Reference · State of North Carolina

North Carolina trade labor costs

What a plumbing, HVAC or electrical tech earns in North Carolina, what the state adds to payroll, whether labor is taxed, what a license costs, how lien rights work and when the heating and cooling seasons peak — each figure from the agency that sets it, with the date we read it.

  • Wages BLS OEWS May 2025
  • Payroll and licenses state agencies
  • Checked and
Plumbing median
$27.44/h−10.5% vs the U.S.44th of 51
HVAC median
$27.53/h−6.1% vs the U.S.40th of 51
Electrical median
$27.31/h−10.1% vs the U.S.49th of 51
New-employer SUTA
1.00%on the first $34,200
Payroll programs
Noneno paid-leave or disability program found
Sales tax on labor
Dependsrepair and installation on buildings

Pay in North Carolina

Hourly pay across all industries, May 2025. Half of the workers in each trade earn less than the median and half earn more; one in ten earns less than the 10th percentile. Union and non-union, no self-employed.

Hourly pay, 10th to 90th percentileDrawn to scale: one dollar axis for all three trades
  • PlumbingU.S. median $30.67

    plumbers: 10th percentile $18.69, 25th $22.38, median $27.44, 75th $30.43, 90th $36.47 an hour; U.S. median $30.67.

  • HVACU.S. median $29.33

    HVAC techs: 10th percentile $18.16, 25th $22.52, median $27.53, 75th $30.92, 90th $37.10 an hour; U.S. median $29.33.

  • ElectricalU.S. median $30.38

    electricians: 10th percentile $19.29, 25th $22.63, median $27.31, 75th $29.77, 90th $36.09 an hour; U.S. median $30.38.

  • 25th–75th percentile
  • State median
  • U.S. median
Hourly pay by percentile for plumbers, HVAC techs and electricians in North Carolina, BLS OEWS May 2025
PercentilePlumbingHVACElectrical
10th$18.69$18.16$19.29
25th$22.38$22.52$22.63
Median$27.44$27.53$27.31
75th$30.43$30.92$29.77
90th$36.47$37.10$36.09
Mean$27.27$27.60$27.33
U.S. median$30.67$29.33$30.38
vs U.S.−10.5%−6.1%−10.1%
Rank44th40th49th
Jobs14,51015,23021,640

Dollars an hour. BLS occupations: Plumbers, pipefitters and steamfitters (SOC 47-2152); Heating, air conditioning and refrigeration mechanics and installers (SOC 49-9021); Electricians (SOC 47-2111). “vs U.S.” compares the medians; rank 1 is the highest median of the 50 states and DC. Released May 15, 2026; the next survey is due each spring.

Payroll costs the state adds

What North Carolina charges an employer on top of wages: unemployment tax, and any paid-leave or disability program funded through payroll, and who must carry workers’ comp. Federal Social Security, Medicare and unemployment tax apply in every state and are already in the calculator. Workers’ comp premiums depend on the class code and the insurer, so the card gives the rules, not a rate.

State unemployment tax (SUTA)

North Carolina Department of Commerce, Division of Employment Security (DES)

Wage base
$34,200 per employee a year
New-employer rate
1.00%
Construction
No separate rate published

Per tech, a year 1.00% × $34,200 = $342At the new-employer rate, for a plumber paid the state median ($27.44 × 2,080 h = $57,075). The calculator uses the rate alone.

