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Payment thresholds with agencies
Thread poster: Emily Gilby
Emily Gilby
Emily Gilby  Identity Verified
United Kingdom
Local time: 23:43
Member (2018)
French to English
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Mar 9, 2023

A number of agencies I've been working for have recently decided to introduce payment thresholds. To explain, I would have to complete $100 worth of work before they would allow me to invoice my work and be paid for it. I wondered what everyone else's thoughts were on this, and if it's more common than I thought? I've only known two agencies to do it so far and only in the last year. It's fine if you work a lot for these types of agencies, but I only complete jobs for them every now and then, an... See more
A number of agencies I've been working for have recently decided to introduce payment thresholds. To explain, I would have to complete $100 worth of work before they would allow me to invoice my work and be paid for it. I wondered what everyone else's thoughts were on this, and if it's more common than I thought? I've only known two agencies to do it so far and only in the last year. It's fine if you work a lot for these types of agencies, but I only complete jobs for them every now and then, and only ever small ones at that ($30 worth maybe) so it would take me months to reach this threshold and it honestly makes me less likely to accept their job offers.

[Edited at 2023-03-09 16:09 GMT]
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Baran Keki
Christine Andersen
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Samuel Murray
Samuel Murray  Identity Verified
Netherlands
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English to Afrikaans
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@Emily Mar 9, 2023

I have one client with a $50 threshold, but I don't do more than $20 per year for them, so their jobs just roll over year after year until I hit that $50 threshold. I stick with them because you never know when a regular client might get a very nice, very large job.

Other clients have thresholds for certain types of payments. In other words, they offer payment X if the amount is less than or more than amount Y. And for exceptions to that, they charge a small fee... which I gladly
... See more
I have one client with a $50 threshold, but I don't do more than $20 per year for them, so their jobs just roll over year after year until I hit that $50 threshold. I stick with them because you never know when a regular client might get a very nice, very large job.

Other clients have thresholds for certain types of payments. In other words, they offer payment X if the amount is less than or more than amount Y. And for exceptions to that, they charge a small fee... which I gladly pay, because I've already taken it into account in my quote.

For some clients, if the total annual invoice would be under a relatively small amount, I simply don't invoice it.
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Vladimir Pochinov
 
Maria Teresa Borges de Almeida
Maria Teresa Borges de Almeida  Identity Verified
Portugal
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Member (2007)
English to Portuguese
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@Emily Mar 9, 2023

None of the agencies I work with have done so. It’s the other way around: when the amounts involved are too small (my minimum fee is 40 EUR) I’ve told them I would add it to the invoice the following month…

Christopher Schröder
Christel Zipfel
Dan Lucas
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Vladimir Pochinov
 
Steve Robbie
Steve Robbie
United Kingdom
Local time: 23:43
Member (2017)
German to English
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Match their offer Mar 9, 2023

It sounds like bad practice to me.

If you're willing to stand up to them, try asking for a minimum fee equal to the minimum payment. Tell them they can either find you $100 worth of work, or forget it. Agency project managers are often happy to send several small jobs to the same translator.


Joakim Braun
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Philippe Etienne
 
Joakim Braun
Joakim Braun  Identity Verified
Sweden
Local time: 00:43
German to Swedish
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Typical translation industry nonsense Mar 9, 2023

Next time you buy a service or product, try to avoid payment by arguing the amount is to small, and promise to pay in full by your next order.
You'll be in small claims court in no time.

Emily Gilby wrote:
I only complete jobs for them every now and then, and only ever small ones at that ($30 worth maybe)


That figures: agencies offering two-bit jobs wanting to outsource risk and cost to their suppliers.

(It makes sense for both translator and agency not to invoice small amounts unnecessarily. On the other hand, with 10% inflation and a worsening economy, holding off invoicing is a bad idea.)

On topic: Haven't encountered this myself.

[Bearbeitet am 2023-03-09 14:47 GMT]


Christel Zipfel
Angie Garbarino
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Joakim Braun
Joakim Braun  Identity Verified
Sweden
Local time: 00:43
German to Swedish
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Inducement Mar 9, 2023

Emily Gilby wrote:

I would have to complete $100 worth of work before they would allow me to invoice my work and be paid for it.


What's the inducement for the agency to provide this work?

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Christine Andersen
Christine Andersen  Identity Verified
Denmark
Local time: 00:43
Member (2003)
Danish to English
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I would drop them Mar 9, 2023

The excuse for this may be bank charges, but delaying payment is not the solution. I do a lot of small jobs, and I turn down offers from agencies where I am afraid the bank charges would be out of proportion with the fee. I have bank accounts where my usual clients can pay by bank transfer, and it is not a problem.
Normally, I invoice at the end of the month, so there is often more than one job on an invoice, which saves administration.
It is not reasonable IMHO to delay payment for
... See more
The excuse for this may be bank charges, but delaying payment is not the solution. I do a lot of small jobs, and I turn down offers from agencies where I am afraid the bank charges would be out of proportion with the fee. I have bank accounts where my usual clients can pay by bank transfer, and it is not a problem.
Normally, I invoice at the end of the month, so there is often more than one job on an invoice, which saves administration.
It is not reasonable IMHO to delay payment for months. End of the month + 30 days is my absolute maximum, and if clients´ terms are 60 days, I send the invoice immediately after delivering the job - I do not wait until the end of the month!
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Baran Keki
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Merab Dekano
Merab Dekano  Identity Verified
Spain
Member (2014)
English to Spanish
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Makes sense Mar 9, 2023

Usually, if the threshold is, say, $100, you did 3 jobs $20 each and you receive no work from that agency during, say, two months, they have to pay you those $60. In other words, there are two thresholds – one for the amount and the other one for the time lapsed.

