December 23 2024

My Freelance Writing Client Hasn’t Paid Me for Completed Work – What Can I Do?

Freelance writing is an exciting career that offers flexibility and autonomy, but it also comes with its own set of challenges. One of the most frustrating and stressful situations a freelance writer can face is when a client hasn’t paid for completed work.

Whether you’ve been ghosted after submitting a well-crafted article or have been waiting weeks for payment on a project, the uncertainty and frustration of being owed money can make you feel powerless. But don’t worry – there are steps you can take to handle this situation and protect your livelihood.

1. Review the Terms of Your Contract

Before taking any action, it’s important to review your agreement with the client. If you have a signed contract, this document should outline the payment terms, including the payment schedule, method, and the consequences for non-payment. Common payment terms in freelance writing contracts include:

Payment on completion: This typically means that you’ll be paid once the work is finished and delivered.
Payment in installments: You may be paid upfront or in stages (e.g., a deposit upfront and the balance upon completion).
Payment within a specified time frame: The contract may state that payment is due within 30, 60, or 90 days after the project is finished.

If you have a contract and the client hasn’t paid by the agreed-upon deadline, you have a much stronger position to claim the money you are owed. On the other hand, if you didn’t sign a contract, you may still have legal recourse, but the situation becomes more complicated. We’ll dive into that a little later.

2. Check Your Communication

Sometimes, payment delays happen due to miscommunication or simple oversights. Before assuming the worst, consider the following:

Has the client received the invoice? Ensure that your invoice was sent properly and that the client has confirmed receipt. If you sent it via email, check that it wasn’t marked as spam.
Are there any misunderstandings? Double-check that the client is satisfied with the work you’ve submitted. Occasionally, a delay can happen because the client is unhappy with the work, but hasn’t communicated that to you.
Is the client experiencing financial difficulties? Some clients, particularly small businesses or startups, may be going through financial trouble. In these cases, payment delays may be unavoidable but could still be resolved with understanding.

If everything seems in order but the payment is still delayed, the next step is to follow up.

3. Follow Up Professionally

When a client hasn’t paid you by the agreed-upon deadline, it’s time to send a polite but firm follow-up email. Make sure your tone is professional, as you want to maintain a positive relationship with the client even if the situation is frustrating.

Here’s a sample email template:

Subject: Follow-Up on Outstanding Invoice #12345

Dear [Client’s Name],

I hope you’re doing well. I wanted to follow up on invoice #12345, which was due on [due date]. According to our agreement, payment was to be made by this time, but I have not yet received it. Could you please provide an update on when I can expect payment?

If there’s anything I can do to assist with the payment process, please let me know.

Thank you,
[Your Name]

In your follow-up, keep the tone neutral and avoid expressing frustration. It’s possible that your client has simply forgotten or is dealing with an issue that’s delaying payment. If you don’t hear back after a few days, you can send a second reminder. You may also want to call the client if you haven’t already, especially if it’s been a prolonged period since the invoice was due.

4. Send a Formal Payment Demand

If the follow-up emails aren’t yielding results and the client still hasn’t responded or made payment, it’s time to escalate things. A formal payment demand letter may be what’s needed to prompt the client to act.

In this letter, you should:

Restate the terms of your agreement, including the original due date.
Include a breakdown of the unpaid amount.
Provide a final deadline for payment (usually 7-10 days from the date of the letter).
State that you may take legal action if the payment is not received by the deadline.

Here’s an example of what a formal payment demand letter might look like:

Subject: Urgent: Final Payment Request for Invoice #12345

Dear [Client’s Name],

I am writing to formally request payment for invoice #12345, which was due on [due date]. As of today, the payment has not been received. I would appreciate it if you could remit the payment in full by [final deadline].

If payment is not made by this date, I will have no choice but to pursue further action, which may include [legal action, working with a collections agency, etc.].

Please let me know if you need any further information to process the payment.

Sincerely,
[Your Name]

In some cases, the mere threat of formal action can spur the client to pay up. However, if this doesn’t work, you may need to follow through on the threat.

