Freelancing 101: Collecting Your Paychecks

Apart from the fact that work can get accomplished in a week instead of just three days, another dilemma of a freelancer is collecting the paychecks. This is especially true if you are just starting your freelance career. There are lots of payment collection schemes that you can choose from, but unfortunately, most of the time, it’s the clients who would set the manner of payment they would use.

I’ve only been in this career for maybe a couple of years, and so far, I did Upwork payment scheme, direct bank deposit and PayPal. Upwork payment scheme takes up to 10 days before you can get your hands to your money. Direct bank deposit is best with my clients who are also based in the Philippines. I no longer have clients who pay me thru Upwork (thank God for that) – all of them are communicating with me thru personal email and paying via PayPal.


How PayPal Works

PayPal can be a total pain if you’re using it for the first time. In my experience (and I am sure you’d experience this, too), I needed to wait 21 days until I could get hold of my money. Apparently, there are some requirements that you need to meet in order for your money to be  instantly available for withdrawal. These requirements are:

– Your account must be kept active for at least 60 days.

– You have to receive 5 payments without dispute.

– Your account must receive at least $100 worth of payment.

There’s a tracker on the website so you can monitor your progress. Once completed, all payments you receive will be instantly available for withdrawal.


Of course, there are fees involved. It’s quite heartbreaking but I need their service. 😦

– Automatic 5% deduction for EVERY payment you receive.

– Php50 for every withdrawal below Php7000.

What I do to avoid the second fee is to wait for my funds reach more than Php7000 before I transfer them to my bank account.

Best Bank Account to Use

I’ve always been loyal to BPI, because it seems like almost all of my Philippine-based clients use BPI, too! Anyway, when I set up my PayPal account, I also used my BPI bank account. It takes 2 business days at most for my PayPal money to appear, which is good enough. But the bank charges Php150 for every PayPal remittance, which is bad. I thought I’d be stuck in this setup until I came across UnionBank’s EON. I transfered my funds on a Friday, and it already showed on my bank account Monday after that. What’s more, I was NOT CHARGED for anything.

To give you a clearer view, here are the bank accounts I’ve used with PayPal, the charges and the turnaround time for the funds to be available.


If you have any questions, you can post them in the comments section below. πŸ™‚ Please keep in mind that this is just based on what I’ve experienced personally, so I might provide you with answers that are also based on my experience.

How do you collect money from your clients? Tell me about it.


Beth G.


3 thoughts on “Freelancing 101: Collecting Your Paychecks

  1. UnionBank looks like the way to go in the Philippines! My problem is being too busy to actually get my invoices typed up and sent out regularly. I try to do them each month, but sometimes I forget and have to catch up the next month or sometimes two months later. I risk forgetting altogether! It’s crazy! πŸ™‚


  2. Thanks for this, Beth! I’m trying to do part-time freelancing now because I need the funds lol so I’m currently in the stage of exploring options. This post had been really helpful. πŸ™‚


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