Comments on: Paying for Work

By: The Quoibler

The Quoibler — Mon, 19 Nov 2007 16:21:00 +0000

I have to be honest… I have steered clear of all the bidding sites. Something about them always makes me a little uneasy; after all, it’s sometimes tough to bid on a project before you really know the full scope, don’t you think?

Having said that, I’m glad to know that some people who use them have been getting good jobs. But it sounds to me like something has imploded in the internal workings of eLance.

By: Jennifer

Jennifer — Sat, 17 Nov 2007 22:02:00 +0000

I deduct all my Elance fees as a business expense, and let me tell you--I hate spending the money, but when tax time rolls around I'm grateful for every deduction I can get. Elance fees are a pretty big one.

My typical Elance project is a little different than Kathy's, as I don't do that many press releases. I do editing and website copy (I charge anywhere from $25-per-300 words for very light editing to $100 per 300 words for original website copy) as well as quick-and-easy article writing (I charge around $25 to $50 per article and I do get a lot of these jobs, despite the fact that a lot of people are looking for $5 articles). I also do resume rewrites for around $60 each.

My prices are higher than a lot of Elance providers, and there are always the low-rate ones that undercut everybody. I have to bid a lot to get a little work, but it's not too time consuming because I have bid templates for a variety of different jobs and I just customize them a little for each project I bid on. If I need a little extra cash at the end of the month I sit down for an hour or two and get some bids out there, and something always comes in.

By: Amy Derby

Amy Derby — Sat, 17 Nov 2007 21:59:00 +0000

Kathy, I was going to email you on this, but I seem to have lost your email addy. According to my accountant, all these fees are deductible. This includes the subscription fee and the commissions the site takes off per project.

As long as the site brings you a reasonable amount of business, which clearly it does, if you were ever audited you'd have a lot of proof that your earnings far outweigh your deductions.

You might want to talk to your accountant about it.

By: Irreverent Freelancer

Irreverent Freelancer — Sat, 17 Nov 2007 18:45:00 +0000

I’ve really lucky, Lori, in that I have been with Elance for eight years…going all the way back to when it was totally free. Hence, by the time I had to pay to be a part of the marketplace, I had already built up a really good reputation. That allowed me to bid more than my newer competitors and still win projects. There are some gems, and I’ve established quite a few ongoing working relationships through Elance, but there are many, many low-priced projects and, worse, projects that are also posted on Guru and other competitive sites. If I were to go through my closed projects list (those projects I bid on but didn’t win), I bet more than 50% are never awarded to anyone (on Elance anyway). I still don’t think it’s a cost-effective or smart venue for new members, ESPECIALLY writers who are already doing well for themselves elsewhere. Now more specifically answer your question, after fees, I currently make about $115 for one-page press releases, which comprise the bulk of my earnings.

By: Lori

Lori — Sat, 17 Nov 2007 16:45:00 +0000

Aren’t your subscription fees deductible as a business expense? If so, that would make this a worthwhile venture.

To both Kathy and Jennifer – what is a typical ELance project like? Are we talking decent pay, or do they suffer the same afflication Guru suffers by “offering” the insanely low-paying jobs?

By: Jennifer

Jennifer — Sat, 17 Nov 2007 16:23:00 +0000

I try to avoid doing math whenever possible–but your figures don’t look that different from mine, Kathy. It does cost cash, but for me it’s been worth it so far. There are several things about these changes that make me think it won’t continue to be as lucrative as before, though. A few years ago I worked mostly through Elance, but this month about a fourth of my income came from there. Many months I don’t use them at all. It may be harder for me to get work under the bare-bones subscription plan but it still might be a better deal. We’ll see how this plays out.

By: Irreverent Freelancer

Irreverent Freelancer — Sat, 17 Nov 2007 15:58:00 +0000

I do pass the transaction fees on to my clients in most cases. I haven’t (up to this point) passed on subscription fees. With the huge increase (although I’ve decided to downgrade until my remaining funds run out), I may have to raise my rates even further. And where is that going to get me? Likely losing out on even more projects to lowballers. How’s that for some additional whining, Anonymous?

By: Lori

Lori — Sat, 17 Nov 2007 03:50:00 +0000

Kathy, thanks for sharing your numbers. It seems a bit steep. The amount you get seems quite nice, but at the same time they are doing their best to charge you for it. If there’s a way to pass that on as a business expense, amen.

By: Lori

Lori — Sat, 17 Nov 2007 03:47:00 +0000

Perhaps learn to proofread your own post and you might be taken seriously.

I'm leaving your comment here. And yes, I do bill more than $50 an hour. MUCH more. Then again, I can spell.

By: Anonymous

Anonymous — Sat, 17 Nov 2007 02:57:00 +0000

I am so tired of the constant whining from writers re: elance. It’s so ridiculous. If you doon’t want 10$ jobs then DON”T TAKE THEM. And stop with the whiny sh!t about “outgrowing elance”- that’s bull. Um, yeah, I just got a $60/ an hour job from there- are you saying your billing at more than $50 an hour??? Outgrowing my foot, I’ve been copywriting nearly 13 years now. I call BULL.