5. Consider Small Claims Court

If the client continues to ignore your payment requests, small claims court is an option to consider. Small claims court is a legal avenue where you can file a lawsuit to recover money owed to you without hiring an attorney. The maximum amount you can sue for varies by jurisdiction but is typically under $10,000.

Here are a few things to keep in mind when considering small claims court:

Document everything: Make sure you have all communication, invoices, contracts, and any other supporting documents to back up your claim.
Understand the process: Research how small claims court works in your jurisdiction, including the filing fees, deadlines, and other requirements.
Know the risks: While you may win your case in small claims court, getting the client to actually pay could still be a challenge. If they refuse to pay, you may need to pursue additional legal avenues.

6. Use a Collections Agency

If small claims court doesn’t seem like the right route for you, another option is to work with a collections agency. These agencies specialize in recovering unpaid debts. While they typically charge a percentage of the amount they collect, they can take some of the pressure off you.

Before hiring a collections agency, however, make sure you have made reasonable efforts to collect the debt yourself. Agencies typically want to see that you’ve made at least a few attempts to collect the money before they get involved.

Preventing Non-Payment in the Future

While dealing with non-payment can be frustrating, the best way to manage this issue is by taking proactive steps before it becomes a problem. Prevention is always easier than dealing with the fallout, so it’s crucial to set yourself up for success right from the start. By implementing a few key strategies, you can significantly reduce the risk of encountering non-payment issues in the future and protect your freelance writing business.

Always Use a Written Contract

One of the most important steps in protecting yourself from non-payment is always working with a written contract. Contracts are not just legal documents; they’re clear agreements that ensure both you and your client are on the same page regarding expectations, deliverables, timelines, and payment terms. Even if you’re working with someone you’ve collaborated with before or who seems trustworthy, a contract provides an official outline that can protect both parties in case of misunderstandings.

Your contract should clearly specify:

The scope of work: Outline the specific tasks and deliverables that you’ll be providing. This helps avoid any confusion or scope creep later on.
The payment terms: Specify how much you’ll be paid, the method of payment (e.g., bank transfer, PayPal), and when the payment is due. If applicable, include a penalty or late fee clause for overdue payments.
Revisions and changes: If the client requests changes after the project begins, outline how these requests will affect the price and delivery timeline.
Termination clauses: If either party needs to end the contract early, ensure there’s a clear process for doing so, and outline whether any payment is required for work completed up to that point.

By having a clear, signed agreement, both you and your client know exactly what is expected. In the event of non-payment, you can point to the contract as a legal basis for your claim.

Request a Deposit or Partial Payment Upfront

To reduce the financial risk of non-payment, consider requesting a deposit or partial payment upfront before starting work. It’s a common practice in freelance work, and it serves as a commitment from the client to go forward with the project. Typically, deposits range from 25% to 50% of the total project fee.

Requesting a deposit offers several advantages:

Secures your time and effort: It ensures that you are compensated for your initial work, even if the client pulls out of the project later.
Shows client commitment: If a client is serious about the project, they should have no problem paying an upfront deposit. If they hesitate or refuse, that may be a red flag.
Helps with cash flow: Having an upfront payment can provide you with working capital, particularly if you’re working on a large project that takes time to complete.

For larger projects or long-term clients, you might also want to set milestone payments. For example, if you’re writing a series of articles, you could ask for payment after every 3-4 pieces rather than waiting until the project is complete.

Set Clear Payment Terms and Deadlines

Along with the contract, it’s important to set clear payment terms and stick to them. By clearly outlining when you expect to be paid—whether it’s immediately upon delivery, 30 days after completion, or in installments—you ensure that both you and the client are on the same page.

