Is Freelancer A Scam? (The Shocking Truth Is Here!) (2019)
Hello! Welcome to my "Is Freelancer A Scam?" review!
Chances are, you probably bumped into Freelancer.com when you were searching up for ways to earn money online.
Well, in this review, that is our topic. Before you start creating an account and working at Freelancer, it is important to find out any information about it.
What is it? How does it work? Is Freelancer a scam?
These are some of the questions that you need to be answered. This is to avoid wasting your time on something that is a scam or does not pay well.
With that being said, let's get started.
Freelancer.com Quick Summary
Founder: Matt Barrie
Year founded: 2009
Type: Freelance website
Recommended? Yes, for some
What is Freelancer.com?
Furthermore, it is where employers and freelancers can build relationships to be able to finish certain jobs and projects.
It was founded in the year, 2009, by the current CEO, Matt Barrie. Its headquarters is located in Sydney, Australia.
However, Freelancer also has offices in London, Vancouver, Jakarta, Manila and Buenos Aires.
It has a lot of various fields that freelancers and employers can work on. Some of these include:
- Data entry
- Virtual assistance
- Web and software development
How does it work?
The basic process behind Freelancer.com is this. First, clients and employers post jobs on Freelancer. Afterwards, freelancers can then bid on these jobs.
Clients will review these bids and will choose among the freelancers who they think is the one perfect for the job.
There are other factors that are in play when determining the right freelancer. One of these are the skills and experiences of the freelancer.
Whenever the job is complete, the freelancer will be paid.
Here is the process that employers undergo. First things first, they must create a Freeelancer.com profile or account.
Afterwards, you can post jobs through the "Post Project" button. You will be required to input details about the job. This includes the name, the description or instructions and of course, your budget.
Employers will then wait for freelancers to bid for the job. Sometimes, it can be difficult to have bidders.
However, Freelancer has this feature which you have to pay for. With it, you can do the following:
- Keep job details private
- Make your job posts more visible
- Freelancers can sign a "Non-Disclosure Agreement"
- More and fast responses from freelancers
- Can mark your job as "urgent"
- Can get a professional in helping you finding the best freelancer
However, before you make your job posting live, you will have to make sure that your account has credits.
Furthermore, the amount must be equal or more than the cost of the project.
Employers can do this via Paypal, bank account or credit card. 3% of the project cost goes to Freelancer.com. While the rest goes to the freelancer you hired.
Same thing as the employer, first, to be a freelancer, one must create an account.
Afterwards, you must fill up your profile. Provide the information needed. Don't forget your payment details too.
Furthermore, it is important to indicate your skills and experiences. These will be the basis for employers to know whether you are fit for their jobs.
We will talk more about this in the next section.
When you are done decorating your profile, you can begin searching for jobs. Once you find one, place a bid and wait for the employer's response.
You will be paid the moment you finish the job. Moreover, payment will depend on the contract you agreed with. We will talk about this later on.
Signing up as a freelancer
In this part, we will discuss the process you must undergo to create a profile as a freelancer.
Visit the sign-up page in Freelancer.com You can choose to use your Facebook account to sign up for a faster process.
If not, you must provide your email address and of course, your password.
Afterwards, you must verify your email address and you are good to go.
The next step is where you will choose what type of freelance profile you are registering for.
You can choose from a basic profile or a Professional profile. The difference is that the basic profile is free to create and use.
While the Professional profile will cost you $29.95 monthly via Paypal or credit/debit card. The first month is free.
However there are exclusive benefits. Here are they.
- Can make daily withdrawals
- Apply for 300 jobs per month
- Eligible for freelancer rewards
- You can specify 100 skills on your profile
- Can create an invoice externally
In the third step, you must specify your skills. There are various options you can choose from.
The main categories are:
- Websites, IT and Software
- Design, Media and Architecture
- Product Sourcing and Manufacturing
- Business, Accounting, Human Resources and Legal
- Mobile Phones and Computing
- Data Entry and Admin
- Sales and Marketing
- Translation and Languages
- Writing and Content
- Engineering and Science
- Freight, Shipping and Transportation
- Local Jobs and Services
You can learn more about these here.
The last step in setting up your freelancer profile is to provide information about yourself.
Furthermore, these will be shown to the public. Meaning, employers can view these information.
You have to describe yourself, state your experiences, services you can offer, your hourly rate, languages you can speak and of course, your address.
Additionally, your public profile will make other details about you visible. Here are some of them.
- Membership (either basic or Professional)
- Rate of project completion
- Your average rating from 1-5 stars. This is based on your past jobs.
- Number of jobs completed
Similar to other freelancing websites, Freelancer.com has fees for freelancers too.
Whenever a job is completed, a portion of the payment goes to the website as a compensation for using the services.
Here are the fees.
