Pin It

Outsourcing and the Money Equation – Deciding How Much to Pay and How to Pay

 Set Up My ProductsHi Guys,

In my last few posts we have looked at the following:

We are now going to take a look at the money equation – deciding how much to pay and how to pay for the work.

In any business organisation, money is of paramount importance because that is the reason the business exists in the first place. So, it is extremely important that you have the money equation calibrated correctly.

The beauty of looking for outsourcing professionals on the Internet is that you can benefit from a very wide range of budgets. Since the people who are going to bid on your projects are located throughout the world, you can select them according to what you can pay. You initially set a realistic ballpark figure of what you can pay and most people will bid within that range.

Whatever your budget is, you will be able to find good professionals to work for you within that range. Remember that you are looking at the global marketplace here, and people in other countries may be able to work for a lot less than what people could in your local area. Naturally, there are people in certain areas that would charge a lot more for the work than what you could get it done locally.

Different jobs have different money equations. It is quite all right if you bid a low budget project initially just to get the feel of the professional’s work. You can tell them that you will review payments after you have seen their work. This works well and it also keeps the professional motivated because of the better payments that are poised to come their way.

When you are posting your project on a jobsite, do take some time to check out similar projects that are posted by other people. This will give you a good idea of what you should pay. But, more importantly, you must keep your own budget in focus when posting the project.


Escrows help the employer as well as the employee in an outsourcing equation. We shall learn more about escrows in the next post.

Online Banks

PayPal ( is the most popular online bank used by freelance outsourcers. It is followed (though not closely) by Skill ( which used to be known as Moneybookers. If you are going to outsource a lot, it is also a good idea to have a Payoneer debit card ( since it is affiliated with most of the freelance jobsites including GetAFreelancer, ScriptLance and oDesk. Releasing money from these sites to this debit card does not attract any fees either.

Please feel free to leave a comment below. I would really love to hear from you.

Until the next time.

Have a great day.


Set Up My Products

A brand new turnkey software solution that promises to leave both IM beginners and seasoned marketing pros in awe at how effortlessly it can build them a dynamic, full-fledged, profit-pulling sales funnel – in just a matter of hours.

    JVZoo Product Feed

Leave a Reply