State pages read

Workers’ compensation

North Carolina Industrial Commission

Who must carry it
3 employees or moreA private employer must carry workers’ compensation once three or more employees are regularly employed in the same business, or with even one employee who works with radiation (N.C.G.S. 97-2(1)). Corporate officers count toward the three, so a corporation with two officers and one employee must be covered. ncleg.gov · ic.nc.gov
Where to buy it
Private insurersCovered employers must insure with an authorized insurance company or employer mutual association, or be licensed by the Commissioner of Insurance as self-insured (N.C.G.S. 97-93); there is no state fund. ncleg.gov
Owners
Corporate executive officers are employees and are counted, but a corporation may exclude a specific officer by naming him or her as excluded in its insurance policy (N.C.G.S. 97-2(2)). Sole proprietors, partners and LLC members are not counted, but one who is actively engaged in the business may elect coverage by notifying the insurer. ncleg.gov · ic.nc.gov
Construction
A contractor or subcontractor who sublets work without first getting a certificate of workers’ comp coverage for the subcontractor is liable for benefits to the subcontractor’s injured employees, even if the subcontractor has fewer than three employees (N.C.G.S. 97-19). Getting the certificate before subletting removes that liability for the certificate’s term. ncleg.gov

Statute and agency pages read

Paid leave and disability insurance

We found no state paid family and medical leave or temporary disability insurance program funded through payroll in North Carolina on October 28, 2026. State paid sick leave rules, where they exist, are not covered here.

New-employer rates usually last one to three years — longer in some states (four years in Indiana, four to five in D.C.); then the state assigns your own rate, and your rate notice wins over any figure here. The calculator below uses the new-employer rate where one is clear. Where a state’s own pages could not be read, the card says so and gives the U.S. Labor Department’s figure.

What a shop in North Carolina needs to charge

The calculator’s example shop — three techs, $120,000 of overhead, a truck each, 10% net profit — with North Carolina’s median wage for each trade and its unemployment tax filled in. Your own numbers will differ; change them in the calculator below.

Example shopBreak-evenRate, 10% profit
Plumbingwage $27.44$105.83$117.59→ $120
HVACwage $27.53$106.02$117.80→ $120
Electricalwage $27.31$105.55$117.28→ $120

Per billable hour; → is the rate rounded up, as the calculator rounds it. Everything except the wage and the unemployment tax is the national example (BLS, IRS and DOL figures listed on the labor rate calculator).

Change the numbers for your shop

The labor rate calculator, opened on North Carolina: pick your trade, put in your own crew, pay and overhead, and the rate and break-even redraw as you type.

Your labor rate

Who does the billable work?

Example shop in North Carolina: 3 techs at the state’s median plumber wage, $120,000 overhead. Change any number or pick another state.

Charge at least Example shop · North Carolina

Charge at least $117.59 per billable hour; break-even $105.83.

Round up to $120 (+$2.41)

See it drawn to scale
Rate build-upDrawn to scale: every dollar the same height
Rate build-up for the example, drawn to scaleColumn from $0 to $117.59 per billable hour, drawn to scale: wage $46.91, taxes & benefits $12.31, overhead $32.87, truck $13.74, profit 10% $11.76. Break-even line at $105.83. Rounded up to $120.12345$0Labor$59.22Break-even$105.83Your rate$117.59Round up to$120
  1. Wage$57,075.20 ÷ 1,216.8 h$46.91
  2. Taxes & benefits26.24% of pay$12.31
  3. Overhead$120,000 ÷ 3,650.4 h$32.87
  4. Truck$16,719.14 ÷ 1,216.8 h$13.74
  5. Profit 10%of the price$11.76
Break-even
$105.83
Profit per hour
$11.76
Revenue a year
$429,242

$105.83 ÷ (1 − 10%) = $117.59rounded up to $120

Already showing the example.

Price your tasks at $120 an hourOpens the price book builder with this rate.

