{"id":3172,"date":"2023-09-18T07:32:13","date_gmt":"2023-09-18T07:32:13","guid":{"rendered":"https:\/\/useme.com\/en\/blog\/?p=3172"},"modified":"2024-12-06T15:33:21","modified_gmt":"2024-12-06T14:33:21","slug":"how-to-pay-your-freelancer","status":"publish","type":"post","link":"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/","title":{"rendered":"How to pay your freelancer. Legal and safe payments"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79_2 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Table of contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#Making_sure_the_payment_is_legal_%E2%80%93_things_to_consider\" >Making sure the payment is legal \u2013 things to consider<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#How_to_pay_your_freelancer_%E2%80%93_options_to_choose_from\" >How to pay your freelancer \u2013 options to choose from:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#Special_Q_A_for_you\" >Special Q&amp;A for you<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#What_payment_methods_are_there\" >What payment methods are there?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#How_to_avoid_fraud\" >How to avoid fraud?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#How_to_pay_your_freelancer_using_Escrow\" >How to pay your freelancer using Escrow?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/useme.com\/en\/blog\/how-to-pay-your-freelancer\/#How_to_pay_your_freelancer_%E2%80%93_summary\" >How to pay your freelancer \u2013 summary<\/a><\/li><\/ul><\/nav><\/div>\n<p><strong>In this context, another question may appear: how to pay your freelancer? This article will clear this up, so that your cooperation with freelancers runs smoothly.\u00a0<\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Making_sure_the_payment_is_legal_%E2%80%93_things_to_consider\"><\/span><b>Making sure the payment is legal \u2013 things to consider<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">If you want to <a href=\"https:\/\/useme.com\/en\/blog\/hire-freelancers-payments-formalities-law\">hire freelancers<\/a> and you are wondering about the best way to pay them, the first step should be <strong>preparing a contract.<\/strong> Once the agreement is signed by both parties, your respective interests are secured. The contract should outline <strong>the subject matter (namely, what the scope of work is), specifies the duration and nature of the cooperation, the expected remuneration, payment and settlement methods, etc.<\/strong> <\/span><\/p>\n<p><span style=\"font-weight: 400;\">When working with freelancers, clients usually use civil law contracts, such as: contracts for specific work, commission contracts, as well as B2B contracts. They can be drawn up either in a written or electronic form.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The best way to avoid any inaccuracies, delays and errors, is to pay extra attention to specifying in your contract in detail such important issues as settlement or payment methods. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Depending on the specifics of the project you are working on and your individual requirements (both yours and your freelancer\u2019s), <strong>the payment conditions should be clearly defined, as they will determine the payment schedule.<\/strong><\/span><\/p>\n<p>Some employers may not know this, but there are some<strong> innovative ways to pay freelancers without signing work contracts.<\/strong> One of them is Useme.<\/p>\n<p><a href=\"https:\/\/useme.com\/en\/blog\/interview-with-a-lawyer-szymon-czerny\/\"><strong>By using this platform you can settle deals with freelancers in a fast and legal way.<\/strong><\/a> How does it work? Useme becomes the legal employer of your freelancers and signs a contract with them on your behalf. The platform takes care of all <a href=\"https:\/\/useme.com\/en\/blog\/administrative-tasks-when-working-with-freelancers\/\">admin tasks related to hiring. <\/a>Then, they resell you the freelancers&#8217; work based on buy-sell transaction. After a successful collaboration you receive a tax invoice regardless of wether your freelancer has it&#8217;s own company or not.<\/p>\n<p>In practice, the freelancer uploads the work you ordered into the system, and you pay pro forma. Despite the fact that the portal charges a service fee for such transactions, the total cost on your side is still less than in the case of signing a work contract.