Toptal vs Freelancer: Which Is Better for Hiring Freelancers?

Updated:
August 4, 2020

We recommend you hire freelancers on Toptal over Freelancer because Toptal vets their talent. Freelancer has more freelance talent than Toptal, but there are many entrepreneurs who state there are potential scammers on the website.

‍Without quality control, more users mean more spammy applications. Who wants to waste precious time sifting through a mountain of copy-and-paste job applications?


If you’re considering hiring freelancers on Freelancer.com…

  1. If you want someone to screen 90%+ of the bad candidates for you, check out Toptal (read our review on Toptal here).
  2. If you prefer quality freelancers in categories not offered by Toptal, check out Fiverr Pro (here’s our Fiverr review).
  3. If you’d like a low-cost freelancer to outsource work off your plate, check out Fiverr or OnlineJobs (here’s our OnlineJobs review).


You can read our individual reviews to help you make an informed decision:

Or if you continue reading, you will learn the pros and cons of hiring freelancers on Toptal and Freelancer.

Toptal vs Freelancer: Which Freelance Platform is Best to Hire From?


Freelancer praise and pros


Freelancer set the standard for many freelance features. From project contests to ranking systems, Freelancer creates unique features for entrepreneurs.


Because of their large size, you’ll get several applications. Assuming you’ve got time to sift through them all, this makes it easier to find the freelancer you want to work with.


Their support team is available 24/7. They also have an extensive FAQ section you can use to find the answers you need too.

Toptal praise and pros


Toptal’s claim to screen 3% of the talent may or may not be entirely accurate (I’ll discuss Toptal’s vetting process in a moment).


What matters is Toptal saves you time spending hours filtering through freelancers for their performance. After all, if Toptal didn’t have hoops for freelancers to jump through, then their available talent would dilute. As a result, their market differentiation would be… the same as almost any other freelance marketplace.


Many entrepreneurs hiring on Toptal note their support staff is very hands-on. Toptal also has a fantastic UI and billing process. 


Toptal has a fast placement process. According to Toptal, “In a typical engagement, we’ll introduce you to candidates within 24 hours. And 90% of our clients hire the first candidate we introduce.”


Toptal sets high standards for freelancers. Freelancers must maintain high customer satisfaction ratings. Otherwise, Toptal will remove them from the platform.


A no-risk test project. The first time you work with your freelancer, you get a two-week test period with your new hire. If you’re not satisfied, Toptal will take the loss and won’t charge you for the freelancer’s work. (Please note: this is not a “free trial” in that if you accept the project, you will pay for the hours billed).


Toptal’s screening process 3% will weed out some quality workers. But it’s better to miss out on a potential A player than to waste precious time on a borderline freelancer who turns out to be a B or C player.

Winner: Toptal


What type of freelancers can you hire on Freelancer and Toptal?


Type of Freelancers on Toptal


Toptal doesn’t have nearly the total number of freelancers for you compared to Freelancer. But do you really need 12 million freelancers, or just a handful of freelancers to consider to get the job done? More than 100,000 people apply to join Toptal every year, but they accept only 3%. In simple numbers, that means they add roughly 3,000 freelancers every year. 


That means rather than spending your time and energy vetting freelancers, Toptal does the heavy lifting for you.


Toptal is a good place to start if you’re serious about growing your business and are ready to invest in top talent at a reasonable rate. 


As of this writing, Toptal has vetted developers, designers, and finance experts. If you want to hire a freelancer with a different skill set, you may want to consider a different freelance platform.


The difficulty of using Toptal to source freelancers is if you are looking for someone to help with a small, one-off project. Toptal asks for a $500 commitment for the first project, which is fully refundable if you’re freelancer is not a fit.


Type of Freelancers on Freelancer


Freelancer reports there are over 45,600,000 users on their platform. That said, not all users are freelancers. And not all users are active either.


Doing a quick search on their website, you'll find a list of over 1,500,000 freelancers available for hire.


