers vs Freelancer Agencies

Note: This sliding fee structure applies to freelancers. If you are part of an agency on Upwork, fees may vary. Be sure to review fee details for agencies.

Remember, the aim of these fees is for Upwork to maintain and continue to build a platform where freelancers like us can find rewarding work. I hope this helps in understanding Upwork’s fee structure!