Change in Transaction Fees Starts September 20

The payment transaction fees charged to Freelancers will change. Please see the charts below to review the current and new transaction fees.

Current Transaction Fees
Presently, the following transaction fees are charged to Freelancers.

Transaction Fee Type Fee Charged to Invoice/Escrow Amount
Project Fee Guru and Guru Vendor members: 5% Basic members: 10%
Escrow Fee 2% charged only when an escrow is created
Employer Payment Method Fee If an Employer pays a Freelancer by: Credit card: Pay up to 4% PayPal: Pay 2.5%

New Transaction Fees
Starting September 20, the following transaction fees will be charged to Freelancers.

Changes from the current fees are highlighted in yellow.

Transaction Fee Type Fee Charged to Invoice/Escrow Amount
Project Fee Guru and Guru Vendor members: 4.5% Basic members: 9%
Collection Fee 2.95% charged on every invoice/escrow amount. This fee covers any costs Guru.com incurs from: (1) Credit card companies and PayPal, (2) Escrows created that do not result in a dispute, and (3) Cash Discounts of up to 2% given to Employers to encourage the use of checks, e-checks, wire transfers and SafePay Account funds.
Dispute Resolution Fee 5% charged only if an escrow goes to Mediation or Arbitration. Minimum dispute resolution fee: $25

Why are we changing transaction fees?
Currently, Freelancers are unsure how much they will incur in fees, making it difficult to know how much to charge Employers for their services.

The fees charged to Freelancers range from:

  • 5 to 11 percent for subscribing Guru and Guru Vendor members
  • 10 to 16 percent for Basic Members

With the new fee structure, Freelancers know how much they will incur in fees, making it easier for them to accurately charge Employers.

  • Subscribing Guru and Guru Vendor members will always pay 7.45 percent
  • Basic members will always pay 11.95 percent
  • A 5 percent dispute resolution fee is charged only if a Freelancer or Employer requests our Dispute Resolution services
  • Lower fees for Freelancers who use the escrow service responsibly
  • Increased cash discounts offered to Employers for using check, e-check, wire transfers and SafePay Account funds as a method of payment.
  • Reduced credit card usage will mean greater protection for our Freelancers from the risk of charge-backs and reversals.

 

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AUTHOR

COMMENTS (2)

  1. Chardonnay

    on freelance work if I bid when do I pay ?
    is there a set price to just enter a bid ?
    and your invoice sounds more like a bid than an invoice?
    as my advisor noticed . thank you char

    Reply
    • Anna

      Hi Char,
      Bidding is free – as a Basic member you get 10 bids per month that you can use to apply to projects. If you want you can become a paying member to gain more bids per month. As for invoicing, that is for you to ask the Employer to pay you after you’ve been awarded a project and completed work. I hope this helps!

      Reply

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