<\/p>\n<p><strong>If you want to start settling deals with freelancers through Useme, you just need to create a free account. Your first deal will be completely free of service fees.<\/strong><\/p>\n<p><!--HubSpot Call-to-Action Code --><span id=\"hs-cta-wrapper-4c02227c-8010-46eb-8c5a-80ebfc7917ba\" class=\"hs-cta-wrapper\"><span id=\"hs-cta-4c02227c-8010-46eb-8c5a-80ebfc7917ba\" class=\"hs-cta-node hs-cta-4c02227c-8010-46eb-8c5a-80ebfc7917ba\"><!-- [if lte IE 8]>\n\n\n<div id=\"hs-cta-ie-element\"><\/div>\n\n\n<![endif]--><a href=\"https:\/\/hubspot-cta-redirect-eu1-prod.s3.amazonaws.com\/cta\/redirect\/27198211\/4c02227c-8010-46eb-8c5a-80ebfc7917ba\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" id=\"hs-cta-img-4c02227c-8010-46eb-8c5a-80ebfc7917ba\" class=\"hs-cta-img\" style=\"border-width: 0px;\" src=\"https:\/\/hubspot-no-cache-eu1-prod.s3.amazonaws.com\/cta\/default\/27198211\/4c02227c-8010-46eb-8c5a-80ebfc7917ba.png\" alt=\"New call-to-action\" \/><\/a><\/span><\/span><!-- end HubSpot Call-to-Action Code --><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_pay_your_freelancer_%E2%80%93_options_to_choose_from\"><\/span><b>How to pay your freelancer \u2013 options to choose from:<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><b>Payment after the delivery and acceptance of the work\/completion of project<\/b><span style=\"font-weight: 400;\"> \u2013 paying the freelancer takes place after the ready work is handed over to the client and is accepted by them;<\/span><\/li>\n<li><b>By hourly rate<\/b><span style=\"font-weight: 400;\"> \u2013 the total payment depends on the time spent by the freelancer on a given project;<\/span><\/li>\n<li><b>Payment in advance \u2013<\/b><span style=\"font-weight: 400;\"> both parties agree on a specific sum of money that is paid by the commissioner upfront. Once the project is complete, the client pays the rest of the amount specified in the contract;<\/span><\/li>\n<li><b>Stage payments<\/b><span style=\"font-weight: 400;\"> \u2013 if the subject of the contract is a large and complex project, it is possible to pay your freelancer as you go, for example proportionally, after a certain stage of the project is completed and accepted.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Another important issue if you want to pay your freelancer is taking into account <strong>country-specific tax regulations<\/strong> \u2013 especially if you<a href=\"https:\/\/useme.com\/en\/blog\/how-to-hire-and-pay-foreign-freelancers\/\"> hire foreign freelancers.<\/a> Each jurisdiction has different <a href=\"https:\/\/useme.com\/en\/blog\/all-you-need-to-know-about-laws-and-regulations-about-freelancers-contractors-and-independent-workers\/\">law and tax regulations<\/a> and failing to comply by them might <a href=\"https:\/\/useme.com\/en\/blog\/risks-associated-with-illegal-labour\/\"><strong>result in unpleasant consequences and financial fines,<\/strong><\/a> among others. Both employers and commissioners have to conform to the legislation of the <a href=\"https:\/\/useme.com\/en\/blog\/best-countries-to-hire-freelancers\/\">country<\/a> the freelancer works in. It is recommended to keep all documents related to <strong>hiring and cooperating with foreigners for at least a few years.<\/strong> They might come in handy if any doubts arise and you are asked to present them to tax authorities \u2013 they can help you resolve the case quickly.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While cooperating with international freelancers, pay attention <strong>to the <a href=\"https:\/\/www.ecb.europa.eu\/stats\/policy_and_exchange_rates\/euro_reference_exchange_rates\/html\/index.en.html\" target=\"_blank\" rel=\"noopener\">currency<\/a> you are obliged to pay their remuneration in.<\/strong> You should always convert the exchange rate of the currency in question on the day the payment is made and bear in mind the <strong>transaction fees,<\/strong> which make up a small percentage of the amount being paid.