How Are Freelancers Getting Paid Outside The Traditional Business Structure?

Things are changing a lot in how people go to work today. Not only is the workplace itself changing by being replaced with virtual offices, coworking spaces and turnkey rentals, but jobs themselves are changing from being managed by regular corporations to being performed by independent contractors and freelancers. From virtual administrative assistants to ride share operators and app testers and developers, it’s possible to find work nowadays without having to go to a business and fill out an application with the hope of getting an interview. What most people want to know is how these freelancers find work and how they get paid.

Payments Can Still Be Made Through Traditional Methods

While popular belief is that traditional payment methods such as cash, checks or money orders are obsolete for paying freelancers, there are a few situations where their gigs can be setup to receive those kinds of payments. If a freelancer has the kind of gig where receiving payments in person is simple, and getting to their bank to deposit them works out best, then paying in cash, check or money order can still be a preferred way for them to get paid. Even if they opt to receive payments in the mail, money orders may still be a way to pay them although this would be pretty rare.

Payments Can Be Received Through Direct Deposit Services

Some gigs are setup that any payments directed to the freelancer can be received through direct deposit. This method has become used even by traditional employers in many cases, and there are many direct deposit services that have become affordable for service platforms looking to offer them to freelancers. You have to have a bank account to use this service, although some prepaid debit cards also offer it. But it’s a good way to be paid for freelancers who don’t want to have to wait for checks to arrive in the mail, and who don’t want to pay fees to cash them.

Payments Can Be Received Through Debit Or Credit Card Processing

Whether they receive payments in person or online, credit and debit card payments can usually be easily received by a freelancer. There are actually many payment processors and even website providers who offer small credit card swipers that can attach to a computer or even a smartphone, and freelancers can receive payments through those. But even for online services, there are many credit card processors and digital payment services that allow for freelancers to receive payments via credit or debit card. They just need to be aware of any fees that may be charged to them.

Payments Can Be Received Through Money Transfer Services

For freelancers who may be receiving payments from clients who live abroad and may need to pay in a different currency, a money transfer app or in-store service may be used sometimes. This is a method that’s great to use if someone wants to pay the freelancer using a different method than the one that the freelancer wants to use to receive payment. For example, if a client wants to pay using electronic transfer from their bank but the freelancer wants to receive the funds in cash, a money transfer service could facilitate this. It’s usually cheaper than a wire transfer and can sometimes happen quicker than other bank to bank transfers. Many money transfer services are offered at local convenience stores where an agent can assist in the transaction for those who may not be tech savvy.

Payments Can Be Received Through Peer-to-peer Payment Apps

For freelancers who use online payment platforms or peer-to-peer apps often, this is often a great way to get paid. All they need to do is setup an account with these apps where they can receive payments instantly in their accounts, and usually all the client needs to do is enter their email address to send the money. Once freelancers receive their money on the app, they can then use it immediately to pay for things, or transfer it to a linked bank account. Different peer-to-peer apps have different limitations to them, and some people are a little slower to use them to pay for services out of security concerns.

In conclusion, there are so many ways freelancers can get paid and both they and their clients should be flexible in how they’re willing to send or receive them. Security and reliability should be the most important factors when considering how it will be done, but speed is often a big deal too for freelancers.