Learn how the Upwork Freelancer Service Fee works. See examples of fee calculations, refunds, discounts, and special cases like Direct Contracts.
In this article
- What is the Freelancer Service Fee?
- How is the Freelancer Service Fee set?
- How will I know what the Freelancer Service Fee is for a job?
- Can you show me examples of how the Freelancer Service Fee works?
- Should I expect the fee on my contracts to change?
- If money is refunded to my client do I get my Freelancer Service Fee back?
- Is there a way to get a discount on the Freelancer Service Fee?
- Does everyone pay the Freelancer Service Fee?
What is the Freelancer Service Fee?
It’s the fee you pay on your Upwork earnings. The fee ranges from 0% to 15% per contract, and helps us provide you with payment protection, fraud prevention, dispute resolution, and all the tools that help you run your business more smoothly.
How is the Freelancer Service Fee set?
The Freelancer Service Fee is set based on factors that help support a balanced and competitive environment across different types of work. Once your contract begins, the fee is fixed and won’t change.
How will I know what the Freelancer Service Fee is for a job?
You’ll see the fee percentage when a client sends you an offer, or you are submitting a proposal, so you always know the exact fee that applies beforehand. You can also view the fee at any time in your contract details and in your transaction summaries.
Can you show me examples of how the Freelancer Service Fee works?
The Freelancer Service Fee can vary per contract and our built-in rate calculator estimates your net pay (after the fee) to help you bid accurately. We charge the client the exact billing rate you enter, but at times rounding may occur.
Example: You want to take home $20 USD per hour after the Freelancer Service Fee. If your fee is 10%, you’ll want to charge the client $22.22 USD per hour.
- Your client is charged $266.64 USD (12 hours x $22.22)
- The 10% fee is $26.664 USD or $26.66 USD when rounded down to nearest cent
- Your net earnings are $239.98 USD ($0.02 less than estimated, 12 x $20 = $240 USD)
Example: You want to take home $25 USD per hour after the Freelancer Service Fee. If your fee is 10%, you’ll want to charge the client $27.78 USD per hour.
- Your client is charged $333.36 USD (12 hours x $27.78 USD)
- The 10% fee is $33.336 USD or $33.34 USD when rounded up to nearest cent
- Your net earnings are $300.02 USD ($0.02 more than estimated, 12 x $25 USD = $300 USD)
Should I expect the fee on my contracts to change?
No. Once a proposal, offer, or contract is sent, the Freelancer Service Fee is locked in and won't change. The fee can vary for different contracts though.
If money is refunded to my client do I get my Freelancer Service Fee back?
If your client is refunded—either by you or through our payment protection—we’ll return the Freelancer Service Fee you paid on that amount.
Example: Let’s say $100 that was paid to you is returned to the client and your Freelancer Service Fee was 10%. Since we charged you the 10% fee ($10) on those earnings, we will refund that $10 service fee to you. This way you aren’t paying fees on money you didn’t keep.
Is there a way to get a discount on the Freelancer Service Fee?
No, we are not offering any regular discounts. We may offer special promotions at times—if these apply to you, we’ll let you know.
Does everyone pay the Freelancer Service Fee?
There are exceptions, including:
- Upwork Payroll: Freelancers participating in the Upwork Payroll service are paid through a third-party staffing firm and are therefore excluded from paying an Upwork Freelancer Service Fee.
- Any Hire: If you work for a client on an Any Hire contract, you will not pay a Freelancer Service Fee. These contracts are negotiated with the individual client who either met the freelancer off Upwork or paid the conversion fee to work with a freelancer found on Upwork's Marketplace.
- Direct Contracts: If you have created a Direct Contracts contract with a client you brought to Upwork, you’ll pay a reduced Freelancer Service Fee. Learn more here.
- Enterprise: If you're working with an Enterprise client, your service fee might look a little different. Typically, freelancers partnered with Enterprise clients pay a 10% service fee. But since Enterprise relationships are customized, your exact rate depends on the specific terms agreed to when the client joined the program. If you’re unsure what applies to your contract, your Enterprise point of contact is the best person to check with—they’ll have the details specific to your setup.