What is Freelancer Earnings in 2024?

In the upcoming year, freelancers have the potential to earn substantial incomes based on their expertise and the flexibility to establish their desired work-life equilibrium. Freelancing has become a favored choice for those seeking supplementary earnings or full-time self-employment that grants greater control over job selection. The demand for skilled freelancers has been steadily increasing, affording them the ability to set their rates and engage in projects that capture their interest.

Understanding Freelancer Earnings

Previous studies conducted by Upwork reveal that 60% of individuals who transitioned from full-time employment to freelancing experienced higher income levels than their previous jobs. In the United States, freelancers earn an average hourly rate of $20, while those engaged in web/mobile development, marketing, legal, accounting, and other specialized services command an even higher average wage of $28 per hour. This places them in a position of outearning over 70% of the nation’s workforce.

Key Factors Influencing Freelancer Pricing

Freelancers’ rates vary depending on several factors that impact their earning potential. These include:

1. Years of experience: Accumulated expertise within a field often leads to increased pay rates.
2. Skill set specialization: Strong technical skills, such as programming, mobile app development, or legal writing, enable freelancers to command higher prices for projects requiring such expertise.
3. Education and training: Certified training and formal education can significantly enhance a freelancer’s market value, allowing for more favorable pricing negotiations.
4. Reviews and reputation: Positive reviews and proven deliverables substantiate a freelancer’s credibility, enabling them to charge higher rates.
5. Geographical location: While freelancers can work from anywhere, project rates may vary depending on the client’s location. For instance, clients in different countries may offer different compensation levels.

Income Estimates for Popular Freelancing Professions

Freelancer earnings differ across various fields, with technical professions generally yielding higher incomes. Here are the average hourly rates and annual salaries for some popular freelancing opportunities:

1. Writers: Freelance writers command an hourly rate between $30 and $40, with an annual salary around $42,000.
2. Editors: Freelance editors earn approximately $25 to $35 per hour, amounting to an annual salary of about $40,000.
3. Programmers: Freelance programmers specializing in multiple languages earn $60 to $70 per hour, with an annual salary averaging $120,000.
4. General developers: Freelance developers can expect an hourly rate ranging from $50 to $60, resulting in an annual income of around $100,000.
5. Mobile developers: On average, mobile app developers earn an hourly rate of $55 to $65, with an annual salary of $100,000.
6. Web developers: Freelance web developers design and construct websites for an hourly rate of $50 to $60, equating to an annual income of roughly $90,000.
7. Graphic designers: Visual or graphic designers charge approximately $40 to $45 per hour, amounting to an annual salary of about $90,000.
8. Transcribers: Freelance transcriptionists typically earn around $20 to $25 per hour, resulting in an annual salary of roughly $32,000.
9. Bookkeepers: Freelance bookkeepers make $30 to $35 per hour, yielding an annual income of about $40,000.
10. Online marketers: Freelance digital marketers earn around $50 per hour, with an annual salary of approximately $100,000.
11. Photographers: Freelance photographers charge an hourly rate between $35 and $45, resulting in an annual salary of around $42,000.
12. CRM managers: Customer relations managers can expect an hourly rate of $50 to $60, with an annual salary of approximately $120,000.
13. Data analysts: Freelance data analysts earn an average of $55 to $65 per hour, with an annual salary of $100,000.

Anticipated Freelancing Opportunities in 2024

Recent studies conducted by Upwork indicate a significant increase in the number of Americans engaging in freelance work, with an estimated 59 million individuals freelancing in the past year. This trend is expected to continue in 2024 due to several indicators of growth within the freelancing economy.

• Access to global work platforms: Online marketplaces like Upwork provide freelancers with increased access to a wide range of job opportunities, facilitating connections between freelancers and interested clients worldwide.
• Technological advancements: Collaboration tools such as Zoom, Google Drive, and Slack have made remote communication and collaboration more convenient. This realization has led businesses to recognize the potential of working with talented individuals globally, expanding their willingness to hire freelancers from different locations.
• Changing perceptions of remote work: The COVID-19 pandemic has shifted the mindset around remote work, as companies experienced the efficiency and productivity of remote teams. This newfound confidence is expected to drive more companies to hire freelancers worldwide to fulfill their project requirements in 2023.

Understanding Freelance Payment Schedules

While freelancing offers increased earning potential and flexibility, it also involves inconsistent payment schedules. Freelancers are typically paid based on the completion of work, meaning there is no fixed paycheck at the end of each week. The three most common payment schedules for freelancers are:

1. Hourly: Freelancers receive payment based on the number of hours worked at a predetermined rate.
2. Project-based: Freelancers negotiate a fixed payment amount for completing a specific project with defined scope and deadlines.
3. Monthly retainer: A recurring payment arrangement where freelancers receive a fixed amount each month, estimated based on the anticipated workload or a predetermined timeframe.

Outlook for Freelancing in 2024

The economic data suggests a significant increase in the number of full-time freelancers in recent years, with expectations of continued growth. Skilled professionals are increasingly turning to freelancing as a means to earn extra income, replace traditional employment, and achieve a better work-life balance.

The benefits reported by freelancers in a research, include freedom in scheduling, a broader range of employment opportunities, location flexibility, rewarding and diverse work experiences, and comparable or increased productivity compared to on-site jobs. Moreover, 93% of full-time freelancers attest to the flexibility in determining their income, offering the potential to earn more based on personal choices.

If you’re ready to embark on your freelancing journey, consider taking our Upwork & Linkedin best selling freelancing course, to start earning from the world’s leading work marketplace, connecting millions of freelancers with rewarding and fulfilling opportunities.