The $1,000 minor-work rule has important limits
A small price does not automatically mean a contractor can work without a California license.
Effective January 1, 2025
The threshold changed, with conditions
California increased its minor-work license exemption from $500 to $1,000 in 2025. CSLB says a license is required when the combined labor and materials reach $1,000 or more. Work requiring a permit or using employee labor also requires a license, even below that amount.
The exemption is for qualifying minor work. It does not provide a way to treat an ADU, new home, or restaurant build-out as a collection of unrelated small jobs.
What this means for an owner
For a small repair, describe the full task before comparing prices. Ask whether a permit is needed and who will actually perform the work. A quote below the threshold answers only the price question.
For a larger project, check the business and license details before entering a contract. Do not rely on a verbal assurance that a low deposit makes the work exempt. A deposit and the total project price are different things.
Keep the scope together
Write down the work you are requesting, including materials and related tasks. If someone proposes splitting the same project into smaller invoices, pause and ask CSLB about the licensing requirement for the complete scope.
For contractor searches on this site, project experience helps you compare fit. It should sit alongside a current license check, not replace it.