Billable hours
1,216.8per tech a year
Loaded wage
$34.64per paid hour
Labor
$59.22per billable hour
Overhead
$32.87per billable hour
Truck
$13.74per billable hour
Labor burden
26.24%over gross pay

What moves your rate

  • Every billable hour sold under $105.83 loses money.
  • At 70% billable instead of 65%, break-even drops to $98.27, $7.56 an hour less.
  • Cut $10,000 of overhead a year and break-even drops $2.74 an hour, to $103.09.
Show the math
  1. Worked hours2,080 h − 26 days × 8 h = 1,872 h
  2. Billable hours per tech1,872 h × 65% = 1,216.8 h
  3. Gross pay per tech$27.44 × 2,080 h = $57,075.20
  4. Employer taxes and comp$3,538.66 SS + $827.59 Medicare + $42.00 FUTA + $342.00 SUTA + $1,523.91 comp = $6,274.16
  5. Benefits$57,075.20 × 15.25% = $8,703.97
  6. Labor per billable hour$72,053.33 ÷ 1,216.8 h = $59.22
  7. Overhead per billable hour$120,000 ÷ (3 × 1,216.8 h) = $32.87
  8. Truck per billable hour$16,719.14 ÷ 1,216.8 h = $13.74
  9. Break-even$59.22 + $32.87 + $13.74 = $105.83
  10. Rate at 10% profit$105.83 ÷ (1 − 10%) = $117.59

Change the numbers

State and trade
Trade

Fills the wage and state unemployment tax (SUTA). Workers’ comp and everything else stay as they are.

Filled for North Carolina3 figures
Wage Plumbing
$27.44/hr
North Carolina median for plumbers · BLS OEWS May 2025
SUTA rate New employer
1.00%
New-employer rate; no separate construction rate found · DOL Significant Provisions, July 2026
SUTA wage base Per tech
$34,200
North Carolina · DOL Significant Provisions, July 2026

Your own rate notice wins. These are new-employer rates: after one to three years the state sets your own, and construction employers often pay a different rate.

North Carolina: pay, payroll taxes and licensesSee all 50 states and DC
Crew and pay

People who bill hours. Office staff go in overhead.

Average base pay. Filled: North Carolina median for plumbers, BLS OEWS May 2025.

Hours and time off2,080 h · 26 days off

40 hours × 52 weeks = 2,080.

Holidays, vacation and sick days, 8 h each. Example: 8 + 11 + 7 (BLS).

Optional. Paid at 1.5 × the wage. Leave 0 if none.

Billable time

Share of worked hours that ends up on invoices. Published figures run from 30% to 65%.

Billable hours1,216.8 hper tech · 3,650.4 h for the shop
Payroll taxes and benefits+26.24% of pay

Filled: North Carolina new-employer rate, DOL Significant Provisions, July 2026. Your notice wins.

Pay per tech the rate applies to. Filled: North Carolina, DOL Significant Provisions, July 2026.

Use the rate on your policy. Example: BLS construction average.

Health, retirement and other benefits. Example: BLS construction average.

Loaded wage$34.64per paid hour · burden 26.24%

Included automatically (IRS, tax year 2026): Social Security 6.2% of pay up to $184,500, Medicare 1.45%, federal unemployment (FUTA) 0.6% of the first $7,000.

Shop costs

An example figure. Everything except field pay and trucks — split it in the worksheet below.

Payments, fuel, insurance and upkeep. Enter 0 if trucks are already in overhead.

Profit

Profit as a share of the price, not a markup on cost.

Your rate: $117.59 per billable hour · break-even $105.83. Back to the result

Sales tax on your work

What North Carolina’s tax agency says about repair and installation labor on buildings and the parts and fixtures that go into them. This is what the agency’s pages say, not tax advice.

Labor
DependsServices to real property are generally taxable repair, maintenance and installation services; a capital improvement under a real property contract isn’t taxed.Installing or replacing a whole plumbing or electrical system, a heating or air conditioning unit, or an HVAC system is a capital improvement. Repairing, replacing or installing components, fixtures or water heaters outside new construction, reconstruction or remodeling generally is not.
Materials
Depends on the job or contractOn real property contracts the contractor is the consumer and pays tax on materials; for taxable repair or installation work, parts that become part of the property can be bought for resale.
Also
A real property contractor may not show tax on its invoice.

Read October 24, 2026 on the agency pages listed under Sources. All 50 states and DC side by side.

