Freelance Tips: Digital Payment Methods for Freelancers
As a freelance proofreader, you’ll likely be working with multiple clients at once. It’s up to you to make sure they all pay you! Once you send your invoice, there are a few payment methods that freelancers can use to get paid.
Learn more about the pros and cons of digital payment methods for freelancers below.
Online Payment Tools
Online payment tools are some of the easiest ways to get paid. These include:
- PayPal: One of the biggest pros of this payment method is that it’s free to open an account, and all clients need is your name, email address, and their own PayPal account. However, there are some cons: transaction fees are around 2.9%, and it can take time until the money is transferred to your bank account.
- Payoneer: Present in 200 countries and 150 currencies, Payoneer’s biggest pro is getting paid from international clients as if you got paid locally, without extra conversion fees. But it can take a while to get your Payoneer account approved, so make sure you start your application before billing clients!
- Stripe: With Stripe you can not only receive payments but also send payouts. As your business grows, you can also use this digital payment tool to manage your finances too. However, the fees can add up.
- Wise: Previously known as TransferWise, this borderless, multi-currency account is a good choice for freelancers working around the world (or even at sea!). If you work with international customers, you can receive money in over 40 currencies without fees. The downside? It’s the closest you can get to an international bank account without being protected, e.g., by the Financial Services Compensation Scheme (FSCS).
No matter which digital payment method you choose, always make sure to read the rate for the fees and other small print.
Gone are the days when a client needed to visit the bank to transfer money to a freelancer. Now, electronic funds transfers (EFT) allow money to be wired digitally through online banking platforms. Easy!
Simply give a client your bank details in your invoice, and receive the transfer in due time (if not, take action). But bear in mind that if you and your client are based in different countries, the process might not be as simple, and there may be heavy fees involved.
Tips for Getting Paid
Even though you sent an invoice, your clients might still need help to pay you. To ensure you get paid on time, don’t forget to:
- State which payment methods you accept in your invoice and freelance contracts.
- Use accounting software to keep track of your finances.
- Invoice as soon as you’ve finished your work, or organize an invoicing day once a month (at least).
- Follow up with clients about late payments. Politely, of course! It might be that your preferred payment method or currency doesn’t suit them.
Becoming A Proofreader
Are you fully trained and prepared for the world of freelance proofreading? Sign up for a free trial of our Becoming A Proofreader course today and make sure you’re ready to start your new freelancing career.
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