Upwork emailed freelancers about a new cost on a method that used to be free: Direct to U.S. Bank. For many international freelancers this was a low cost way to reach a U.S. account, sometimes linked through a service that offered U.S. account details. Starting September 1, 2026, that route carries a $2.99 fee per withdrawal if your tax address is outside the U.S.
This change does not apply to every freelancer the same way. Whether you pay depends on your tax address, not on where your bank account sits.
Who pays the $2.99 Direct to U.S. Bank fee
| Situation | Fee | Source |
|---|---|---|
| U.S. tax address | Free | Upwork help |
| Non U.S. tax address, withdrawal executes before Sep 1, 2026 | Free | Upwork help |
| Non U.S. tax address, new or previously scheduled withdrawal executes on or after Sep 1, 2026 | $2.99 per withdrawal | Upwork help |
The fee is per withdrawal, so a freelancer who splits payouts into several transfers pays it each time. The trigger is your tax address on file with Upwork, not the country where the bank is registered.
Why “Direct to U.S. Bank” was popular with international freelancers
Freelancers whose local bank could not easily receive wire transfers sometimes used a U.S. account to accept Upwork payouts in U.S. dollars. A provider that supplies U.S. account details could act as the receiving point. With the withdrawal free, the main cost was whatever the account provider charged. The new $2.99 changes that calculation.
This is a community reported consequence; Upwork’s help center does not describe how any third party U.S. account provider works. Check the provider’s own terms for receiving and onward transfer.
Compare net received across Upwork withdrawal methods
| Method | Published fee | Timing | Who qualifies |
|---|---|---|---|
| Direct to U.S. Bank | $2.99 from Sep 1, 2026 for non U.S. tax address; free for U.S. tax address | 2 to 5 business days | U.S. based checking/savings that accepts ACH |
| Direct to Local Bank | $0.99 per transfer plus possible incoming bank fees | Up to several days, varies by bank | Local bank in the country on file |
| U.S. Dollar wire | Historically a higher fixed USD fee per transfer | Varies | Wire capable receiving account |
Because a fixed per transfer fee shrinks in importance as the amount grows, small withdrawals feel the $2.99 more than large ones. For a $50 withdrawal it is just under 6% of the payout; for a $1,000 withdrawal it is about 0.3%, before any provider or bank charges.
For the alternative route, compare Direct to Local Bank fees, timing, and country limits against the $2.99 U.S. bank fee and any onward provider costs. If you withdraw from Upwork in Kenya, compare that bank route with the documented Upwork M-Pesa fees, limits and timing rather than assuming the U.S.-bank fee is the only alternative.
What to do before September 1, 2026
- Check which delivery method is attached to your account and whether your tax address is outside the U.S.
- If you use Direct to U.S. Bank through a third party U.S. account, read that provider’s receiving and onward transfer fees.
- Estimate whether Direct to Local Bank, with its $0.99 fee and any incoming bank fee, leaves you with more than the $2.99 U.S. route.
- Check the execution date before relying on the previous free terms. A withdrawal scheduled earlier can still be charged if it executes on or after September 1, 2026.
- Confirm the exact fee at the moment you initiate a withdrawal; fees can change and may be account specific.
Official sources
- Upwork: Direct to U.S. Bank, timing and fees explained, checked August 9, 2026.
- Upwork: Direct to Local Bank fees, limits and timing, checked August 9, 2026.
- Upwork: How to get paid, checked August 9, 2026.
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