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smwhitaker
Member

Upwork Service Fees for Agencies

This is a resource for independent freelancers thinking of transitioning a client to an agency account. 

 

I have a client that I've done work for under my independent freelancer page. I decided to transition the client to my agency page and complete work there instead. I exceeded the $500 threshold for reduced fees with this client and believed that in taking the client to my agency, I would continue to receive the reduced fee. This is incorrect.  The help article -- https://support.upwork.com/hc/en-us/articles/211062538-Freelancer-Service-Fees -- is beyond confusing when it address this issue. 

Agencies

"Agencies working with Marketplace and Pro clients are subject to the same pricing structure. We calculate agency service fees based on total agency billings with a client across all contracts. This means that all contracts any of the agency’s freelancers have had with a single client count towards an agency’s lifetime billings with that client."

 

To me, this clearly states that ALL CONTRACTS with this client (held by any freelancer in the agency) count toward an agency's lifetime billings with that client. I also read other forums where this question was posed and Community Guru's interpreted it to mean the same thing. THIS IS NOT THE CASE.  

 

This section--the final sentence in particular--is very poorly phrased and misleading. I am now being charged the 20% fee with this client through my agency. Basically, I'm paying an additional $50 of my earnings which was totally unnecessary and completely avoidable.

 

The article should be re-written to clarify its actual meaning which is: All contracts completed with a client through the agency will count toward the lifetime billings with that client, and the fee will be reduced when the billings exceed $500, even if those agency billings come from multiple freelancers. 

 

For anyone considering transitioning a client from your independent freelancer account to your agency account, be advised that your service fee will remain 20% through the agency until you've met that threshold again. 

 

 

3 REPLIES 3
kochubei_valeria
Community Manager
Community Manager

Thanks for sharing your feedback, Stacie. We'll forward it to the team that reviews and updates our Help Articles.

~ Valeria
Upwork

Thanks Valeria, 

 

One other question. Is there somewhere specific that I can suggest / request that a category be added? I'm a scriptwriter and that isn't a category under writing. (I think it has recently been applied to the skills tags, which helps to some degree, but not where it would be most beneficial.) Currently, my portfolio items have to be marked as either "copywriting," "creative writing," or "other." 

 

It makes it difficult to search for jobs because I have to get really creative with search terms (i.e. "video script write"). I've also had clients tell me that it's difficult to find a scriptwriter. (Many people confuse scriptwriter and screenwriter.) In any case, I'm curious if there is somewhere I can make that official request. 

 

Thanks!

Stacie,

 

I can go ahead and share your suggestions with the team. While categories aren't changed very often, they are reviewed from time to time.

 

Thanks!

~ Valeria
Upwork
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