Best Upwork Withdrawal Processes for Freelancers in 2023

www.youtube.com/@thespeakingpen

As a Nigerian freelancer in 2023, withdrawing your earnings from various sources can be a challenge for beginners and longtime freelancers who need to know how to get the best rates for their freelance earnings. In this video, we will discuss some available options to withdraw your earnings.

To provide context, let’s classify freelancers into three categories: Upwork freelancers, Fiverr freelancers, and remote workers. It’s important to note that your account status, whether in Nigeria or abroad, can influence the payment options available for you to withdraw your freelance money.

While earning as a freelancer is an accomplishment, accessing your hard-earned money when necessary can be another obstacle. Here are the best ways to withdraw your money:

1. PayPal: PayPal is a popular option for freelancers to withdraw their earnings, but it’s difficult for Nigerians to operate an account that can receive funds due to PayPal’s policy. Some freelancers have used PayPal to withdraw funds, but it’s not recommended due to the high risk and poor exchange rate offered by PayPal exchangers. Upwork charges $2 withdrawal fees, and PayPal may charge additional fees. Overall, PayPal is not a viable option for Nigerians to use.
2. Wire Transfer (USD): This option can be sent to any dollar account that accepts a wire transfer. You will be charged $30 per wire to any bank, and you will receive payment within 7 business days. You can send this payment to your Payday, but note that they do not support ACH. Hopefully, they will someday.
3. Upwork Direct Contract: This feature enables freelancers who have clients off the Upwork platform to receive payment from them with minimum charges. The payment fee is 3% for credit/debit cards or PayPal. Using a checking account costs $0.50 per payment. To use this feature, your client must not have an account on Upwork, that is, you can only use your client’s email that is not registered on the platform. The feature is suitable for receiving payments from clients met through other avenues like Twitter and LinkedIn.
4. Direct to U.S. Bank (USD): This option is free. You can put in the details of your virtual dollar account from Payoneer, Geegpay, or any virtual dollar account that accepts ACH payments.

Photo by Alexander Mils on Unsplash

a. Payoneer: This is a recommended option for Nigerian freelancers to withdraw their earnings due to its ease of use, acceptance in over 200 countries, and somewhat good customer service. There are four ways to withdraw money using Payoneer, which include local bank transfers, exchangers, crypto, and dorm accounts. To be eligible for the exchanger option, you need to have withdrawn at least $1000 — earn from platforms like Fiverr, Upwork, OneForma,... Opening a Payoneer account is straightforward and requires a valid ID for verification. Payoneer is a viable option for Nigerian freelancers.
However, Payoneer is notorious for abruptly blocking freelancers out of their accounts irreversibly, and some even lose money. If you Google, you will find tons of reviews by embittered freelancers worldwide. Also, the exchange rate from USD to NGN is a big matter of concern to Nigerian freelancers. You can beat that by using your Payoneer fund to buy crypto, (but this can get your account ban if they find out. Hence, the safest way for the highest rate is to sell your Payoneer fund on the black market.

b. Withdraw to Dorm Option: Upwork sending money directly to your Naira bank account using the CBN rate is available but never the best rate. You can go for it if your earnings are small; if you have a significant amount of money, you can send the dollars to your domiciliary account, and Upwork charges $30. The third option is to connect your account to Payoneer, and Upwork charges $2 to send your money to Payoneer and Payoneer charges an extra 1% fee for withdrawing funds over $500 to your Dorm account.

c. Geegpay: This is the only fintech solution that allows Nigerian freelancers receive ACH payments from Upwork that works for now is Geegpay by Raenest. It can receive ACH payments from Upwork. However, their rate is always lower than using your Payoneer card to buy crypto. Grey Finance used to accept ACH before, but not anymore.

In conclusion, it is essential for every Nigerian freelancer to consider these options and choose the best one that meets their needs, goals, and risk appetite.