Licenses and state fees

The license a shop needs from the state to contract for each trade, the board that issues it and the fees on its own schedule. Cities and counties can add their own licenses, registrations and permit fees; exam vendors and fingerprinting may charge more.

Plumbing and HVAC

State license

North Carolina State Board of Examiners of Plumbing, Heating, and Fire Sprinkler Contractors

  • Plumbing Plumbing contractor license, Class I (all structures) or Class II (single-family detached dwellings)G.S. 87-21 applies to all persons, firms or corporations who engage in, or attempt to engage in, the business of plumbing, heating or fire sprinkler contracting; Class I covers all structures, Class II single-family detached dwellings.
  • HVAC Heating contractor license: Heating Group 1 or 3 (Class I or Class II) or Heating Group 2 (Class I only); Groups 2 and 3 cover air conditioning systemsG.S. 87-21 applies to anyone engaging in the business of heating contracting, including installation or replacement of condensing units, air handlers, gas furnaces and package units; licenses are issued by heating group.
FeeAmount
Examination application fee (non-refundable, per exam)per exam$150
Annual contractor license renewal(plumbing, heating/A/C or fuel piping)per year (expires Dec. 31)$150

After passing the exam you activate the license by sending the License Activation Form and fee within 45 days. State law sets the annual plumbing or heating license fee at no more than $150, and a person who passes the exam on or after Oct. 1 can license the rest of that year for half the usual fee (G.S. 87-22). Applicants who qualify through a license held in another state under the military and universal-licensure rules pay a $30 application fee plus the $150 annual license fee. Late renewal processing fee $25 after Jan. 31.

Keeping the license

Renewal
PlumbingPlumbing, heating and fire sprinkler contractor licenses expire on the last day of December every year and must be renewed in January to avoid a $25 late fee; failure to renew within three years requires re-examination (G.S. 87-22). ncleg.govHVACHeating contractor licenses (Heating Groups 1, 2 and 3) from the same board expire on the last day of December every year (G.S. 87-22). ncleg.gov
Continuing ed.
PlumbingThe State Board of Examiners of Plumbing, Heating, and Fire Sprinkler Contractors requires no continuing education to renew; the requirement ended December 31, 2012 and was replaced with disciplinary education. nclicensing.orgHVACNo continuing education is required to renew a heating license; the board eliminated the requirement on December 31, 2012. nclicensing.org
Reciprocity
Check with the boardThe official pages and rules we read on November 4, 2026 do not settle it.

Electrical

State license

NC State Board of Examiners of Electrical Contractors

Electrical contractor license: Limited, Intermediate or Unlimited classification (plus special restricted classes)

No person, partnership, firm or corporation shall engage, or offer to engage, in the business of electrical contracting in North Carolina without a license in the applicable classification from the Board (G.S. 87-43).

FeeAmount
Application & exam fee (all classifications)per exam$125
Unlimited license feeper year$200
Intermediate license fee (projects up to $150,000)per year$150
Limited license fee (projects up to $60,000)per year$100

Licenses expire one year after issuance (G.S. 87-44); renewal is at the same annual license fee; $25 administrative fee for late renewal. Exams are given through PSI.

Keeping the license

Renewal
Electrical contractor licenses expire one year after issue on staggered dates set by the State Board of Examiners of Electrical Contractors; renewal applications and fees are due 30 days before expiration, and an unrenewed license is automatically revoked (G.S. 87-44). ncleg.gov
Continuing ed.
The listed qualified individual on an Unlimited, Intermediate, Limited or single-family-dwelling electrical license needs 8 hours of approved continuing education each annual license period (at least half in person); special restricted licenses need 4 hours (G.S. 87-44.1 caps it at 10 hours a year). ncbeec.org
Reciprocity
The electrical board has formal reciprocal licensing agreements (no written exam) with the contractor licensing boards of Alabama, Florida, Georgia, Mississippi, Ohio, South Carolina, Tennessee, Texas, Virginia and West Virginia for the same or equivalent classification (G.S. 87-50). ncbeec.org

