Hourly contract doubt?

[ffdb56d8]

I recently got hired for 50/hr for 40hrs/week on a logo design does this mean that the client has already funded 50*40=$2000? do you think that the client might be mistaken while giving a contract to me, or does it show to the client that 2000$ were deposited?

[feed_my_eyes]

No, it doesn't mean that at all and no, those funds aren't in escrow - clients get charged for hourly projects on the following Monday, AFTER they have a chance to review your work diary. You're supposed to only charge the client for the time that you actually spend working on their project. If your screen shots don't show you actually in the process of coming up with ideas and drawing logos, then the client can dispute and not pay you, and Upwork won't cover any inactive time segments either.

Considering that you normally charge $200-300 for a logo, don't you think your client would be shocked to get a bill for $2,000?

[wlyonsatl]

Vedant J.,

The client has set up the contract to allow you to work up to 40 hours per week on his project.

That doesn't mean he expects you to work 40 hours. If he knew what he was doing, he'd have discussed with you how many hours designing the logo would require of you and set your hourly limit closer to that number.

He's trusting that you will book an appropriate amount of time on his project. And that may be nowhere near 40 hours. 

[ffdb56d8]

Got it I will take my usual charge of 350 that means 7 hours, thanks for the advice 🙂

[petra_r]

40 is the default limit. Most clients just don't touch it, it's pre-set.

As the others mentioned, hourly contracts are not funded at all.

[kinector · Accepted solution]

Vedant, what Christine, Will, and Petra said is correct.

You charge for what time it actually takes using the time tracker app.

Since it indeed looks like the client is unfamiliar with how Upwork works, you should lead the way. This is a great position to show they hired the right man for the job who is totally worth the trust they have put in you.

I'd recommend doing this:
- thank the client for the contract and give an estimate of how long it takes... a range is fine, e.g. get the first version out for review in 5-10h and revisions around 5h more (the numbers are fictional, I'm not a logo designer)

- tell that there may be some need for revisions according to the client's preferences which you are more than happy to accommodate (because the hourly contract allows unlimited revisions)

- tell by which date you will send the first draft (or wherever your work process dictates)

This would create a realistic expectation in the client's mind.

It's important to let your client know roughly what they will need to pay to get exactly what BEFORE you work a single minute. Don't press the Start button on the timer before the client know what to expect.

And like others already mentioned, probably the client is not hoping to buy a logo for 2,000 USD. Few do.

Freelancing is a service job, so our success comes from each client's success, which must come first. Whatever is put in the contracts is actually (quite strangely!) secondary. 😉

[ffdb56d8]

Got it I will take my usual charge of 350 that means 7 hours, thanks for the advice

[data_divas]

No you don't take your usual charge of $350 for 7 hours. 

You use the time tracker that tracks the hours it takes for this job and it will take screen shots of your work as you do it.  If it only takes 3 hours that's what you'll be paid, if it takes 6 hours you are paid for 6, not 7.