<\/span><\/p>\n<p><img decoding=\"async\" class=\"size-large wp-image-3177\" src=\"https:\/\/useme.com\/en\/blog\/wp-content\/uploads\/2023\/09\/how-to-pay-your-freelancer-legal-and-safe-payments-1-1024x683.jpg\" alt=\"pay your freelancer\" width=\"1024\" height=\"683\" srcset=\"https:\/\/useme.com\/en\/blog\/wp-content\/uploads\/2023\/09\/how-to-pay-your-freelancer-legal-and-safe-payments-1-1024x683.jpg 1024w, https:\/\/useme.com\/en\/blog\/wp-content\/uploads\/2023\/09\/how-to-pay-your-freelancer-legal-and-safe-payments-1-980x654.jpg 980w, https:\/\/useme.com\/en\/blog\/wp-content\/uploads\/2023\/09\/how-to-pay-your-freelancer-legal-and-safe-payments-1-480x320.jpg 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) and (max-width: 980px) 980px, (min-width: 981px) 1024px, 100vw\" \/><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Special_Q_A_for_you\"><\/span><strong>Special Q&amp;A for you<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<blockquote>\n<h3><\/h3>\n<p><span style=\"font-weight: 400;\">Paying freelancers in a legal way can be a difficult task. If you\u2019ve got any questions, then we&#8217;re here to help.<\/span><\/p>\n<p><b>Ask our<\/b> <b>team of business experts, industry specialists and lawyers <\/b><span style=\"font-weight: 400;\">&#8211; we\u2019ll come back with the best answers.<\/span><\/p>\n<p>&nbsp;<\/p>\n\n\t\t\t\t\t\t<script>\n\t\t\t\t\t\t\twindow.hsFormsOnReady = window.hsFormsOnReady || [];\n\t\t\t\t\t\t\twindow.hsFormsOnReady.push(()=>{\n\t\t\t\t\t\t\t\thbspt.forms.create({\n\t\t\t\t\t\t\t\t\tportalId: 27198211,\n\t\t\t\t\t\t\t\t\tformId: \"23df5c2f-c0af-48a6-b6db-8834f739c11f\",\n\t\t\t\t\t\t\t\t\ttarget: \"#hbspt-form-1775522226000-4515146139\",\n\t\t\t\t\t\t\t\t\tregion: \"eu1\",\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t})});\n\t\t\t\t\t\t<\/script>\n\t\t\t\t\t\t<div class=\"hbspt-form\" id=\"hbspt-form-1775522226000-4515146139\"><\/div><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"What_payment_methods_are_there\"><\/span><b>What payment methods are there?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">If you want to pay your freelancer, there are a few payment methods available on the market. These include:<\/span><\/p>\n<ul>\n<li><strong>B<\/strong><b>ank transfer<\/b><span style=\"font-weight: 400;\"> \u2013 it is one of the most common solutions, as it is secure and versatile. However, sometimes wire transfers incur additional costs, such as currency exchange fees or charges for not meeting certain transaction requirements. In order to make a bank transfer for the completed work, you need to obtain the BIC\/SWIFT code and IBAN.<\/span><\/li>\n<li><b>PayPal <\/b><span style=\"font-weight: 400;\">\u2013 it is one of the most popular payment platforms, which allows to make online payments for products and services<\/span><b>. <\/b><span style=\"font-weight: 400;\">Once the commissioner registers,<\/span> <span style=\"font-weight: 400;\">they can connect their PayPal account to their bank account or credit card, which will enable the payment-making process. If you want to pay your freelancer, you simply need to enter the amount of money and the personal details of the freelancer, and they will receive the transfer in their PayPal account. If you are wondering about paying a foreigner, the PayPal platform automatically converts the money into their foreign currency. This solution guarantees a high safety level of your transactions, because the system is monitored with fraud-detecting tools. PayPal may however charge some additional transaction fees, which you should bear in mind.<\/span><\/li>\n<li><b>Payoneer<\/b><span style=\"font-weight: 400;\"> \u2013 it is another platform dedicated to making international payments. Payoneer is a sort of a business account, designed especially for freelancers and small- or medium-sized enterprises. It allows you to make money transfers in various currencies, but it is worth noticing that the platform does not support accounts in Polish zloty and it may charge some fees depending on the type of transaction being made.<\/span><\/li>\n<li><b>Skrill <\/b><span style=\"font-weight: 400;\">\u2013 when researching how to pay your freelancer, Skrill might be a good option to consider.\u00a0 This service can be compared to a virtual wallet and its popularity is rising, especially because it offers payments with the use of cryptocurrencies. You can make international payments without providing your bank account details.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"How_to_avoid_fraud\"><\/span><b>How to avoid fraud?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Deciding how to pay your freelancer is one thing,<strong> avoiding fraud is another.<\/strong> We should bear in mind that we are constantly exposed to risks, such as frauds or scams and it is no different with freelancers. How to protect oneself from these dishonest practices? One of the options is using the <strong>Escrow payments offered by<\/strong><\/span><strong><a href=\"https:\/\/useme.com\/en\/for-employer\/\"> Useme<\/a><\/strong><span style=\"font-weight: 400;\"><strong>,<\/strong> a platform designed to facilitate billing between clients and freelancers.