Upwork Service Fees

Understanding Upwork’s Fee Structure

As a freelancer using Upwork, it’s important to understand that the platform operates on a sliding fee structure. This means the percentage they take as a service fee changes depending on your lifetime billings with a particular client.

Breakdown of Fee Structure

• 20% for the first $500: Upwork takes 20% of the earnings you make on a contract until the lifetime billings with your client reach $500.
• 10% from $500.01 to $10,000: Once your lifetime billings with a client exceed $500, the fee drops to 10%. This continues until your lifetime billings with that client reach $10,000.
• 5% for $10,000 and beyond: If your lifetime billings with a client exceed $10,000, the platform fee reduces to 5%.

Please note: These amounts are about the lifetime billed amount with each client individually, not your total Upwork earnings.

The Importance of Long-Term Contracts

The sliding fee structure incentivizes freelancers to establish long-term relationships with their clients, as the fees decrease substantially as the amount of work with a single client increases.

Related Expenses

Remember also that possible payment processing and withdrawal fees can affect the total amount you get.

I hope this clarifies your question about Upwork’s fee structure. Don’t hesitate to ask if you need any further information.