It’s something every homeowner has in common: The need to fix or improve your home will inevitably happen. And when that time does come, we all want to spend as little money as possible in the process.
Since most of us aren’t skilled in making our own home repairs, that means calling for some help. So, when is it a project for a handyman, and when do you need to book a licensed contractor? Making the right choice is important, for both your budget and your home, so we’ll walk you through the decision-making process.
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Contractor vs. Handyman
First, it’s important to understand the difference between the two. As the title would imply, licensed contractors must be licensed by the state or registered within the state they live. This means they have to pass exams to get the license, meeting certain criteria to prove they are competent. And while state laws vary, they’ll have to maintain their license on a regular basis to keep it current. Additionally, it’s likely they’ll have liability insurance.
Another thing that’s important to note is there are a couple types of contractors. A general contractor is the general manager of a project who organizes and oversees deadlines. The contractor is a specialty trade person, with specific knowledge and training in one type of repair, such as electrical work.
On the other hand, essentially anyone can call themselves a handyman. It certainly doesn’t mean they aren’t skilled or trained, but the title itself has little to no regulations. Handymen are typically generalist with a do-it-all skillset, but not an expert in any single trade. This means they will often take on a wide range of work, as they have a working knowledge of a wide range of home needs.
The Cost Difference
Because of their specialty training, a licensed contractor is going to charge more per hour than a handyman. The actual difference varies greatly, but on average, a handyman charges $45 to $65 per hour while a contractor ranges from $60 to $125. Another reason contractors have a higher rate is because they typically have more overhead costs
Now before you make your decision based solely on the less expensive rate, there’s a few things to keep in mind. If your project is more involved, requiring specialty training, it could cost you in the long run to go with a handyman. Even with the best of intentions, an inexperienced handyman could fail to fix the problem—or even worse, create more damage. You may have to pay more in the long run to fix it twice.
How to Decide
Quite often, the type of work you need will make the decision for you. For starters, you’ll need to check with your state laws. Some states actually require licensed contractors, depending on the type or cost of project. For example, in California, anything over $500 will need a licensed contractor.
Generally speaking, the larger the project, the more likely you’ll need to hire a licensed contractor. This is especially true if it’s a multi-project task, like a kitchen renovation that involves plumbing, electric, and carpentry. As we covered, licensed contractors are highly specialized, and no single person like a handyman, could take on that job. In this case, you’d hire a general contractor that can assign the work to subcontractors.
Alternately, if it’s a small job, then a handyman is probably the choice for you. For example, if you need a pipe unclogged rather than a whole new plumbing system, this would be a good time to call a handyman. In fact, most licensed contractors won’t take jobs that can be completed in hours, or even days. Handyman are great for tackling multiple small projects in one visit, so think about everything you need at once.
Contractor vs. Handyman Examples
Just to give you an idea, here’s an example of the types of jobs that each type of laborer would complete.

Licensed Contractor:
-Extensive plumbing work
-Installing a new HVAC system
-Removing walls/building home additions
-Anything involving electrical work
-Roof repair
-Anything involving toxic materials like mold or asbestos

Handyman:
-Unclogging sinks
-Patching drywall
-Fixing a fence
-Removing/replacing appliances
-Removing/replacing toilets
-Painting home interior or exterior
-Repairing tile in the bathroom or kitchen
-Hanging pictures or curtains
How to Hire
Now that you know who to hire, it’s critically important to know how to hire. Whether it’s a licensed contractor or a handyman, the same rules apply.
If possible, hire someone through word of mouth from a trusted friend or relative. You can also use sites like Angie’s List to look for referrals. When the work involves a contractor, ask to see their license and make sure that it’s up to date and not expired.
Most experts recommend getting at least three bids so that you know you’re getting a fair price. Some contractors will markup their materials, so do your homework and check with suppliers to make sure that your quote is reasonable. Once you’ve settled on a person or company, be sure to get your quote and scope of work in writing. Never pay in full upfront, and if they insist on that, it’s likely a red flag and you should pass.
Ultimately, it’s your home, and hiring the right person is one of the most important decisions you can make. But with the proper knowledge and research, you can feel at ease that you’re making the right choice.