<\/span><\/p>\n<div class=\"hs-cta-embed hs-cta-simple-placeholder hs-cta-embed-93302916817\" style=\"max-width: 100%; max-height: 100%; width: 2112px; height: 330px;\" data-hubspot-wrapper-cta-id=\"93302916817\"><a href=\"https:\/\/cta-eu1.hubspot.com\/web-interactives\/public\/v1\/track\/redirect?encryptedPayload=AVxigLJyvc4UtDjwnYsYigNm6rFJ5PKc8OhX%2BODkUbInik2GKxup%2Fcg6ZApzQwDkXQwQvciHbMTueYbq17An2VqendvqH%2FFn9mC0nI2CznEfkFMAH3jrQxIftNond4ivADVwYzp4C58JdK%2BDgh%2BXA59NncdkW3VLT5tX6KzO4tt%2FM5lJj2%2Bs9l8i&amp;webInteractiveContentId=93302916817&amp;portalId=27198211\" target=\"_blank\" rel=\"noopener\"><br \/>\n<img decoding=\"async\" style=\"height: 100%; width: 100%; object-fit: fill;\" src=\"https:\/\/hubspot-no-cache-eu1-prod.s3.amazonaws.com\/cta\/default\/27198211\/interactive-93302916817.png\" alt=\"\"><br \/>\n<\/a><\/div>\n<p>&nbsp;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_pay_your_freelancer_using_Escrow\"><\/span><b>How to pay your freelancer using Escrow?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Escrow is a type of a secure transaction, in which the payment for the work is first<strong> held securely in a deposit on the<\/strong><\/span><strong><a href=\"https:\/\/useme.com\/en\/for-employer\/\"> Useme.com<\/a><\/strong><span style=\"font-weight: 400;\"><strong> account.<\/strong> Once the commissioner accepts an offer made by a freelancer, Useme prepares a contract and deals with all the formalities related to hiring this particular freelancer for the project. After the work is done and delivered, and the commissioner is satisfied with it and approves it in the system, the payment is transferred to the freelancer. If the freelancer drops out of the agreement or fails to deliver the agreed work, the money is returned to the client\u2019s bank account, along with a correcting invoice.\u00a0<\/span><\/p>\n<p>To start settling deals with freelancers through Useme, all you have to do<strong> is request an invoice (related to the work you wish to account for) from them. <\/strong>Freelancers will start with filling a short form regarding the work that you are ordering. Useme takes care of everything from signing a contract to sending the final invoice.\u00a0 After they finish the project, they&#8217;ll upload it to Useme. You&#8217;ll be able to download the ordered work along with a tax invoice.<\/p>\n<p>&nbsp;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_pay_your_freelancer_%E2%80%93_summary\"><\/span><b>How to pay your freelancer \u2013 summary<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Issues related to payments are one of the most important aspects in cooperation between clients and freelancers. If you are researching ways to pay your freelancer, please remember to<strong> follow the legal regulations<\/strong> so as to avoid any future mishaps. It is also worth considering using some <strong>ready-to-use services available on the market,<\/strong> which will increase the security of your transactions.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Whenever you decide to work with freelancers, some of the crucial aspects of this cooperation include properly billing the work, meeting all formal requirements, and avoiding any legal mistakes.<\/p>\n","protected":false},"author":21,"featured_media":3176,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","content-type":"","inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[25],"tags":[],"class_list":["post-3172","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-employers"],"modified_by":"\u017baneta","_links":{"self":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/3172","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/users\/21"}],"replies":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/comments?post=3172"}],"version-history":[{"count":17,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/3172\/revisions"}],"predecessor-version":[{"id":4458,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/3172\/revisions\/4458"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/media\/3176"}],"wp:attachment":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/media?parent=3172"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/categories?post=3172"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/tags?post=3172"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}