The True Cost of Hiring Freelancers: Upwork vs. FreeUp

How much do you expect to pay when hiring freelancers? The hiring cost will depend on many factors, including the job, freelancer location, etc. 

However, we contend that when calculating the actual cost of hiring, you also need to consider the platform you’re choosing to hire on. Today, we want to examine the differences between Upwork and FreeUp in terms of hiring costs. 

The Cost to Hire

Any freelancer platform you visit will have fees built into the freelancer rates. This is how freelancer platforms exist and provide services. 

What are the fees at Upwork? The fees at Upwork are a bit confusing. According to their website, clients pay a 5% fee on all payments to freelancers. 

Freelancers pay a fee of 10% on all payments received. In addition, you’re also subject to a one-time hiring fee. This fee was increased in June of 2024 and can now go up to $14.95, but it does vary. 

If you’re eligible, you can receive a discount on that fee, but that only applies to clients in the US who are willing to pay using a checking account. 

What about FreeUp? Yes, FreeUp also has fees, but our fee structure is designed to be simple and easy to understand. 

To make it simple, our fee is 20% or a $2 minimum. That fee is built into the cost of your freelancer’s rate. So, if you’re paying a freelancer $10 an hour, you’re paying a freelancer $10 an hour. 

With FreeUp, there’s no hiring fee or other hidden fees to surprise you on your invoice. We believe in transparency and want you to feel secure in your hiring process. 

Let’s Look at an Example

Lots of numbers, right? Let us break it down for you a little further: 

You hire a freelancer for a 10-hour project at $10 an hour. 

Here’s your cost at Upwork: 

Here’s your cost at FreeUp: 

The True Cost of Hiring

The true cost of hiring goes beyond what shows up on your invoice. When hiring a freelancer, there are hidden costs that many people don’t think about. This includes factors like quality of work, trustworthiness, and time. 

At FreeUp, we help with these costs as well. We’ll discuss just a few things. 

The Top 1% 

At FreeUp, we take the time to vet all of our freelancers before they can even join the platform. We then hand-match you with freelancers who have the skills you need. 

By doing this, we ensure that you have access to the Top 1% of freelancers. But what about Upwork’s claim that with their Enterprise Solutions or Managed Services, you can access their Top 1% of freelancers? 

That’s great! But Enterprise Solutions costs more. How much? Who knows? Upwork is far from transparent about their pricing, first they want to get you in a sales call. 

At FreeUp, you can access the Top 1% without the extra cost. We also provide Managed Services with a transparent pricing model. 

Time

You can get dozens of responses when you post a job on Upwork. However, that doesn’t mean the applicants have the skills you need. 

It’s up to you to weed through the masses to find the rare gem you’re looking for. At FreeUp, we focus on quality over quantity. 

We save you time by pre-vetting your applicants for you (for free). This makes it possible for you to find the talent you need without all the hassle and time. 

Support

We’re not sure about you, but we’re not fans of talking robots (Unless it’s Rosey from the Jetsons). That’s why, while many platforms are upgrading to AI chats, we keep it old school. 

When you reach out to FreeUp, you’re connecting with actual humans. You can hop on a call with us, send a text, email, and more. 

Other platforms rely on AI to handle their customer service, and when you try to get a real human, good luck there. 

No-Turnover Guarantee

Sometimes, things happen. We get it, but if your freelancer can’t finish your project, we’ll help you find someone new. We’ll also help with applicable replacement costs so you can get your new freelancer up and running. 

That’s not something you’ll find on other platforms. 

Know Your Money Is Safe

We’ve heard all of the horror stories: freelancers who take money and then disappear or who give you work that doesn’t meet your expectations and then disappear when it’s time to make revisions. We’ve then heard the stories of the platforms that don’t provide the support needed to resolve these issues. 

At FreeUp, we have safeguards in place for this. When you agree on a fixed price rate, we hold the money in escrow until you permit us to release it. When you hire hourly, you have a 7-day dispute period from your invoice date. 

Save Money on Hiring

We know we’ve been tooting our own horn here (a lot). However, we’re wrapping it up!  

We’re so confident that you’ll love our freelancers that we offer one other thing that you won’t see on different platforms: frequent promotions. Hire a freelancer, and we’ll give you money to help them get started! 

You can always check out our promotion page to see available deals. 

Start Hiring Freelancers With FreeUp 

When you’re hiring freelancers, you want to know how much you’re going to spend. At FreeUp, we aim to simplify it while matching you with top talent. 

Are you ready to Free Up your time? Schedule a free consultation with one of our account managers today to get started.