Understanding Upwork Fees

Upwork’s Service Fee

As a freelancer on Upwork, the primary fee you should be aware of is the service fee. This service fee is taken as a percentage of your earnings on each contract, and it is designed to cover the cost of running the platform and services Upwork provides. The rate you will pay depends on the total amount you’ve billed a client.

Here are the rates:

• 20% for the first $500 you bill a client across all contracts
• 10% for total billings with a client between $500.01 and $10,000
• 5% for total billings with a client that exceed $10,000

Other Potential Fees

In addition to the service fee, there are a few other potential fees you may encounter on Upwork, including:

• A $2 withdrawal fee for direct deposits (unless you’re in the U.S. or Canada). Other withdrawal methods may have higher fees.
• The cost of Upwork Connects, which are needed to submit proposals for jobs. You will get some free every month depending on your membership plan, but you may choose to purchase more.
• A membership fee if you choose to upgrade from the basic free account to a Freelancer Plus account.

To Summarize

The primary cost of using Upwork as a freelancer is the service fee, which is a percentage of your earnings. The specific rate depends on your total billings with each client. There are also other optional or transactional fees you may encounter.