diff --git a/contributingGuides/CONTRIBUTING.md b/contributingGuides/CONTRIBUTING.md
index c115c11ebaaa..a9cf9aeb911b 100644
--- a/contributingGuides/CONTRIBUTING.md
+++ b/contributingGuides/CONTRIBUTING.md
@@ -49,7 +49,7 @@ If you've found a vulnerability, please email security@expensify.com with the su
 ## Payment for Contributions
 We hire and pay external contributors via Upwork.com. If you'd like to be paid for contributing or reporting a bug, please create an Upwork account, apply for an available job in [GitHub](https://github.com/Expensify/App/issues?q=is%3Aopen+is%3Aissue+label%3A%22Help+Wanted%22), and finally apply for the job in Upwork once your proposal gets selected in GitHub. If you think your compensation should be increased for a specific job, you can request a reevaluation by commenting in the Github issue where the Upwork job was posted. 
 
-Payment for your contributions and bug reports will be made no less than 7 days after the pull request is deployed to production to allow for regression testing. If a regression occurs, payment will be issued 7 days after all regressions are fixed. If you have not received payment after 8 days of the PR being deployed to production and there being no regressions, please email contributors@expensify.com referencing the GH issue and your GH handle. 
+Payment for your contributions and bug reports will be made no less than 7 days after the pull request is deployed to production to allow for regression testing. If a regression occurs, payment will be issued 7 days after all regressions are fixed (ie: deployed to production). A 50% penalty will be applied to the Contributor and Contributor+ for each regression on an issue. If you have not received payment after 8 days of the PR being deployed to production, and there are no regressions, please email contributors@expensify.com referencing the GH issue and your GH handle. 
 
 New contributors are limited to working on one job at a time, however experienced contributors may work on numerous jobs simultaneously.