Upwork Payment Protection helps provide security and peace of mind to clients and freelancers working together on both hourly and fixed-price projects.
Upwork Payment Protection consists of two sub-programs:
Upwork Hourly Protection is pretty straightforward: clients pay for hours worked, and freelancers get paid for the time they spend working. This program uses the following features to ensure that, on hourly projects, an hour worked is an hour paid, and an hour paid is an hour worked.
Upwork Fixed-Price Protection uses escrow to help ensure that clients get the work they’ve contracted for and that freelancers get paid for the work they deliver.
For clients, this means using milestones to budget and set deadlines for work deliverables. When starting a fixed-price contract, the client makes a deposit into escrow to pre-fund the first milestone of work; for projects with multiple milestones, this process is repeated at the beginning of each stage.
Once a client has signed off on deliverables for a milestone, the payment is released to the contractor.