Upwork Fees: What You Need To Know

Great question! It’s important to understand the fee structure when starting out on Upwork. Let’s break it down:

Upwork Fee Structure

For freelancers, Upwork implements a sliding fee structure. Here’s what you can expect:

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

The Fee Reduces as You Earn More

Yes, you read that right. As your working relationship progresses with a client and your total earnings exceed certain milestones, the fees reduce.
In simpler terms, the more business you do with a client, the less percentage Upwork takes.

A Tip for Getting Started

When starting out, the 20% fee might seem hefty. However, once you’ve billings over $500 with the same client, it drops to 10%.
This incentivizes freelancers to build long term relationships with clients.

Sidenotes

• Remember, in addition to these fees, if you choose to receive payments via wire transfer, additional fees may be charged by your bank.
• Also, keep in mind the ‘payment process fee’ that Upwork charges clients when they pay their freelancers.

Hope this clears up the Upwork fee structure for you. Happy freelancing!