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Client Minimum Budget and Hourly Rate Criteria

lanwanman
Community Guru

If I recall correctly, Upwork previously imposed a minimum rate requirement of $3 per hour for hourly jobs, which to me was a first-step, move in the right direction for all involved. However, with the more recent introduction of the new sliding service fee structure, I believe it is time for Upwork to take both a budget minimum and the hourly minimum rates to the next level.

 

A realistic budget minimum and a more realistic hourly minimum need to be set that are commensurate with the new sliding service fee structure. My hope is to eliminate or reduce job descriptions and invitations like the scenario described below:

 

Scenario: Today, I received and promtly declined an invitation (that I am supposedly required to reply to within 24 hours in order to maintain my 100% CS score -- unfair performance criteria I have suggested be eliminated)...for WordPress development of a website from scratch -- indicating less than 5 proposals, seeking Expert Level $$$, and on a $30 budget! In addition, the client had a poor rating of 4.36 with only 18 reviews. Now, how dumb is that?

 

With the new sliding service fee structure in mind, in my declining message I suggested to the client that he/she try Fiver.

 

Additionally, I do not think that clients are even reading freelancers' profiles before inviting them to bid. My profile includes some verbiage regarding payment e.g., "Pay rates are negotiable dependent upon...and estimated gross earnings...." Regarding earnings I added "$501 or greater preferred" in light of the new sliding service fee structure, which I fully support.

 

If Upwork intends to improve ROI for Upwork itself, Upwork clients, and even Upwork freelancers, and as long as Upwork has to compete with the likes of professional sites like Toptal and Flexjobs (TT and FJ), they need to make changes that will advance the more successful and professional freelancers and clients on the Upwork platform.

Ron aka LanWanMan
ACCEPTED SOLUTION
tlsanders
Community Guru

@Ronald T wrote:

 

 

Regarding earnings I added "$501 or greater preferred" in light of the new sliding service fee structure, which I fully support.

 

 


 How exactly does $501 help you? You get to keep 90% of that one extra dollar, sure, but it's not going to have a big impact on the bottom line.

 

If the job is $499, you pay 99.80 and keep 399.20. If it's 501, you pay $100.10 and keep $400.90. 

View solution in original post

28 REPLIES 28
lanwanman
Community Guru

Now, back to the other issues in the original post: What about a realistic budget minimum and a more realistic hourly minimum commensurate with the new sliding service fee structure. That is, changes that should eliminate (or reduce) frivolous job postings and invitations like the scenario described in the original post?

Ron aka LanWanMan

No.

 

What is more realistic is that clients with those "100s of cr*ppy little jobs" start combining them into something more substantial instead of bogging the whole system with their crud.


@Gerry S wrote:

No.

 

What is more realistic is that clients with those "100s of cr*ppy little jobs" start combining them into something more substantial instead of bogging the whole system with their crud.


Why would that make a difference (to client or freelancer) when the fees are based on lifetime aggregates? 

Fun fact: Was watching news (that's not so fun, I get it) and saw that in the US you can be a professional scarecrow for $15/hr

Just sayin'...

Ready to join this post 😄

"One thing I know, that I know nothing. This is the source of my wisdom"

Hi Matija! Interesting observation.

 

"$15/hr" should be the federal minimum wage here in the US (currently $7.25 USD per hour). However, we have millions of people working in food service, retail, and other service oriented jobs at remarkably low wages at or near our current minimum wage. In a lot of areas here in the US, those wages can barely support a household with one person.

 

The "Fed" is considering raising the minimum wage, and several states have already enacted higher minimum wages. However, for those that have already taken action, those actions (raises) will not take effect for several years to come.

 

Back to topic...any comments about new "Minimum Budget and Hourly Rate Criteria" commensurate with the new sliding service fee structure?

 

I will provide a starting point for others to shoot at!

 

Minimum Hourly Rate Criteria

 

Upwork can continue automatically suggesting hourly rates (when clients create jobs) based on the type of work and other factors as long as the following minimums are imposed:

 

Entry Level ($) is less than $18/hr
Intermediate ($$) is $18 to $31
Expert ($$$) is $31+

 

Minimum Budget for Fixed Price Jobs

 

$100 minimum!

 

Now, comment on that...lol....

 

Actually, I was hoping that key members here in the Community would offer their thoughts regarding my original post. Hopefully, they have not been persuaded to refrain from commenting on the new sliding service fee structure and related issues like that I brought forth in my original post. Maybe those issues are already on the Community table for further consideration by Upwork management?

 

Clients wanting expert level $$$ work with a $30 dollar budget? The absolute minimum for which I could have done the work described (see OP) is $200, which I believe from experience is commensurate with rates charged by intermediate $$ to expert level $$$ freelancers in third-world countries.

Ron aka LanWanMan

@Ronald T wrote:

Minimum Budget for Fixed Price Jobs

 

$100 minimum!

 

Now, comment on that...lol....


 No Thanks.

 

I LIKE translating 2 or 3 sentences over my morning coffee which takes me 10 minutes occasionally. I LIKE doing little jobs here and there which don't take long at all and are fun and connect me with nice clients who come back for other things.

 

Let people use their brain and decide what is and is not worth their while.

 

$ 100 is relative. For something that takes minutes it is way too high, for something that takes hours it is too low for many, for others it is fine if takes days. Who are we to say what people may and may not choose to work on?

miabubaker
Ace Contributor

Hello Everyone

 

An important update to Upwork's pricing

 

Please refer your important Upwork's pricing.This is to request you that taking into consideration of the above, you should fix minimum hourly proposal rate to $5.

 

Also minimum fixed price proposal rate should $100.

 

Regards,

 

Mohammad Iqbal

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