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How to pay additional payment correctly to freelancer?

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Active Member
UCLA B Member Since: Jan 7, 2017
1 of 14

I sent a "Funding request" to a freelancer in the amount of $50. It's in escrow now and I paid $51.38 for it. The freelancer requested I send 10% more becuase he only gets "$40". I think he meant $45, but anyway, I sent him a bonus of $5.56, but now I get this:

 milestone.png

 

I get the feeling I've not done the right thing. He has already accepted my original offer of $50, and I thought adding a bonus was how to add additional money to the project, but the value has been taken from the budget it would appear. 10% off the first $50 is $45, so sending $5.56 would show up as $5.004 on his end, so a total of $50.004, correct? Should I just end the conract and resubmit my offer with a value of $55.56? And then, if I do that, when will the previous amount "in escrow" be released back to my bank account?

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Community Guru
Petra R Member Since: Aug 3, 2011
2 of 14

The freelancer is NOT entitled to any more than the agreed contract value. The Upwork fee is paid by the freelancer out of the money they agreed.

 

If the freelancer agreed to $ 50 that is ALL you have to pay.


You have now paid out $ 5.56 to him. Don't give him any more, don't end the contract,  just wait until you have received and approved the work. Then adjust the amount you pay accordingly. ($ 50 are still in Escrow and you can edit the final payment to whatever suits you at that point)


You can also remind the freelancer that the fee he pays to Upwork is nothing to do with you in any way, shape, or form.

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Active Member
UCLA B Member Since: Jan 7, 2017
3 of 14

So, now that I've given a bonus, if I click "Pay now" for the $50 contract I will just be paying $44.44?

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Community Guru
Petra R Member Since: Aug 3, 2011
4 of 14

@UCLA B wrote:

So, now that I've given a bonus, if I click "Pay now" for the $50 contract I will just be paying $44.44?


 You can enter whatever value you want. When you finally do the "Pay Now" (AFTER you received and reviewed and approved of the work) you can just enter $ 50 into the relevant field.

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Moderator
Valeria K Moderator Member Since: Mar 6, 2014
5 of 14

Hi UCLA,

 

When you pay a bonus to the freelancer, the money is not added to Escrow but sent directly to them and they should be able to access it after 5-day security hold. $50 is still funded in Escrow and you can release it to the freelancer once they deliver work to you instead of closing the current contract and starting the new one.

~ Valeria
Untitled
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Community Guru
Claudia Z Member Since: Jul 28, 2015
6 of 14

@UCLA B wrote:

 

The freelancer requested I send 10% more becuase he only gets "$40". I think he meant $45, but anyway


The fee is 20% for the first $500 billed with a client. If the freelancer wants to get paid $50, total amount to bill $62.5


Rate calculator https://www.upwork.com/i/pricing/freelancers/ (under Resources)

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Community Guru
Katrina B Member Since: Jan 9, 2011
7 of 14

@Claudia Z wrote:

@UCLA B wrote:

 

The freelancer requested I send 10% more becuase he only gets "$40". I think he meant $45, but anyway


The fee is 20% for the first $500 billed with a client. If the freelancer wants to get paid $50, total amount to bill $62.5


Rate calculator https://www.upwork.com/i/pricing/freelancers/ (under Resources)


 You are correct but a professional freelancer has this built into their pricing. That's the whole point. The freelancer should never had asked the client for this. 

"Fairness is giving all people the treatment they earn and deserve. It doesn't mean treating everyone alike-Coach John Wooden"
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Active Member
UCLA B Member Since: Jan 7, 2017
8 of 14

Kudos for John Wooden.

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Community Guru
Katrina B Member Since: Jan 9, 2011
9 of 14

@UCLA B wrote:

Kudos for John Wooden.


 He was a very wise man!

"Fairness is giving all people the treatment they earn and deserve. It doesn't mean treating everyone alike-Coach John Wooden"
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Community Guru
Claudia Z Member Since: Jul 28, 2015
10 of 14

@Katrina B wrote:

 

You are correct but a professional freelancer has this built into their pricing. That's the whole point. The freelancer should never had asked the client for this. 


Should not have asked if that was the initial amount submitted.

 

Maybe the freelancer submitted a higher bid but the OP sent a lower offer and the freelancer asked to cover the fee instead of declining the offer.