Who pays for tools and third-party costs in a freelance project?

Who pays for stock assets, plugins, hosting or travel? Add an expenses clause with pre-approval and reimbursement within 14 days of receipts.

The risky clause

Contractor is responsible for all costs incurred in performing the services, including software, assets and travel.

Why it is dangerous

Hidden costs can eat your profit. Ask that approved third-party costs are paid or reimbursed with receipts, and that anything above a threshold needs written approval first. This is general information, not legal advice.

Safer clause to propose

Pre-approved third-party costs are reimbursed at cost within 14 days of invoice with receipts. Costs above Rs [AMOUNT] require the Client's written approval.

Message to send

Hi [Client],

Could third-party costs like stock assets and plugins be billed at cost with receipts and approval before purchase? Thanks, [Your Name]

Frequently asked questions

Should freelancers charge expenses separately?

Yes for third-party costs, with approval and receipts.

How do I avoid disputes over costs?

Get written approval before buying and attach receipts to your invoice.

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