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Re: Upwork is still taxing me 20% long after Reaching my $500 earned mark.

kire_t
Ace Contributor
Kire T Member Since: Mar 26, 2019
1 of 7
I need to get in contact with customer support but can’t find their email anywhere.

I have made $1k+ on Upwork and they are still charging me 20% in fees when they should only be charging me 10%. I would like to dispute every few or at least the most recent ones since I made the $500 earned mark.

I work really hard on this site and stay within the confines of what Upwork asks me to. I work this job from home and it is one of my only sources of income. Can someone help me deal with this?
prestonhunter
Community Guru
Preston H Member Since: Nov 24, 2014
2 of 7

Kire:

It is after earning $500 per client that Upwork's freelancer fees go from 20% to 10%.

prestonhunter
Community Guru
Preston H Member Since: Nov 24, 2014
3 of 7

re: "Upwork is still taxing me 20%..."

 

We do not want to use the word "tax" for this.

 

Upwork does not "tax" freelancers. Taxes are levied by governments.

 

Upwork collects "fees" on a percentage of freelancer earnings.

kire_t
Ace Contributor
Kire T Member Since: Mar 26, 2019
4 of 7

It's really the same thing. The only difference is the source. It all equates to money being taken out of your pay. Don't think the terminology matters in that respect.

petra_r
Community Guru
Petra R Member Since: Aug 3, 2011
BEST ANSWER
5 of 7

Kire T wrote:

I have made $1k+ on Upwork and they are still charging me 20% in fees when they should only be charging me 10%.

You have made $ 1k - but over 19 jobs with lots of different clients.

As Preston pointed out: The 10% apply once you've made $ 500 with any one client, and only for payments made by that client going forward.

 

View solution in original post

kire_t
Ace Contributor
Kire T Member Since: Mar 26, 2019
6 of 7

Okay. I wasn't aware of that as per the descriptions online. Well, that's disappointing.

resultsassoc
Community Guru
Bill H Member Since: Aug 18, 2017
7 of 7

Kire,

 

I regret that you are disappointed. You pay nothing until a client gives you money. To pay for a public listing, prospecting, contracting, billing and record keeping costs most small businesses about 25% of revenue. UW's 20% is a bargain.

 

You raise an interesting point, one that UW should consider once it starts making a profit. The "payments by client" price break for fees makes sense when most jobs are commodity services sold on price. When they are higher value-add, total revenue produced is a better way to set price break points.

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