- Fixed projects - 10% or $5.00, whichever is greater
- Hourly projects - 10%
- Services – 20% of the total service price
- Preferred Freelancer Program – 15% project fee
- Contests – 10% or $5.00, whichever is greater
How do you get paid?
When working in Freelancer.com, currently, there are 2 ways you can get paid.
Through Invoicing or Milestone Payment System.
If you prefer to work at an hourly rate, then the best one for you is the invoice method.
Basically, after completing a job, you will be paid and the money will be reflected in your account.
Afterwards, you can withdraw the money by sending a withdrawal request in the website.
If you just received your very first payment at Freelancer.com, it will take you around 2 weeks to process the money. According to them, this is for security reasons.
However, on the next withdrawals, you can place a request every second week.
Here are the options you can choose from.
- Wire Transfer
- Bank (for U.S., Canada, Polang, India, Philippines, Vietnam and New Zealand
- Freelance Debit Card (Payoneer)
Milestone Payment System
This one is what Freelancer.com highly recommends. It is because you are more secured with this type. Here is how it works.
When you are accepted in a job and you start working on it, the funds will be held by Freelancer.com.
You will have the choice to receive partial payments during the project. If you do, there is what we call, "milestones". Once you accomplish one of them, the employer will release partial amounts of the funds.
Furthermore, the employer does not have the ability to cancel any pending milestone payment.
If ever the client fails to do so, this will be resolve with the website's Dispute Resolution Service.
Freelancer has its own app which both clients and freelancers can use.
This app is used by both parties for communication. Furthermore, with this, it is easier to manage the tasks and projects.
Another great feature it has it its time-tracking software. It is only used for hourly-rate projects.
Freelancers will have to start the time-tracking software when they start working. This software will track how many hours one has been working. Then the client will know how much will the freelancer be paid for.
Furthermore, this software will take screenshots periodically as a proof that the freelancer is doing the work. However, freelancers can also take screenshots manually.
Tips and Tricks
The first tip I want to share is when to time your bidding. Remember, other people will be bidding to.
You must must make sure that when you bid, the employer is active. In that way, you will be noticed more.
I suggest that you bid in the morning and at night.
Do not neglect your profile. Other people just add a few bits and then that's it.
Your profile is very important. It serves as a basis to get to know you.
So, be sure to decorate it properly. Put all of your skills and experiences. And of course, you must be honest about these.
#3 Right charge
You should know how to charge properly. You might be charging too low or too high.
This entirely depends on the job and of course, your credentials. Furthermore, this can affect how employers will perceive you.
Too cheap will make employers who want quality to disregard your bid. On the other hand, too expensive charge can make employers walk away too.
So, be sure that your charge matches the type of project and your skills. You can actually see how much other freelancers bid on certain types of projects.
You can use this as your basis.
#4 Invoice for newbies
if you are starting out, I suggest to choose the invoice type. Although Milestones are more recommended, clients want freelancers who have a great record.
Since you are still starting out, it is better to choose the invoice.
#5 Do not give up
Last and not the least, never give up.
Sometimes, landing on a job might be challenging and difficult. However, never give up. Always work hard and improve.
The right job will come to you.
Pros and Cons
Variety of job offerings
Jobs are protected with safety measures
Allows employers to track down the productivity of employees so they too can deliver services properly
Freedom of choosing own schedule
Can negotiate salary range
Messages in employer-freelancer chat is instant and convenient
Easy to post a profile, gain exposure and find employers who are willing to hire you for their projects
Multiple options of money withdrawal
Conduct competency tests
More employers are encouraged to post new jobs because of low costs
Progress of your position or status may be delayed due to the feedback of your work.
Conflict of interest between jobs
New projects posted are not sorted to your area of expertise that may lead to unwanted jobs and lose trust of employers
Extracting funds or salaries undergoes a time-consuming process
Project fees may reduce your online funds that can result in a negative balance
Growing competition among freelancers may result to difficulty in landing jobs
Some projects are of low quality that’ll only make high expectations gain very little return
There is a possibility of worker longer than what you are paid for
Is Freelancer a scam?
After thorough research, it is time for the final verdict.
Is Freelancer a scam? No. Freelancer is not a scam.
It has been operating for years since it was founded. Furthermore, it is an award-winning company.
How can a company like that, be a scam?
However, it doesn't mean that it is safe from scammers. There are times that you might land on a job created by fraudulent clients or scammers. In the end, you will not be compensated for the hard work you have done.
So be wary and do your research first. Other than that, you already saw the pros and cons of Freelancer.
It is up to you whether you give it a shot or not. But if not, there is another way, a better one to earn money online.
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Thank you so much for reading my "Is Freelancer A Scam?" review!
If you have questions or comments, please feel free to leave them on the comment section below!