Here are some best practices for setting payment terms:

Net 30/60/90: If you’re comfortable with a slightly delayed payment structure, you can use “Net 30” (meaning payment is due within 30 days of the invoice date). However, be cautious with longer timelines like Net 60 or 90, as this can lead to delays in receiving payment.
Include a late fee clause: To motivate clients to pay on time, consider including a late fee clause in your contract. For example, you could add 2% interest per month on overdue payments or a flat late fee. Be sure to clearly communicate this upfront, so clients know that there are consequences for not paying on time.
Invoice promptly and professionally: As soon as the work is completed and submitted, send an invoice right away. This serves as a formal request for payment and gives the client a clear record of the amount due. Make sure your invoices are detailed, including the project name, total amount due, and payment methods.

Use Professional Invoicing Software

Using invoicing software, such as QuickBooks, FreshBooks, or PayPal’s invoicing feature, can streamline the payment process and make it easier for clients to pay you. These tools allow you to create professional-looking invoices with detailed line items, and they typically include payment links so that clients can pay with the click of a button.

In addition to convenience, invoicing software helps you track overdue payments and set reminders for clients. You’ll have a record of all the invoices you’ve sent and any payments you’ve received, which can be incredibly useful if you need to follow up with a client.

Some invoicing platforms also allow you to automatically charge late fees or send automated payment reminders, which can save you time and energy in tracking down overdue payments.

Communicate Clearly and Regularly with Clients

Good communication is key to maintaining positive relationships with clients, but it’s also crucial for ensuring that payment issues don’t arise in the first place. Keep the lines of communication open throughout the course of a project to ensure that the client knows where things stand and that there are no surprises at the end.

Some communication best practices include:

Set expectations upfront: At the start of the project, clarify your payment terms, including when and how you expect to be paid. You can even include this in your initial project proposal or email exchange.
Check in during the project: Depending on the length of the project, schedule regular check-ins with your client to update them on your progress. This keeps the client engaged and ensures that any concerns about the work are addressed early, reducing the likelihood of disputes over payment later on.
Send gentle reminders before payment is due: A few days before your payment is due, send a polite reminder email to let the client know that the payment is coming up. This can help ensure that the client doesn’t forget about it.

If you’re working with a client for the first time, it’s a good idea to start with smaller projects. These “trial” projects allow you to assess the client’s reliability and payment habits without committing to a large project upfront. If they pay promptly, you can proceed with larger projects in the future. If there are issues with payment, it’s better to know early on.

Establish Long-Term Relationships with Reliable Clients

While new clients can be great for growing your portfolio and business, long-term clients are often the most reliable when it comes to payment. Building a solid network of repeat clients who appreciate your work can provide a steady stream of income and a greater sense of security.

To encourage long-term relationships:

Be consistent and reliable: Meet deadlines, deliver high-quality work, and maintain professionalism in all interactions. When you consistently exceed expectations, clients are more likely to return for future projects.
Offer incentives for repeat business: Consider offering a small discount for clients who hire you for multiple projects or who commit to working with you on a retainer basis. This not only encourages loyalty but also helps secure ongoing work and payment stability.

By fostering these types of relationships, you reduce the likelihood of payment issues and increase the likelihood of timely, consistent payments.

Trust Your Gut and Be Prepared to Walk Away

Finally, trust your instincts when it comes to client relationships. If something feels off—whether it’s the client’s behavior, delayed responses, or repeated excuses for not paying—don’t be afraid to walk away from the project. While it’s tempting to take on every project that comes your way, your time and expertise are valuable. If a client is difficult to work with or has a history of delayed payments, it’s often better to move on and focus on clients who respect your work and pay on time.

Being able to say “no” to clients who seem unreliable is one of the most empowering things a freelancer can do. It allows you to maintain a positive work-life balance and ensures that you’re focusing on clients who value your contributions.

Those Are My Thoughts

Preventing non-payment is an essential part of protecting your freelance writing career and ensuring that you’re paid fairly for your work. By establishing clear contracts, requesting deposits, maintaining open communication, and using invoicing tools, you can significantly reduce the chances of payment issues. Additionally, building relationships with reliable clients and being willing to walk away from problematic ones will help ensure that you’re able to focus on growing your business without the constant worry of unpaid invoices.