Is Upwork legit? What you need to know | Outsource Accelerator (2024)

If you’ve ever tried an easier way of looking for a job, chances are that you’ve heard of Upwork.

Sites like Upwork have made online working easier than ever, using a freelancing marketplace to connect people to jobs, even internationally. Whatever your chosen profession, there are various opportunities to choose from.

While many freelancers today take full advantage of this platform, for some, there is still this lingering question – is Upwork legit?

Before we answer that question, let us first discuss the fundamentals of Upwork.

What is Upwork?

“Our mission to create economic opportunities so people have better lives has taken us so much further. As a result, we’ve become the world’s work marketplace where everyday businesses of all sizes and independent talent from around the globe meet here to accomplish incredible things.” – Upwork CEO Hayden Brown

Upwork is a site where independent professionals connect to clients. According to its company profile, it is the world’s largest workplace.

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As many as 3.5 million jobs are posted annually by 4.5 million clients, who choose from 10 million registered freelancers.

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Upwork offers the attraction offreelancingto its users. It is accessible to all types of freelancers, most especially those with administrative, writing, technical, design, and data entry skill sets.

Many people choose this type of career mainly due to the flexibility attached to it. In freelancing, you can choose your schedule, as well as apply for only the kinds of projects you’re interested in working on.

Money is also a factor in engaging people to freelance.

On average, freelancers can earn more than traditionally employed workers. Upwork’s Freelance Forward Economist Report revealed that freelancers earn44% higherthan traditional office workers.

In addition, several large and small businesses prefer to hire freelancers for certain remote jobs where workers don’t need to be physically present.

How does Upwork work?

The platform is relatively simple to use. On their Upwork account, companies or clients post job offers, freelancers bid on the job, and the ones that fit the role are chosen.

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Upwork is free, but the website must first approve your application to join.

Upwork has its Team Management App for time tracking. It takes a screenshot of the freelancers’ progress every 10 minutes to ensure that they work within the agreed-upon time and guaranteed payment.

Upwork for Freelancers

Aspiring Upwork freelancers must register an Upwork account and create a profile. This is perhaps the most lengthy stage of the process, as you also have to take a series of tests in the area of your expertise.

In your profile, you will display your skills, experience, portfolio, desired hourly rate, and mode of payment.

Upwork for Clients

As a client, you will also be required to create a profile to set up job postings (which include an estimated hourly payment and timeline).

After that, you simply wait for professionals to begin bidding on your post. You select the ones you want to interview, then cut down the list before eventually selecting the one/s you feel fits the job.

Alternatively, if you have already been on Upwork for a while, another option is to offer jobs to specific freelancers. You can build a network of professionals to contact whenever you have a project that needs workers.

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Is Upwork a scam?

Upwork itself is not a scam. The website is legitimate, and freelancers can find actual work on the platform.

However, as with any business transaction, one must exercise caution when using the website. While Upwork itself can be useful, that doesn’t stop scammers from infiltrating the network.

Upwork is simply a tool, and what people decide to do with that tool is what matters. Still, it’s best to stay careful at all times.

Common criticisms of Upwork

There are several issues you must consider before registering with Upwork. The website isn’t clean of criticism. Hence, the frequent concern – is Upwork legit?

Here we have some commonly heard criticisms from those who have experienced it:

Fake profiles and testimonials

This may be the thought that immediately comes to the minds of most. After all, it is an online platform.

How do you know if you are dealing with real people? This has been amajor problemfor the site.

Both freelancers and clients can do this.

A common practice for delinquent freelancers is to create a fake client profile. Then they post a job,switch to their freelancer profile, accept the job, switch back to their client profile, and post good reviews on their freelancer profile.

Real clients may also forge testimonials that their hires wrote of them. Either way, it misrepresents them, and this is a problem when one is searching for trustworthy accounts.

Weak guidelines for vetting

Following closely with the above criticism, Upwork has weak guidelines for vetting freelancers. Basically, anyone, both freelancers and clients, can create an account and run rampant on job postings.

It’s really a gamble when hiring on the site. Even when reviews are posted, you must take the assumption that these are legitimate testimonials and not dummy comments.

Breakdown of agreements

This is another problem plaguing both freelancers and clients, typically taking the form of “ghosting” or the sudden non-communication between two parties.

For freelancers, an agreement is set up regarding a job. After laboring on it for days, they may find that the client has simply disappeared.

All that effort was for nothing.

Clients may have gone through the process of interviewing and selecting a candidate and assigned them the job. But when the deadline comes, the freelancer cannot be contacted.

No money was spent on payment, but time and resources were wasted.

Unfortunately, this is something that Upwork leaves up to its users to solve.

Upwork charges fees

To make money, you have to lose money.

Upwork has a system where it takes a cut of the pay that freelancers make. Now while this sounds terrifying, in practice, it isn’t so harmful in the long run.