Beyond the trade license

Contractor registration, bond and insurance the state asks of a trade shop

Registration
A North Carolina general contractor license (State Licensing Board for General Contractors) is required for any building or improvement undertaking of $40,000 or more (G.S. 87-1). A licensed plumbing/heating (Article 2) or electrical (Article 4) contractor may bid and contract directly with the owner of a building project without that license only if a licensed general contractor performs all work in the general-contractor classifications, licensed trade contractors do the trade work, and each share stays within the boards’ percentage limits (G.S. 87-1.1). ncleg.gov
Bond
No surety bond is required for a North Carolina plumbing/heating or electrical contractor license; the license and renewal statutes (G.S. 87-21, 87-22, 87-43, 87-44) set fees, exams and qualified individuals but no bond. ncleg.gov
Insurance
No liability insurance minimum is required to get or renew a North Carolina plumbing/heating or electrical contractor license; the statutes and board FAQ read list no insurance requirement. ncleg.gov · nclicensing.org

Board and statute pages read

State or city license?

State license only Who licenses the trades in North Carolina

Plumbing, heating (HVAC) and electrical contractors are licensed statewide by state boards; no one may engage in electrical contracting anywhere in North Carolina without the state board’s license (G.S. 87-43). Local governments issue building permits and may not issue one for work that law requires a licensed specialty contractor to do unless a licensed contractor will perform it (G.S. 160D-1110). ncleg.gov

State and city pages read

What North Carolina law says about lien rights on private jobs — the notices, the deadline to file and the deadline to sue — and whether a statute sets payment deadlines or caps retainage. Read from the statute itself; it is not legal advice.

Mechanic’s lien

N.C.G.S. §§44A-7 to 44A-24Chapter 44A – Article 2. Statutory Liens on Real Property

You, hired by the owner
On jobs costing $40,000 or more (except work on an existing owner-occupied single-family home), the owner must designate a lien agent, and every potential lien claimant, including the prime contractor, must give the lien agent a Notice to Lien Agent within 15 days after first furnishing, or the lien can be lost to a later buyer or lender (G.S. 44A-11.1, 44A-11.2(l)). A custom home contractor that designates the lien agent for the owner is treated as having given notice. ncleg.gov
Subs and suppliers
Notice requiredSubs and suppliers give the same Notice to Lien Agent within 15 days after first furnishing on lien-agent jobs (G.S. 44A-11.2). Their lien on funds owed to the contractor above them is perfected only by serving a written Notice of Claim of Lien upon Funds on the obligor; until then payments down the chain can be made freely (G.S. 44A-18(f), (g), 44A-19). ncleg.gov
File the lien
120 daysFile the claim of lien with the clerk of superior court in the county no later than 120 days after your last furnishing of labor or materials at the site (G.S. 44A-12(b)); the same deadline applies to subs. ncleg.gov
Enforce it
180 daysFile the enforcement action no later than 180 days after your last furnishing of labor or materials at the site, measured from last furnishing, not from the lien filing (G.S. 44A-13(a)). ncleg.gov
Homes
No lien agent is required for improvements to an existing single-family home occupied by the owner or for an accessory building used with it (G.S. 44A-11.1(a)), and the subcontractor prompt-pay chapter (G.S. Chapter 22C) does not apply to residential contractors or residential projects of 12 or fewer units (G.S. 22C-6). ncleg.gov

Statutes read

Payment deadlines and retainage

Private jobs (public contracts have their own rules)

