How do recruiters get paid? By employers, and that shapes how they work with you.
Understanding how a recruiter is paid explains their behaviour: why some move fast, why some go quiet, and why none should charge you.
In-house recruiters are employees paid a salary by their company. Agency recruiters are paid by the employer that hires through them, usually through a placement fee when a candidate they introduced is hired (contingency) or through an upfront arrangement for a search (retained). Arrangements and fee levels vary by firm and contract. Job seekers should not pay: the FTC advises walking away from placement firms that ask you for a fee.
The main arrangements
Salaried in-house recruiters
Paid by the employer like any employee, sometimes with performance bonuses. Their goal is to fill their company's roles well.
Contingency agencies
Paid only if a candidate they introduced is hired. That can make them fast and selective: they put forward people they think will get offers.
Retained search
An employer engages a firm for a search, often for senior roles, with payment that isn't tied only to a hire.
Temp and contract staffing
The agency may employ you and bill the client for your hours. Your pay and the client's bill are separate.
2 copy-ready scripts
Illustrative: names, companies, dates and numbers in these templates and examples are fictional. Replace every bracket with your own true details before you use anything.
Questions to ask an agency recruiter
When to use: On your first call, to understand the arrangement.
Are you working on this role directly with the hiring company? Is this a permanent, contract or contract-to-hire role? For contract roles, who would employ me and pay me? Will you tell me before submitting my resume anywhere?
Decline a fee request
When to use: If anyone presenting as a recruiter asks you to pay.
Thanks, but I don't pay fees to recruiters or placement firms. If you're working on roles with employers who pay your fee, I'd be glad to talk.
Disclosure: TryHired makes HIRED, a paid job-search program, so we have a conflict of interest when we mention it. Everything on this page is free to use without buying anything.
What it means for you
| Situation | What to do |
|---|---|
| Contingency recruiter goes quiet | They may have no current match; stay in touch, keep searching. |
| Recruiter pushes one role hard | Ask about the role's fit for you, not just for them. |
| Contract role through an agency | Clarify who employs you and what you're paid. |
| Asked to pay a fee | Walk away. |
The same move, done two ways
Illustrative example with fictional details.
| Version | Example |
|---|---|
| Weak | Paid a 'recruiter' $300 upfront to 'guarantee interviews'. |
| Strong | Asked the recruiter who the client was and whether the role was contract or permanent, and paid nothing. |
Why it matters: Legitimate recruiters are paid by employers. Upfront fees to job seekers are a red flag.
Mistakes to avoid
- Paying a recruiter or placement firm.
- Assuming a quiet recruiter has rejected you.
- Not asking who employs you on a contract role.
- Thinking a recruiter's priority is your career rather than their client's role.
What official sources say
Quoted word for word from official pages; state law, local law and your contract can add rules.
- Federal Trade Commission, Job Scams: "If a placement firm asks you for a fee — especially one you have to pay in advance — walk away." Accessed Nov 3, 2026.
Keep going
Questions people ask
Do recruiters get paid by the company?
What is a contingency recruiter?
What is a retained recruiter?
Should I ever pay a recruiter?
How this page is built
Written by Maid Dizdarevic, a career coach and 8x LinkedIn Top Voice. The steps, scripts and timing guides are practical advice, labelled as advice. We do not publish response rates, success rates or shares of employers, and every example uses fictional details. Official facts are quoted word for word from the pages listed under Sources.
- How a specific employer, recruiter or manager will act: practices vary by company, industry and person.
- Legal advice: for contracts, background-check disputes, pay classification or a termination, talk to an employment attorney, the U.S. Department of Labor or your state agency.
- Outcomes: no message, plan or program can promise an interview, a raise or a job.
- TryHired editorial guidance by Maid Dizdarevic, career coach, Nov 4, 2026.
- Federal Trade Commission, Job Scams: "If a placement firm asks you for a fee — especially one you have to pay in advance — walk away." Accessed Nov 3, 2026.