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Discussion Forum

Hourly rates vs charging by the job for unlicensed handyman in California.

1mayven | Posted in General Discussion on July 9, 2017 06:31am

If a carpenter handyman doesn”t enter into a written contract with the homeowner and charges by the hour instead of by the job for the work (e.g. building kitchen cabinets, installing new flooring, dry wall work and painting), could he work without a license even if he is paid much more than $500 over a period of time?  I am in California.  thanks.

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  1. DanH | Jul 09, 2017 10:41pm | #1

    In most jurisdictions he can't do work that requires a license, such as major plumbing and most electrical.

    As to whether the individual needs to be licensed to do business in general, that depends muchly on your state laws, etc.

  2. jimmiem | Jul 10, 2017 09:14am | #2

    IMO you are probably in a gray area.  If somebody rats you out or you get caught in a sting (according to the CA CSLB web site they run stings) you could have a problem if the CSLB decides that you have done this to avoid getting a license.  You could also have a problem if the work requires a permit or a specific license e.g. plumbing or electrical.  I'm in MA and different towns have different rules for which types of jobs require permits and which don't......permits are a sizeable source on revenue.  I called a real 'tight' town and the inspector said it would be easier to tell me what I could do without a permit as the list would be verrrry short....changing a water faucet washer could only be done by a licensed plumber.  Your 'intent' might be the determining factor.

    Another thing to consider is liability insurance.  Will CA insurance companies issue it if you don't have a contractor's license?

  3. junkhound | Jul 11, 2017 01:10pm | #3

    How important is it to you to not be deported?

    ICE is watching permit and CL listings and comparing and big box denizens 

  4. User avater
    albertseven | Aug 11, 2017 11:48am | #4

    That Will Depend

    In my opinion, license or no license will be between the client and the Carpenter, but workers compensation injuries might complicate things. If the unlicensed carpenter brings other workers into the home and injuries occur, the homeowner might be just as well liable for workers compensation claims. As a homeowner, it is far better to get a definite job quote than an hourly rate. On the other hand, hourly rate should be preferred by the carpenter.

    1. florida | Aug 11, 2017 02:03pm | #5

      Well no, totally not true. Ask the state and see if it agrees. Any unliscensed worker in your house makes you lible for workers comp claims, You also have no idea what you're talking about in how to charge. I suppose your Spam link has the same value as your worthless opinions.

  5. User avater
    user-2409187 | Oct 30, 2017 11:06am | #6

    Caution!

    It would be foolish not to enter into a written agreement for time-materials work. This document should clearly spell out what the rate is and when a charge is incurred. Is it only for on-site work or does it include material deliveries?  While I can't always predict the exact cost of my work, I ALWAYS give my client a basic estimate of labor and materials. If I need to charge more, I explain the reason and give a thorough accounting. Handymen are a dime a dozen. Trustworthy handymen with skill to match are harder to come by. Be vigilant!

    At every stage of the job there needs to be a good level of trust and confidence twixt client and handyman...and a thorough accounting at the end of the job. Here in IL most handyman work can be done without license, however liability insurance is something YOU, as client, want documented no matter what!! If the handyperson does not carry even minimal insurance, forget it...no matter what others are saying about that person's level of skill/competence. Licenses in this state are required for certain remodeling work (EPA lead-in-paint removal/remodeling), for roofing, electrical, plumbing, HVAC and so forth.

    The amount you pay your handyman has no relationship to basic requirements for liability insurance and state or federal-mandated licenses. And just because a small job may not require a buiilding permit does not mean that essential requirements can be ignored. An ounce of prevention....

    1. florida | Oct 30, 2017 02:14pm | #7

      That would be against the law in CA and most other states that require contractor licenses. If you ACT like a contractor the state considers that are are presenting yourself as a contractor. In that case you had better have a license or a very good lawyer.

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