#Help - Fees to pay for filings - Upwork or do I have to use something else

[jendejournett]

Question:

I have a client that I need to file some documents with the IRS and State to get their nonprofit status filed.  Because they are an online system, I have to pay the filing fee when I submit the documents for them.  No, they can't do it on their end becuase there are specific questions I have to do. The total cost is around $400 ($260 for the Feds for the filing Fees, $90 for the State and a few other miscellaneous charges)

I prefer to have the funds upfront and then file.  But if that isn't possible, I can do it the other way, if there is no other option.

Is there a way on upwork to submit expenses and have them reimbured (OR pay ahead so I can submit the fee) OR do I have to submit them an invoice seperately.    

Has anyone else had to do this and is there a best practice, Upwork process or other way to do it?   Appreciate the help in determining the best and most effective way to do it. 

Thanks bunches for the help!

[mwiggenhorn]

The client can pay you a bonus in the amount of the filing.  Be aware that UW will still take its percentage so be sure to cover that.

[petra_r]

---

Jennifer D wrote:

I have a client that I need to file some documents with the IRS and State to get their nonprofit status filed.  Because they are an online system, I have to pay the filing fee when I submit the documents for them.  No, they can't do it on their end becuase there are specific questions I have to do. The total cost is around $400 ($260 for the Feds for the filing Fees, $90 for the State and a few other miscellaneous charges)

I prefer to have the funds upfront and then file.  But if that isn't possible, I can do it the other way, if there is no other option.

Is there a way on upwork to submit expenses and have them reimbured (OR pay ahead so I can submit the fee) OR do I have to submit them an invoice seperately.    

---

The client has an "expenses" option in their "make a payment" functionality, but *do* remember that they will have to be charged an extra 10% (if the client has already paid you more than $ 500) or 20% (if not) on top of the filing fee (depending on how much you have earned from that client so far) to make up for the fee.

[jendejournett]

Are expenses paid immediately?   or is their a delay?  The only reason I ask is that we are working to expediate the filing so they can get free usage of the school gym veruss the excess rental rates they are paying. 

[petra_r]

---

Jennifer D wrote:

Are expenses paid immediately?   or is their a delay?  The only reason I ask is that we are working to expediate the filing so they can get free usage of the school gym veruss the excess rental rates they are paying. 

---

They are paid exactly the same as normal bonuses, there is a 5 day security delay.

The client might be able to fund a one-time-virtual credit card with the money needed (no more) in their (NOT your) name, and let you use that. A bit complicated but that might work. It would avoid the client having to pay the Upwork fee on top, and would not count as disintermediation, as you would be using the clients credit card to pay for the client's filing.

[tlsanders]

No, it's basically the same as release of a milestone.After the client makes payment, it will take 5 days to release to you. Sometimes 6-7, since the payment is just being processed (unlike escrowed funds)

[jendejournett]

thanks for the info.  Jen