Because none of the freelancers are vetted, you’ll need to spend the time screening the freelancers yourself.


Type of Freelancers on Freelancer

Winner: Toptal

What is the screening process on Toptal and Freelancer?


Toptal’s screening process


What’s Toptal’s vetting process to make sure you work with world-class talent?


Toptal uses a 5-step screening process to source the top 3% of freelancers:

  1. Language & Personality - In this phase, Toptal is looking for candidates who read, write, and speak English fluently. They also look for personality traits, drive, and passion to see the work through to completion. According to Toptal, an estimated 26.4% of applicants pass this test.
  2. In-depth Skill Review -  Here, Toptal screens freelancers for technical knowledge. According to Toptal, only 7.4% of total applicants make it through this round.
  3. Live Screening - After testing the freelancer’s skills, Toptal does a live screening test. Toptal supplies an expert in each domain to do a video chat with the applicant. During the screening, the candidate receives a test while an expert watches how and what they do. If they fail, they may be asked to re-apply in a month. According to Toptal, only 3.6% of applicants pass this round.
  4. Test Projects - Over 1-3 weeks, a freelancer must complete a test project related to a real-world scenario. Here, the candidate puts everything into action, testing everything from competence to their professional style. According to Toptal, only 3.2% of applicants pass this round.
  5. Continued Excellence - Once the test is complete, Toptal freelancers are expected to maintain high-quality work. If work quality slips or there’s poor communication, the freelancer is let go. According to Toptal, only 3% of applicants continue to their high standards.


Even with this level of screening, Toptal has a wide pool filled with a specific talent set. Instead of hiring any DevOps engineer, Toptal can help you find an “AWS DevOps engineer who understands Docker, Jenkins, RDS...” and any other needs you may have. 


The dollar per hour will often increase when you need a specific skill set. But you’ll also know the freelancer better fits your needs than finding a freelancer for yourself on Freelancer.


Freelancer’s screening process


Unlike Toptal, there's no screening process, so you’ll need to do quality control. This lack of a screening process makes Freelancer.com's marketplace oversaturated with freelancers.


Winner: Toptal

How long is the hiring process before you work with a freelancer on Toptal and Freelancer?


Toptal’s hiring process


Hiring normally takes a long time, as anything worth doing should take time. But because Toptal screens their candidates, they can place you with a candidate in 48 hours:


Toptal’s hiring process


If there are no candidates available in Toptal’s network, it typically takes 1-3 weeks for Toptal to locate, screen, and work with every expert.


Freelancer’s hiring process


With Freelancer, you set the pace of the hiring process. That said, finding the right candidate involves:

  1. Write out a detailed job description (0-2 hours).
  2. Wait for candidates to apply (1-3 days).
  3. Schedule a phone call (1-5 days).
  4. Wait for the freelancer to scope out the project and send a proposal (1-3 days).
  5. Choose from the proposals (1-3 days).
  6. Negotiate the proposal (1-3 days).
  7. Sign the proposal (1-3 days).


Again, there’s a degree where you set the speed in which you hire. But hiring too fast will cause more damage to your business and brand in the long run.


Winner: Toptal

Pricing and fees: How much does it cost to hire freelancers on Toptal and Freelancer?


Toptal’s pricing


Toptal does not charge a fee above their regular pricing. Instead, they add a profit margin above the freelancer’s rates. 


Most rates you’ll pay are what you’d expect to pay outside their platform. 


Toptal offers this pricing chart:


Toptal pricing - What’s Toptal’s fee structure?



What you pay your freelancer depends on:

  • The tech stack needed for your project.
  • The necessary skill(s) to complete the task.
  • The project size.
  • What market you are in.
  • General market demand for the type of freelancer needed.


Freelancer’s pricing


For a fixed-price project, you’ll pay 3% (with a $3 minimum) for every freelancer you award the project. For hourly projects, you’ll also pay 3% for each payment you make.


3% is a typical fee for most freelance marketplaces. But Freelancer’s fees simply start at 3%...