When freelancers begin working with new clients, 20% of their pay is taken by Upwork if the total payment is less than $500. When freelancers increase their pay with that client, the fee drops to 10% if the total payment is less than $10,000.

And if they earn more than that, the fee drops to 5%.

So as you make more, you do end up paying less of a fee. Upwork is still a business, and this is how they make their money. It’s up to the user to decide if this method of finding work is worth it.

Race to the bottom

Some critics have called Upwork a “race to the bottom.”

In economic terms, this happens when businesses try to maintain high profits by undercutting their opponent’s prices. While in the process, they cut corners and sacrifice their own operation’s well-being in the long run.

With Upwork, clients can all too easily take advantage of desperate freelancers, giving them heavy workloads with meager pay and a promise to “help them build their network.” Sometimes, payment is withheld for long periods.

Pros of using Upwork

Upwork is a top freelancing platform for a good reason, and many have discovered these benefits from the site:

Access to a global talent pool

Upwork provides users with unparalleled access to a diverse and global pool of skilled freelancers. Whether you’re looking for graphic designers, writers, programmers, or experts in various fields, Upwork offers a vast marketplace of talent.

This diversity allows clients to find professionals with the specific skills and expertise needed for their projects, regardless of geographic location.

Flexibility and scalability

One of the significant advantages of Upwork is the flexibility it offers to both freelancers and clients. Freelancers can choose when and where they work, allowing for a better work-life balance.

Clients, on the other hand, can scale their workforce up or down based on project needs without the constraints of traditional hiring processes.

This flexibility is particularly beneficial for businesses with fluctuating workloads or those looking to engage specialists for short-term projects.

Secure payment systems

Upwork provides a secure and transparent payment system for both freelancers and clients. The platform handles payment transactions, ensuring that freelancers are compensated for their work, and clients receive the agreed-upon services.

The built-in escrow system adds an extra layer of security, releasing funds only when predetermined milestones are met. This feature instills confidence in both parties and reduces the risk of payment disputes.

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Efficient project management tools

Upwork offers a suite of project management tools that streamline collaboration between freelancers and clients. Features such as time tracking, milestone setting, and real-time communication facilitate effective project management.

This not only enhances productivity but also provides transparency, allowing clients to monitor the progress of their projects and freelancers to keep track of their work hours.

Diverse range of services

Whether you’re looking for short-term tasks or long-term partnerships, Upwork caters to a wide range of services across various industries. From content creation and web development to marketing and consulting, Upwork accommodates diverse skill sets.

This versatility makes it a one-stop platform for businesses and individuals seeking solutions across different domains.

Rating and review system

Upwork employs a comprehensive rating and review system, allowing clients to assess the performance of freelancers based on previous projects. This system provides valuable insights for clients when selecting freelancers, fostering a transparent and merit-based environment.

High-quality work is rewarded with positive reviews, creating a virtuous cycle that benefits both freelancers and clients.

Tips on using Upwork

There are, however, workarounds to the website’s flaws. Upwork may not work for everyone, but there is a good chance of finding success in it.

Research

This goes without saying. Find ways to learn about your potential client or freelancer beyond their Upwork profile. Read up on their policies and testimonials before considering a job with them.

The freedom is still ultimately yours whether you want to enter a working relationship.

Create a professional profile

Start with your best foot forward. How you present yourself is also important, whether you are a client looking to hire, especially if you are a freelancer.

Complete the profile that Upwork asks for, and your visibility will shoot up.

Be concrete with what you are looking for and what you can offer in terms of skills. Do not neglect the importance of putting together a portfolio that can showcase your talent.

Strategically increase your rates

Newbie freelancers may feel scared to charge high, but that is what cheap clients prey on.

It’s best to pick a starting rate and increase it depending on how clients react. Consider also how much experience you have.

Build your reputation

On Upwork, your clients rate you with aJob Success Score. Pay attention to this. A high score is a quick metric to display that you are a capable and reliable hire.

Upwork may be online but maintainprofessionalism. Communicate with clients and workers to ensure the product is satisfactory, and build relationships to gain traction in your career.

Be patient and explore

Freelancing is not a traditional job, so much of it is indeed trial and error. Take note of what worked for you and what didn’t, and adapt to overcome problems in the future.

Many professionals can attest that finding success in Upwork takes time.

Explore the site and look up the other features and services it offers. Upwork’s main objective is to connect skilled freelancers with genuine clients. It does what it can to maintain that standard by giving you the tools to achieve that better.

Is Upwork legit? What you need to know | Outsource Accelerator (4)

So is Upwork legit?

Yes, we can say with finality that Upwork is a legitimate freelancing platform. Many can testify that it is a genuine way to earn money and establish contacts for your professional network.

It does admittedly have fraud accounts and scammers, but that is true of almost every freelancing marketplace. That doesn’t make the website itself a scam.

