Upwork offers hourly contracts for flexible, evolving projects and fixed-price contracts with optional milestones for clearly scoped work. Freelancers can also earn through Consultations—offering expert guidance at set hourly rates—and Project Catalog—featuring pre-defined service packages clients can purchase directly. Each contract type supports different project needs and earning strategies.
In this lesson, we'll explore the different contract types available on Upwork and discuss how to choose the best fit for your project. We'll also explore Upwork's earning potential through Consultations and Project Catalog.
Upwork offers various contract options to ensure clear expectations and secure transactions between freelancers and clients. Here's a breakdown of the most common types:
- Hourly contracts are perfect for ongoing projects where the scope of work might evolve. You bill clients based on your work hours, tracked through Upwork's time-tracking tool.
- Fixed-price contracts are ideal for well-defined projects with a predetermined scope of work and a fixed total price.
- Milestones are a feature in fixed-price contracts and a good option for breaking down larger projects into smaller steps. Payments are released upon completion of each step.
Choose the right contract type
- Project scope clarity: For well-defined projects with a clear deliverable, fixed-price contracts offer simplicity.
- Ongoing or evolving work: For projects with an uncertain timeframe or evolving requirements, hourly contracts provide flexibility.
- Payment milestones: Fixed-price contracts can include milestones for complex projects where deliverables can be broken down into steps with corresponding payments.
Expand your earning horizons with Upwork
- Project Catalog: Create pre-defined project packages with a set scope and price for your specific services. Clients can browse and purchase these packages directly from your profile.
- Consultations: Offer one-on-one consultations or short-term project services at an hourly rate. Clients can book time directly on your Upwork profile.
Understanding contract types empowers you to choose the best fit for each project, ensuring clarity and protection for you and your client. Upwork's Consultations and Project Catalog features provide additional avenues to showcase your services and expand your earning potential.