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w3bmast3r
Community Member

I received two invoices for the same payment

Hello.

I had received two invoices.

Both were created on the same date.

Both of them were created on February 21st 2021.

Both of them are for the exact same amount: $510

Here are their IDs if Upwork stuff wants to check them out:

T361643294
T361643366

Invoice T361643294 was sent by the freelancer I worked with, who actually delivered the service.

Invoice T361643366 was sent by Upwork. I assume it refers to that same payment. I didn't pay $510 on that day to any other freelancers.

For tax purposes, I need to be declaring every invoice I receive, as a business expense.

But in this case, it appears I paid $510 (once), but I have actually received two invoices for this.

Can you help me understand how this works?

Thanks!

ACCEPTED SOLUTION
BojanS
Community Manager
Community Manager

Hi George,

 

I can see where the confusion came from and will share your suggestion with our Product team. Transactions on fixed-price contracts have more complex back-end accounting than on hourly contracts because funds are being moved around in more steps:

  1. Funds are deposited into your account from a billing method
  2. Funds move out of your account into escrow
  3. Funds move out of your account to cover the payment processing fee
  4. When releasing payment, funds are deposited back in your account from escrow
  5. Funds are sent from your account to the freelancer or agency

You can check this help article for more information, and this one about the Invoices and Transactions.

 

Thank you! 

~ Bojan
Upwork

View solution in original post

2 REPLIES 2
BojanS
Community Manager
Community Manager

Hi George,

 

I can see where the confusion came from and will share your suggestion with our Product team. Transactions on fixed-price contracts have more complex back-end accounting than on hourly contracts because funds are being moved around in more steps:

  1. Funds are deposited into your account from a billing method
  2. Funds move out of your account into escrow
  3. Funds move out of your account to cover the payment processing fee
  4. When releasing payment, funds are deposited back in your account from escrow
  5. Funds are sent from your account to the freelancer or agency

You can check this help article for more information, and this one about the Invoices and Transactions.

 

Thank you! 

~ Bojan
Upwork
w3bmast3r
Community Member

Thanks Bojan!

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