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Questions about service fee

yuni12
Ace Contributor
Yuni P Member Since: May 4, 2017
1 of 4

First of all, I would like to thank UPWORK for helping me with my freelance career. Smiley LOL Heart

 

Also I would like to thank all of you guys - the community gurus - who suggested great things for me!~ Smiley Very Happy

 

I just earned my first $500 on upwork. Yayyyyy~

But..

Why does my service fee showed that I still have to pay 20% ? (I still have some pending payment)

Also when I tried to bid on new jobs, it still show that I have to pay 20%, should it be reduce to 10% because I already earn $500 ?

 

I read on https://support.upwork.com/hc/en-us/articles/211062538-Freelancer-Service-Fees?flash_digest=8b7f8352... and https://www.upwork.com/i/pricing/freelancers/?tsf=1

 

Example: On a $600 project with a new client, a freelancer’s service fee would be 20% on the first $500 and 10% on the remaining $100 for earnings after fees of $490.

 

I remembered that I earned $339 , so I only need $161 to reach $500 right? At that time I have 2 pending payment which is $231 that is available today & the other on 3rd August.

Should it be charged like this:

$161 - 20% service fee = $128.8

$70 - 10% service fee = $63

 

Why I only received $185 and still got charged 20%?

Also, why does my "pending payment" still has to pay 20% service fee although I alread reach $500?

 

Thank you~

prestonhunter
Community Guru
Preston H Member Since: Nov 24, 2014
BEST ANSWER
2 of 4

It is at $500 earned working for one client that the fee becomes 10%. For all new work done for that client.

 

Not $500 per freelancer.

View solution in original post

melaniemaghanoy
Community Guru
Lanie M Member Since: Jun 24, 2015
3 of 4

Hi Yuni,

 

Pricing is based on your lifetime billings with a single client since your first job with them on Upwork. These are the fees you will pay:

 

    • 20% for the first $500 you bill your client across all contracts
    • 10% for total billings with your client between $500.01 and $10,000
    • 5% for total billings with your client that exceed $10,000

For example, if you begin an hourly or fixed-price contract with a new client for $1,000, you’ll be billed 20% on the first $500 and 10% on the remaining amount over $500.01. This means that all contract billings you have with the same client are summed up to calculate your service fee. You can view your lifetime billings with each client here.

 

Checking your income from each of the client you worked with, none have yet to reach the $500.

Please refer to this link:

New Pricing for Freelancers

 

yuni12
Ace Contributor
Yuni P Member Since: May 4, 2017
4 of 4

Thank you Preston & Lanie. Heart

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