8 Best Ways to Pay Data Labelers in 2025

Hiring global data labelers is crucial for effectively training AI models. These workers usually operate as independent contractors, which can complicate payment due to varying payment method availability, fluctuating exchange rates, and differing local laws.

With Deel’s in-depth understanding of global payments and contractor support, we have compiled the top eight methods for paying data labeling contractors in 2025, highlighting their pros and cons, expected fees, supported currencies, and country availability.

With Deel, you can expect streamlined, compliant, cost-effective payment solutions designed to drive onboard efficiency and empower your contractor workforce.

What makes paying data labelers challenging?

Data labeling contractors receive compensation differently from regular employees. Instead of receiving a fixed salary through a company’s payroll, they’re compensated based on their preferred payment methods, which are determined by various factors, including the terms of the work agreement, the data labelers’ country of residence, and the most efficient and cost-effective payment options available.

For data labelers residing in the same country as their clients, common and effective payment methods include:

• Direct deposits
• Paper checks
• Domestic wire transfers
• Payment apps like PayPal

However, when the data labeler resides in a different country from your organization, things get a bit more complex. Both parties must consider exchange rates, currency conversion fees, and various bank charges. These fees may apply to the client, the contractor, or both.

Some jurisdictions may require your organization to pay data labelers in the local currency, so it’s essential for both parties to familiarize themselves with local labor laws to ensure that the data labeler receives compensation in compliance with these regulations.

In the following sections, we will explore the various payment methods available to data labeling contractors, evaluate how suitable these methods are for international transactions, and introduce you to Deel. Deel stands out for its lower fees, wide-ranging coverage, and features like automated record-keeping, invoicing, and various withdrawal methods, including the option for cryptocurrency.

Let’s explore these options together and find the best payout provider for data labeling contractors.

1. International bank transfer (SWIFT)

• Countries supported: All
• Currencies supported: All (exchange rates apply)
• Fees: For payments going through SWIFT, fees can be anywhere from $20-75$

Processing money this way often goes through the SWIFT network, which means the banks take a fee for providing this service.

Wiring money internationally is not a very cost-effective payment method because both the sending and receiving banks charge high processing fees. Banks also have different exchange rates, and you could lose money in the exchange rate.

Most international bank transfers are completed in one to five business days.

2. Revolut

• Countries supported: 31
• Currencies supported: 31
• Fees: Check here

Fees: $0 fees unless it is a cross-currency transfer, which is 0.5% on any amount exceeding the free foreign exchange allowance. You must have a Revolut account to pay the data labeler.

More than 12 million customers are currently using Revolut. One thing that sets Revolut apart is that it offers the option to provide gold and crypto payments. Revolut has no hidden fees, and both business and private customers can use the service. It has a very user-friendly app. You can choose from several subscription options and deals.

However, to get paid with Revolut, your organization needs a Revolut Business account. If you’re registered and have a physical presence within the European Economic Area (EEA) and Switzerland, you can open one.

3. PayPal

• Countries supported: 200+
• Currencies supported: 25
• Fees: 2.9% + $0.30 (typically, but varies on the country). Deel users have a special reduced fee of 2.5% globally

PayPal’s online payment system has dominated the market for a while. PayPal is present in many countries, very easy to use, and offers discounts and special deals for business users.

However, it comes with a few restrictions, one of which is that data labelers can’t get paid through the Friends & Family option. In addition, PayPal is not FDIC-insured, meaning that if it becomes insolvent, the contractor could lose their money.

4. Wise

• Countries supported: 60
• Currencies supported: 23
• Fees: See calculator

The biggest benefit of using Wise is its significantly lower fee. Wise transfers money from its UK headquarters to one of its local partners, enabling data labelers to receive the funds in their chosen currency. Users can also see the exchange rates and fees before sending the money.

However, Wise isn’t present in that many countries, so it might be challenging for the data labeler to use it if your organization’s country isn’t on the list.

5. Payoneer

• Countries supported: 200+‍
• Currencies supported: 150
• Fees: Check here

Payoneer is one of the favorite online payment options because of its availability and easy options to transfer funds to bank accounts. Moreover, Payoneer offers its own MasterCard that can be used worldwide for credit card payments and online shopping. The card can be shipped worldwide at the data labelers’ expense. Depending on their location, they may need to wait several weeks. Notably, their fees are higher than the average.

6. Coinbase

• Countries supported: 100+‍
• Cryptocurrencies supported: 260+
• Fees: Check here

Coinbase is a popular cryptocurrency exchange platform that allows you to pay data labeling contractors via cryptocurrencies such as Bitcoin, Ethereum, or Dash. By leveraging blockchain technology, Coinbase offers fast, secure, and transparent transactions.

Getting paid in Bitcoin appeals to workers and organizations with global workforces because it offers near-instant global transfers and low fees.

7. Freelancing websites

Freelancing websites such as Upwork, Freelancer, and Fiverr are work marketplaces for contractors to find work and get paid. Many of these platforms use the Direct Contracts payment method with escrow services that lock funds in a holding account until certain conditions are met before the payment can be released. This method provides simple contract management, faster payments, and dispute assistance.

Freelancer websites support different payment methods. The most popular freelancer website in 2023, Upwork, provides a number of choices to pay and withdraw funds through direct bank account withdrawals or third-party payment vendors such as PayPal, Payoneer, and M-Pesa. The platform always bills and pays in USD, which the worker can then withdraw in their chosen currency using their preferred payment method.