I never make a fuss out of it. It makes very little difference, really, whether you receive $60 in 30 days or in 60 days (if it does, you know you are in trouble anyway).


Philippe Etienne
Geoffrey Black
 
Emily Gilby
Emily Gilby  Identity Verified
United Kingdom
Local time: 23:43
Member (2018)
French to English
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TOPIC STARTER
Thank you Mar 9, 2023

Thank you for your responses everyone.

Merab Dekano wrote:

It makes very little difference, really, whether you receive $60 in 30 days or in 60 days.


I guess we're all different. I like to close job out at the end of the month and invoice them so that in the future I'm not constantly having to look back and remember odd small jobs that have yet to reach a threshold.

Joakim Braun wrote:

What's the inducement for the agency to provide this work?


I guess there isn't one, but I did confront them about it and they agreed to send some more work my way so that I can reach the threshold, so that's something.


 
Merab Dekano
Merab Dekano  Identity Verified
Spain
Member (2014)
English to Spanish
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Tracking jobs Mar 9, 2023

Emily Gilby wrote:

I like to close job out at the end of the month and invoice them so that in the future I'm not constantly having to look back and remember odd small jobs that have yet to reach a threshold.


That would be stressful, I guess. But not if you have accounting software – you create a draft invoice and you don’t have to remember anything; just visit the draft folder time to time and see if the job was paid. If not, send a friendly reminder.


Philippe Etienne
 
Dan Lucas
Dan Lucas  Identity Verified
United Kingdom
Local time: 23:43
Member (2014)
Japanese to English
Gently does it Mar 9, 2023

I had a client who gave me occasional proofreading jobs that were so small and infrequent that each one barely covered the time I spent on administration, literally a few tens of euros. Eventually I politely indicated that I was no longer willing to do this and we parted on good terms. The people I dealt with, incidentally, were unfailingly professional and courteous.

However, a few months later they came back with more substantial translation jobs and our relationship has resumed.
... See more
I had a client who gave me occasional proofreading jobs that were so small and infrequent that each one barely covered the time I spent on administration, literally a few tens of euros. Eventually I politely indicated that I was no longer willing to do this and we parted on good terms. The people I dealt with, incidentally, were unfailingly professional and courteous.

However, a few months later they came back with more substantial translation jobs and our relationship has resumed. So by all means decline small jobs, but don't burn your boats! (I'm sure you would never be anything other than civil, of course.)

Regards,
Dan
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Merab Dekano
Maria Teresa Borges de Almeida
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Nikolay Novitskiy
Nikolay Novitskiy  Identity Verified
Russian Federation
Local time: 03:43
Member (2018)
English to Russian
PayPal Mar 9, 2023

How such "thresholds" can exist?.. Even very small amounts of money can be paid via PayPal, Payoneer, etc.

Ivan Krasilich
 
Yasutomo Kanazawa
Yasutomo Kanazawa  Identity Verified
Japan
Local time: 07:43
Member (2005)
English to Japanese
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Only with trusted clients Mar 13, 2023

I only accept payment thresholds for trustworthy clients I have worked with for a long time.

Geoffrey Black
Gulchexra Seytkarimova
 
Yasutomo Kanazawa
Yasutomo Kanazawa  Identity Verified
Japan
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English to Japanese
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@Nikolay Mar 13, 2023

Nikolay Novitskiy wrote:

How such "thresholds" can exist?.. Even very small amounts of money can be paid via PayPal, Payoneer, etc.


It's true that small amount can be paid via Paypal, Payoneer, etc., but not all clients use Paypal, Payoneer or similar services.


Dan Lucas
Christine Andersen
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Christine Andersen
Christine Andersen  Identity Verified
Denmark
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Member (2003)
Danish to English
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It must not become an excuse for not paying! Mar 13, 2023

Sorry I am so cynical, but that kind of agreement is only reasonable if there is also a time limit, after which they will pay you anyway. Plus bank and administration charges - these must not be allowed to eat up your earnings.
I worked briefly with an agency that accumulated small payments, but paid after a time (I think it was three months), regardless of how large or small the amount was. I dropped them for other reasons, but I know several colleagues worked for them, and probably stil
... See more
Sorry I am so cynical, but that kind of agreement is only reasonable if there is also a time limit, after which they will pay you anyway. Plus bank and administration charges - these must not be allowed to eat up your earnings.
I worked briefly with an agency that accumulated small payments, but paid after a time (I think it was three months), regardless of how large or small the amount was. I dropped them for other reasons, but I know several colleagues worked for them, and probably still do.

Otherwise unscrupulous agencies can always find new translators who will do a couple of jobs, and then stop just before they reach the threshold.

The economy is turning, and there is interest on loans again. Translators and other small firms cannot afford to provide free loans to agencies. I think 30 days is plenty of time to find the money and pay, especially small sums. If the agency does not have the liquidity for that, then they are in trouble!
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Geoffrey Black
Nikolay Novitskiy
Maria Teresa Borges de Almeida
Yasutomo Kanazawa
 
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