Prompt payment
Statute sets deadlinesOn private non-residential jobs, a contractor must pay each sub within 7 days after receiving each periodic or final payment, and later payments bear interest of 1% per month from the eighth day; pay-if-paid clauses are unenforceable (G.S. 22C-2, 22C-3, 22C-5). No North Carolina statute sets a deadline for a private owner to pay the prime contractor. ncleg.gov
Retainage
No statute caps what a private owner may retain; the only private-job rule is that a contractor may hold back from a sub no more than the initial percentage the owner retains (G.S. 22C-4), on non-residential projects covered by Chapter 22C. Retainage limits in G.S. 143-134.1 apply to public contracts only. ncleg.gov

Statutes read

Heating and cooling season in North Carolina

Degree days, NOAA’s index of the energy it takes to heat or cool a building: each degree a day’s mean temperature falls below 65 °F is one heating degree day, each degree above is one cooling degree day. Thirty-year normals for Charlotte airport, month by month.

Heating degree days
3,058
Cooling degree days
1,769
Nights ≤ 32 °F
58
Days ≥ 90 °F
49
Normal heating and cooling degree days (base 65 °F) and freezing nights by month at Charlotte airport, NOAA 1991–2020 normals
MonthHeatingCoolingNights ≤ 32 °F
Jan712017
Feb541212
Mar392106
Apr163471
May39165–
Jun2348–
Jul0468–
Aug0423–
Sep13244–
Oct152541
Nov41567
Dec631114

Charlotte airport has two working seasons: 3,058 heating and 1,769 cooling degree days a year, heating peaking in January and cooling in July.

The lightest months for heating and cooling together are May and October (204 and 205 degree days).

Nights at or below 32 °F: about 58 a year, ten or more a month in December through February. Days reaching 90 °F: about 49 a year, the most in July.

Weighted by where North Carolina’s people live, NOAA’s statewide normals (1981–2010) are 3,434 heating and 1,492 cooling degree days — 38th for heating and 12th for cooling among the 48 contiguous states (the contiguous U.S.: 4,332 and 1,272).

Station: Charlotte airport (USW00013881), NOAA NCEI U.S. Climate Normals 1991–2020 — station file; statewide figures: NOAA Climate Prediction Center. Bars share one scale: the longest is 712 degree days. Read .

Sources

Each page opened on the date shown. License, registration, lien and workers’ comp sources are linked beside each fact above. Figures change: the agency’s own page wins over this one.

  1. May 2025 State Occupational Employment and Wage Estimates (state file oesm25st)U.S. Bureau of Labor Statistics · read October 28, 2026
  2. Occupational Employment and Wages — May 2025 (news release USDL-26-0725, May 15, 2026)U.S. Bureau of Labor Statistics · read October 28, 2026
  3. Public Data API (national OEWS series for the three occupations)U.S. Bureau of Labor Statistics · read October 28, 2026
  4. Unemployment insurance tax rates (des.nc.gov)North Carolina Department of Commerce, Division of Employment Security (DES) · read October 28, 2026
  5. Significant Provisions of State Unemployment Insurance Laws, Effective July 2026U.S. Department of Labor, Office of Unemployment Insurance · read October 28, 2026
  6. Services to Real Property Taxability ChartNorth Carolina Department of Revenue · no date shown · read October 24, 2026
  7. Real Property ContractsNorth Carolina Department of Revenue · no date shown · read October 24, 2026
  8. Sales and Use Tax Bulletins (SUTB 72 and 75)North Carolina Department of Revenue · January 2026 · read October 24, 2026
  9. N.C.G.S. §§44A-7 to 44A-24 — Chapter 44A – Article 2. Statutory Liens on Real PropertyOfficial state code · read November 4, 2026
  10. Workers’ compensation coverage requirementsNorth Carolina Industrial Commission · read November 4, 2026
  11. U.S. Climate Normals 1991–2020, Charlotte airport (USW00013881)NOAA National Centers for Environmental Information · read November 4, 2026
  12. Population-weighted daily heating and cooling degree day normals, 1981–2010 (states and CONUS)NOAA National Weather Service, Climate Prediction Center · read November 4, 2026