The availability of payment methods varies by country. The available options will display when the contractor adds a payment method.

• Countries supported: 180
• Currencies supported: 200+ depending on the available payment methods in your country
• Fees: Check here

8. Deel

• Countries supported: 200+
• Currencies supported: Every currency around the world
• Fees: Check here

Many data labeling contractors today are entering into work arrangements with organizations that use Deel. They prefer this arrangement as it guarantees faster contractor payments, 15 payment methods, fewer fees, automated invoicing, advanced payments, and access to the same benefits and perks as employees.

Here’s an overview of the benefits of paying data labelers through Deel:

On-time payments

Unlike other payment platforms and providers, data labelers don’t need to wait for their money to be manually authorized or processed to receive payment. Once the contractor and your organization have agreed on the payment terms and schedule in the contract (fixed rate monthly, bi-monthly, pay as you go weekly or hourly rate, milestone one-time or per project payments, and off-cycle payments), the payment is processed automatically and arrives in contractor’s Deel account on the agreed date, accurately and on time, to keep their cash flow in check.

Data labeling contractors on Deel are able to see the Payment Tracker, which provides an easy-to-follow timeline of the payment process.

See also: How Long Will My Payment Take To Clear?

The data labeler can choose from an array of payment options, including:

• International bank transfers
• Local bank transfers
• Coinbase account transfer
• PayPal
• Revolut
• Deel Card
• Deel instant card transfer
• Payoneer

With Deel, you and the data labeler can choose how to process payments. That means the two of you can have different payment methods. For example, you can pay with an international wire transfer, and the data labeling contractor can choose how they want to withdraw (bank transfer, PayPal, Payoneer, and even crypto and in which currency.

Lower fees

Deel always tries to optimize for a local payout, which minimizes the fees and makes the payment process favorable for both parties.

Advanced payments

Deel Advance lets data labelers get paid up to 30 days earlier without a credit check, interest rates, or applications.

Instant card transfer

Data labeling contractors can get paid immediately using their bank card details via the Mastercard or Visa network. There is no more payday uncertainty or hidden extra fees. Plus, 90% of transfers arrive in 15 seconds or less.

Deel card

With a Deel Card, data labelers can spend their earnings securely online or in-store and hold their balance in USD for more stability.

Automated invoicing

Data labeling contractors can save hours of time-consuming admin and automate their entire invoice process. Instantly generate digital invoices for every payment and seamlessly sync all their data with their favorite accounting tools.

Invoice generator

Data labelers can create and send professional invoices in minutes. They simply add their invoice breakdown and client info to generate an invoice, then send it to anyone, including clients they work with outside of Deel. Deel stores the invoice details for future use, making it easy for data labeling contractors to work with you again. With all invoices stored safely in one place, filing income taxes becomes easier than ever.

Expense tracking

The Expense Tracker is a one-stop shop for managing work expenses. Data labelers can upload receipts, categorize their expenses, and assign them to specific clients to track reimbursements. They’ll save hours on end-of-year bookkeeping, get better visibility over spending, and ensure they don’t miss an expense.

Compliant contracts

When a data labeling contractor signs a work contract with you, also known as a contractor agreement, through Deel, you can rest assured that their contract will be compliant with their local laws. Data and intellectual property protection are also included.

Recordkeeping

The Deel platform securely stores and tracks work contracts, tax forms, and invoices in one place.

Benefits and perks

Data labeling contractors don’t usually get access to the same benefits and perks as employees. At Deel, we’re changing that so everyone has the best experience possible.

Contractor perks on Deel include discounts and vouchers to optimize work and lifestyle. For example, Deel partners with Booking.com, Avis & Budget, Pancake, Todoist, QuickBooks, SafetyWing, Preply, Little Emperors, Binance, BetterHelp, and many more to get data labelers discounts whether they’re equipping their home office, seeking to boost their physical and mental health, or traveling. Data labeling contractors can even get exclusive discounts on health insurance wherever they are in the world.

Equipment and software

Your organization has the option to provide equipment to data labelers. Select from 400+ devices available on Deel IT, from laptops to hardware, and Deel will handle all the logistics, such as tax compliance, customs and shipping documents, and door-to-door delivery to 150+ countries.

Expert tax advice

Should your data labeler need help with their tax return or have a query about equity, our Tax Advice feature connects them with trusted local tax advisors who can explain their tax obligations and even file self-employment taxes for them with the relevant tax authority (e.g., the IRS if you’re from the US).

Tax summaries

This tool will help summarize a data labeler’s overall income and expenses across all invoices and expenses, making it easier to prepare for tax season. They can simply hand these pre-prepared details to a tax consultant.

24/7 support

Deel’s customer support is available 24/7 in 13 languages and through multiple channels (live chat, email, WhatsApp) to answer questions and resolve any issues either party may experience on the platform. With our live chat feature, you’ll get support with a query or concern in under two minutes.

Thousands of contractors use Deel’s platform to work and get paid. No one else even comes close.

Pay data labelers easily with Deel

Fast payments, low fees, and convenient perks like Deel Card and Deel Advance make Deel one of the most flexible and beneficial ways for data labelers to get paid.

While there are many options for processing and receiving international payments in today’s fintech landscape, Deel is the all-in-one solution that ensures you can operate compliantly and securely from anywhere and with anyone.

Sign up and provide the smoothest data labeler contractor experience on the planet.