Freelancers Wait 3X Longer Than Full-Time Employees to Get Paid

Freelancer Payments

Hiring and paying freelancers looks a lot different than full-time employees. Those who choose the freelancing lifestyle usually do so in order to have more flexibility in their schedules and to achieve a better work/life balance. This need for flexibility also extends to freelancer payments. Unfortunately, most companies have a bad track record when it comes to paying their freelancers. 71% of freelancers have dealt with clients paying them late or not at all and 84% of freelancers would work more often if they were paid faster.

A recent survey backs up these numbers from the company’s perspective. More than 37% of medium-sized businesses admit to taking over 90 days to pay their freelancers – a number that is three times longer than the average time for full-time employees. The reason for this? 28% said that issues with payroll systems prevented them from paying contract workers on time. Only 17% of companies reported having the infrastructure necessary to enable flexible, freelancer payments. This is a huge problem for growing businesses and freelancers.

Partner with a Provider who Understands Freelancer Payments

As more companies hire more flexible workers, with  80% of U.S. companies stating that they currently rely on a mix of freelance and full-time workers, they need to figure out a way to streamline the onboarding and payment process. Late or incomplete payments can be financially devastating to freelancers and cause legal trouble for your business.

Rather than try and have an internal HR and payroll department try to tackle freelancer onboarding and payments, you should outsource this work to freelancer specialists. A freelancer payments platform makes sure that these workers are paid swiftly and securely. Make sure you chose to work with a platform that not only issues flexible payments but will make sure every freelancer is correctly classified as 1099 or W2. Having a flexible, secure way to pay your freelancers means that you can attract and retain the best talent.

This is exactly why we built AllWork. With our Total Freelancer Management and Payments Platform, you can direct source your freelancers and then have one centralized platform and system of record where you can easily pay each freelancer, manage the work being done, and ensure that you are compliant with all state and federal laws.

Planning to hire freelancers this year? AllWork can help you onboard and pay your flexible workforce. We offer fast, easy, and compliant payment options. Get in touch at to learn more and see a demo of our platform here.