Here’s a full list of Freelancer fees for projects:

  1. Want to feature your project to (supposedly) attract more, high-quality bids? That will be $9.
  2. Looking to mark your project as urgent to get a faster response from freelancers? That’s $9.
  3. Need to create a private project from search engines to increase confidentiality? That’s another $19.
  4. Want to hire for a full time or commission-based position? Time to cough up $199.
  5. Would you like Freelancer to assign a recruiter to your project to clarify the work and recommend a bigger? That’s $9.50.
  6. Are you looking for a Non-Disclosure Agreement (NDA) to keep your project details on the down-low? You’ll pay $19 for that.
  7. Do you need the freelancer to sign an Intellectual Property (IP) Agreement that all the work completed belongs to you? Add another $19 (for something which should be yours anyways).
  8. Would you like to seal all bids so other freelancers cannot see what each other bids on the project? Time to pay another $9.
  9. Want to list your project immediately by skipping the queue for admin to review your project? That’s another $5.
  10. Didn’t get good bids and want to extend the bidding period by 7 days? Oh look, another $9 fee.


What if you prefer to run a contest? Well, there’s a laundry list of contest fees too...

  1. Want to feature your project to (supposedly) attract more, high-quality entries? That will be $30.
  2. If you prefer getting top freelancers, you can mark your project as a top contest and pay $30.
  3. Looking to mark your contest as urgent to get a faster response from freelancers in 1-2 days? That’s $35.
  4. If you want to pay for more visibility, you can highlight your contest to make it visually stand out. You’ll pay $15 for the highlighter fee.
  5. Would you like to seal all entries so other freelancers cannot see what each other sent? Time to pay another $30.
  6. Need to create a private project from search engines to increase confidentiality? That’s another $25.
  7. Are you looking for a Non-Disclosure Agreement (NDA) to keep your project details on the down-low? You’ll pay $20 for that.
  8. Didn’t get good bids and want to extend the bidding period? You’ll pay an extra 15-50% of your contest prize, depending on the number of days added.


Winner: Toptal

Does Toptal or Freelancer offer any kind of risk-free trial or guarantee?


Toptal’s Policy


Toptal requires a $500 deposit which applies to your first bill. If you get a freelancer you are not satisfied with, you are not required to make any payment. You can choose to either part ways with Toptal or restart the hiring process.


The first time you work with your freelancer, you get a two-week test period with your new hire. If you’re not satisfied, Toptal will take the loss and won’t charge you for the freelancer’s work. (Please note: this is not a “free trial” in that if you accept the project, you will pay for the hours billed).


Toptal does not mention any information on their website how they handle disputes. However, every Toptal client receives an account manager who can help resolve your issues.


Freelancer’s Policy


Freelancer has a simple way to report fake bids to the platform.


Freelancer’s Policy


You can also report bad users too.


Freelancer’s Policy


For milestone payment projects, Freelancer also offers dispute resolution services.


Winner: Either

Is Freelancer or Toptal better for hiring freelancers?


Freelancer and Toptal are both beneficial for different hiring needs.


When should you consider hiring on Toptal?


Toptal is an excellent freelance platform for hiring quality talent. Because of the time they invest in curating the best talent, you’ll spend less time to find the right freelancer.


If you’re looking to hire vetted developers, designers, or finance experts for a project with a budget of $2,000 or more, go with Toptal.


When should you consider hiring on Freelancer?


From one entrepreneur to another, Freelancer is more hassle than worth. Sure, they have several freelancers. Today you can find plenty of freelancers on another site, often paying no extra to get quality talent.


Again, this is why I recommend…

  1. If you want someone to screen 90% of the candidates for you, I recommend checking out Toptal (read our review on Toptal here).
  2. If you prefer quality freelancers in categories not offered by Toptal, check out Fiverr Pro (here’s our Fiverr review).
  3. If you’d like a low-cost freelancer to outsource work off your plate, check out Fiverr or OnlineJobs (here’s our OnlineJobs review).


If Toptal has the talent you need, go with them.