This article explains how contractors can create fixed-rate, pay-as-you-go, or milestone contract types on Deel without the need to create a client account.
Contractors themselves can create legal contracts for the following agreements:
- Fixed Rate - For contracts that have a fixed rate each payment cycle
- Pay As You Go - For contracts that require time sheets or work submissions each payment cycle
- Milestone - For contracts with milestones that get paid each time they're completed
In This Article
How to create a Fixed Rate contract
How to create a Pay As You Go contract
How to create a Milestone contract
How to Create a Fixed Rate Contract
✅ Step 1 – Select a contract type
On the home page menu, select the option Create A Contract and choose Fixed Rate
✅ Step 2 - Enter details
Enter a contract name and the tax residence.
✅ Step 3 - Enter role details
Provide some basic information about the role, including Role Description and Scope of Work.
✅ Step 4 - Define payment and date details
Select the payment currency and the payment frequency: Weekly, bi-weekly, semi-monthly, or monthly.
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Every week - select a day when the payment is due weekly
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Every two weeks - select a day when the payment is due every other week
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Every month - select the last day of the month or any other specific date as the payment due date.
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Twice per month - select the 15th and the last day of the month or two specific dates as payment due dates.
✅ Step 5 - Add first payment details
Choose the date to receive the first payment, and how the first payment amount will be calculated.
For the first payment, select to receive the full amount or a custom amount:
- Full Amount: Receive the full weekly amount for the first payment, regardless of the start date.
- Custom Amount: Receive the customized amount entered for the first payment.
A notice period can be created where either party can terminate the contract after the designated notice period. Contractors can also choose a date to terminate the contract.
✅ Step 6 - Upload contract
Opt to upload a custom pre-signed contract, or use Deel's standard contract that is locally compliant.
Note: If a contractor is using their own custom contract, please ensure the PDF has been signed before uploading.
✅ Step 7 - Create the contract
Add any additional document or/and special clause, and select Create Contract.
How to Create a Pay As You Go Contract
✅ Step 1 – Select a contract type
On the home page menu, select the option Create A Contract and choose Pay As You Go.
✅ Step 2 - Enter details
Enter a contract name and the tax residence.
✅ Step 3 - Enter role details
Provide some basic information about the role, including Role Description and Scope of Work. Also, who can submit the work: the client, the contractor, or both. Toggle to select a preferred option.
✅ Step 4 - Define when the contract will be paid and invoice cycle
Define whether the contract will be paid per task or at a fixed rate.
Define the invoicing cycle: weekly, biweekly, semimonthly, or monthly.
✅ Step 5 - Select the start date and first payment date
A notice period can be created where either party can terminate the contract after the designated notice period. Contractors can also choose a date to terminate the contract.
✅ Step 6 - Upload contract
Opt to upload a custom pre-signed contract, or use Deel's standard contract that is locally compliant.
Note: If a contractor is using their own custom contract, please ensure the PDF has been signed before uploading.
✅ Step 7 - Create the contract
Add any additional document or/and special clause, and select Create Contract.
How to Create a Milestone Contract
✅ Step 1 – Select a contract type
On the home page menu, select the option Create A Contract and choose Milestone.
✅ Step 2 - Enter details
Enter a contract name and the tax residence.
✅ Step 3 - Enter role details
Provide some basic information about the role, including Role Description, Scope of Work and Payment Currency.
✅ Step 4 - Provide milestone details
✅ Step 5 - Select the start date and first payment date
A notice period can be created where either party can terminate the contract after the designated notice period. Contractors can also choose a date to terminate the contract.
✅ Step 6 - Upload contract
Opt to upload a custom pre-signed contract, or use Deel's standard contract that is locally compliant.
Note: If a contractor is using their own custom contract, please ensure the PDF has been signed before uploading.
✅ Step 7 - Create the contract
Add any additional document or/and special clause, and select Create Contract.
How to Sign a Contracts
On the home page menu, select the option Contracts. From there, contractors will be able to review the contract details and then click on Review & Sign. Next, the contractor can invite the client to sign as well.
Optional: Click Switch Signing Order to have the client sign first.
The contract will only be activated when both parties have signed.
FAQs
[ACCORDION] Can contractors add more than one milestone to their contract?
Yes. While creating the milestone details for the contract, contractors will see the option to Add A Milestone where they can add more milestones.
That can also be done via the Contracts tab.
[ACCORDION] Can a contractor delete a specific clause in the Deel contractor contract?
Yes, contractors can delete a clause in a contractor generated contract. If they opt to customize the contract, the edited version will take the place of the Deel contractor contract.
Deel's contractor contracts in each region have been rigorously reviewed by local lawyers to minimize as much risk as possible when working with contractors in that region. While it's completely up to the contractor to choose whether to edit a contract or not, we recommend leaving it as is to remain as compliant as possible.
After selecting to Review and Sign the contract, contractor will have the option to Create a New Contract Template. The new template will include the content of the Deel contractor contract as a starting point. Contractors may edit the customizable template as needed, including the removal of clauses. After saving and appling the changes, the new contract template will be used in place of the Deel contractor contract.
[ACCORDION] How can a contractor cancel a contract?
From the contracts tab, click on the three dots next to the contract to be cancelled, and then select Cancel Contract. Contractors will be given the option to delete it after the cancellation process is complete.
[ACCORDION] When does a contract become active?
The contract will only be activated when both parties have signed.