Additionally, Upwork provides features and services that protect honest users from fraudulent accounts.

There is definitely a portion of the audience, both clients and freelancers, that has sworn off Upwork and looked into other sites that offer similar services.

Readherefor advice on using those types of freelancer sites.

But if you’re interested in looking into freelancing for your career, or are looking for skilled independent professionals, consider checking out Upwork.

Is Upwork legit? What you need to know | Outsource Accelerator (2024)

FAQs

Is Upwork legit? What you need to know | Outsource Accelerator? ›

So is Upwork legit? Yes, we can say with finality that Upwork is a legitimate freelancing platform.

How legitimate is Upwork? ›

Upwork has established itself as a legitimate site through a robust system of verification and reviews. Freelancers undergo skill tests and receive feedback from clients, contributing to their overall credibility.

Is Upwork legit for beginners? ›

With that said, Upwork is definitely not a scam. After all, many successful business owners started from a simple Upwork account. Set up yourself for freelance success on UpWork by creating a profile that attracts high paying projects!

How do I avoid getting scammed on Upwork? ›

Double check who is communicating with you. When in doubt, never share your personal information. "Bad actors" attempt to use the Upwork platform to commit fraud. If anyone asks you for your Upwork username and password, or offers to pay you to use access to your account, this person is a bad actor.

Is it safe to hire from Upwork? ›

Well, Upwork itself is a multinational company that allows clients to find and hire freelancers. It is not a scam, and it definitely won't scam you.

How to spot a scammer on Upwork? ›

If a job is too good to be true, it's a scam. If the client ask you to pay something to get the job done, it's a scam. If you client ask you for a contact outside Upwork before you have a contract in place, it's a scam.

Do you actually make money on Upwork? ›

Is Upwork a legit way to make money? If you're a new freelancer, or just beginning an online side hustle, you can rack up valuable experience without always having to pitch clients cold on Upwork. That makes it legit.

What are the disadvantages of Upwork? ›

High fees charged by Upwork: A common complaint among users is the high fees charged by Upwork, especially for freelancers who are just starting their businesses. These fees are seen as a significant barrier and make it challenging for both clients and freelancers to use the platform cost-effectively.

How much can I realistically make on Upwork? ›

How much can I earn on Upwork?
Job RoleRate per HourAnnual Salary
Writer$30-40$42,000
Editor$25-35$40,000
Programmer$60-70$120,000
General Developer$50-60$100,000
4 more rows

Is it hard to get jobs on Upwork? ›

Getting your first job on Upwork can be challenging, but it is definitely possible. The difficulty level will vary depending on a number of factors, including your skills and experience, the competitiveness of your field, and the quality of your profile and proposals.

Are there fake clients in Upwork? ›

If a client is not verified, it's a red flag. Verification is a simple process that involves providing Upwork with documentation to prove your identity and address. Clients who are unwilling to go through this process are more likely to be scammers.

Should I put my address on Upwork? ›

Upwork doesn't want you to enter an address which "follows their rules but violates local law." Upwork will be happy if the address you enter (a) physically works within their system, (b) doesn't present a false city/country location for you, (c) helps you comply with local law, (d) and is factually correct.

Is it safe to give your address on Upwork? ›

So, for instance, you shouldn't share contact information in your job post, proposal, or during an interview. You also shouldn't share contact information or ask others in your Upwork network to share theirs unless you are working on a contract together or already have a pre-existing relationship off Upwork.

Why does Upwork need my Social Security number? ›

The IRS requires us to withhold and submit income taxes on your earnings if we do not have a valid SSN, EIN, or ITIN on file for you.

Should I use my real name on Upwork? ›

Account and profile name: The name on your account should be what you use to identify yourself in everyday life. It doesn't have to match your identity document; you can use the name you're most comfortable with. If you're a freelancer, this is the name that will appear on your public profile.

Is Fiverr better than Upwork? ›

The main difference between Fiverr and Upwork is that Fiverr is better suited for smaller, one-time projects, while Upwork is better for larger and more complex projects. Fiverr is known for its simple interface and affordable prices, making it a good option for freelancers and small businesses.

What percentage does Upwork take? ›

As a freelancer, you'll pay a 10% freelancer service fee on all earnings, including bonuses. This fee is charged on all your contracts with a client — whether hourly, fixed-price, or a Project Catalog project.

Is Upwork payment secure? ›

As long as your hours meet Hourly Payment Protection criteria you will be paid for the time you invoice. Upwork Hourly Payment Protection doesn't apply to bonuses, manual time, or fixed-price projects. See the Upwork Terms of Service and Hourly Escrow Instructions for full terms and conditions.

Is Upwork direct contract safe? ›

With Direct Contracts, you and your freelancer get escrow protection to easily make payments through Upwork. Freelancers feel assured because you've deposited the project funds into a third-party escrow partner, and you don't have to worry about paying for a project that doesn't get completed.

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