Understanding Upwork Payments

Intro

Your earnings from Upwork jobs are based considerably on the terms fixed between you and your client. Therefore, instead of a fixed pay scale, the payment model in Upwork is somewhat flexible. You can charge by the hour or a fixed price for a project.

Hourly Projects

• Hourly projects: This is where you’re paid for the time you spend on a particular task. While discussing the project requirements with your client, you negotiate an hourly rate. The hours you work are documented and confirmed with the client through Upwork’s Work Diary. As a result, your pay rate ties directly with the number of hours you’ve worked.

Fixed-price Projects

• Fixed-price projects: For these types of projects, you and your client agree on a fixed price for the entire project. The project is then broken down into milestones, and payments are usually released after the completion of each milestone.

Upwork Service Charges

Remember, Upwork charges a service fee on all payments, calculated on a sliding scale as follows:

• 20% for the first $500 billed with a client
• 10% for lifetime billings with a client that total between $500.01 and $10,000
• 5% for lifetime billings with a client that exceed $10,000

In conclusion, the pay you receive from Upwork depends on the terms that you and your client agree upon and the total amount of work you do. The more projects you undertake and successfully complete, the more you earn. Consider your expertise, experience, and the market rate when setting your fees.
Hope this information helps. Happy freelancing!