Learn how Upwork Direct Contracts work when you bring a client to Upwork, including fees, setup, payment, and effects on your metrics.
In this article
- How do Direct Contracts work?
- What's the cost for me as a freelancer when I initiate a Direct Contract?
- How do I initiate a Direct Contract on Upwork?
- How does a Direct Contract affect my Upwork activity metrics (e.g. JSS score, number of contracts, dollar earnings, Top Rated status)?
- Can I have hourly and fixed-price contracts with Direct Contracts?
- How do I request payment from my Direct Contracts client?
- How do I switch my current contracts to a Direct Contract?
- Do I log time for Direct Contracts in the time tracker?
How do Direct Contracts work?
- You can send fixed-price or hourly contract proposals to your clients who aren't on Upwork yet. They'll receive the invitation in their email. (If you try to invite a client who's already on Upwork, you'll get an error message and won't be able to send the proposal)
- If your client wants to accept the contract, they'll need to create an Upwork account first.
- You can see your pending contracts on the Direct Contracts page. Once a client accepts a contract, you'll see it in Your active contracts.
- After your client signs up for Upwork and accepts your proposed contract, it will work just like other Marketplace contracts, except you'll pay a reduced freelancer service fee. Everything else — submitting work, payments, feedback, disputes, ending the contract — will work the same.
- You'll need to initiate any future contracts with that client through the Direct Contracts page to continue to receive the discount.
Here's how fees work:
- You pay a 5% freelancer service fee on the earnings you make on Direct Contracts. The fee is 5% of the total value of the contract. For example, if your earnings are $100 USD you'll be charged a fee of $5 USD.
- If you’re an active Freelancer Plus member, you won't pay any freelancer service fees on Direct Contracts.
- Your client will pay the Client Marketplace fee and a Contract Initiation fee.
What's the cost for me as a freelancer when I initiate a Direct Contract?
Freelancers are charged a 5% freelancer service fee for contracts initiated through the Direct Contracts page. Note: If you’re an active Freelancer Plus member, you won't pay any freelancer service fees on Direct Contracts.
After your client accepts your invitation, you'll need to initiate future contracts with them through the Direct Contracts page to receive the discounted freelancer fees.
How do I initiate a Direct Contract on Upwork?
Go to Find work > Direct Contracts and choose Create a contract to get started.
How does a Direct Contract affect my Upwork activity metrics (e.g. JSS score, number of contracts, dollar earnings, Top Rated status)?
A Direct Contracts contract will have the same impact on your metrics as other contracts. You and your client can leave each other feedback, which can impact your JSS score and Rising Talent or Top Rated status, and the number of contracts and dollar earnings will be counted in your totals.
Can I have hourly and fixed-price contracts with Direct Contracts?
Yes! You can have both hourly and fixed-price contracts with the Direct Contracts option.
How do I request payment from my Direct Contracts client?
Payment occurs the same way that it does for Marketplace contracts. Hourly contracts will be billed weekly based on time you log with the time tracker or add manually, and you'll submit work for payment for fixed-price contracts.
How do I switch my current contracts to a Direct Contract?
Existing contracts on Upwork cannot be changed to a Direct Contracts contract.
Do I log time for Direct Contracts in the time tracker?
Yes, you'll log time for Direct Contracts in the time tracker, just like for other contracts.