Getting a North Carolina contractor license costs more than the application fee. Between the exam, the license itself, the reference library, continuing education, and any bonding, the real first-year cost is a number you should budget before you start. This post breaks down every known cost using the figures in the statutes and the PSI bulletin (revised 2025-11-19).
The exam: $79
The PSI Building Contractor Examination fee is $79 per exam, for a first attempt or a retake, nonrefundable and nontransferable. The exam has 90 questions, a 70 percent passing standard (63 correct), and a 200-minute time limit. Full details are in our exam format overview.
The statute caps the examination fee at $100, so the $79 figure is set by the bulletin and could move within the cap. Confirm the current fee before you pay.
The license: $75, $100, or $125
License fees are capped by statute (G.S. 87-10(a1)) and the Board charges the full cap, by tier:
- Limited: $75
- Intermediate: $100
- Unlimited: $125
All fees are nonrefundable. Moving up costs $100 to step up to Intermediate and $125 to step up to Unlimited. Choose the tier that matches the project sizes you will actually bid: Limited covers single projects up to $750,000, Intermediate up to $1,500,000, and Unlimited has no cap, all excluding land cost. Our guide to the license classifications and tiers has the full breakdown.
The reference library
This is the easy-to-forget cost. The Building exam is open book with 18 allowed references: the NASCLA Contractor's Guide, North Carolina General Contractors Edition, 10th Edition; the 2018 NC State Building Code; ACI 318 and ACI 530; the carpentry, masonry, concrete, roofing, steel-deck, excavation, post-tensioning, and OSHA texts; and the NCLBGC Laws and Regulations booklet. Prices vary by publisher and by new versus used, and you must match the exact editions the bulletin lists (code questions are tested from the listed editions only), so budget a real line item here. Buying a cheaper wrong-edition code book is wasted money: the tables will not match the exam questions.
Continuing education: 8 hours a year
If you hold a building, residential, or unclassified classification, at least one qualifier must complete 8 hours of continuing education annually (2 hours mandatory, 6 elective). Highway and public utilities classifications are exempt. Course fees vary by provider, but live instruction must come from a Board-approved instructor; Internet-based e-learning is expressly permitted, which is usually the cheapest path. Up to 4 elective hours carry forward to the next year. Budget this as a recurring annual cost, because skipping CE invalidates the entity's license.
The financial showing: capital or a bond
The tier you choose carries a working-capital requirement: $17,000 for Limited, $75,000 for Intermediate, and $150,000 for Unlimited (shown by CPA agreed-upon procedures report or audited statement for the two upper tiers). That is not a fee; it is a qualification, but it is money you must have on the balance sheet.
The alternative is the in-lieu surety bond: $175,000 Limited, $500,000 Intermediate, $1,000,000 Unlimited, with a surety authorized in North Carolina carrying an A.M. Best rating of A++, A+, A, or A-. The bond must be maintained as long as the license is held. The bond itself has a premium you pay the surety, and premiums vary, so get quotes rather than budgeting a fixed figure.
Penalties and late fees that add up
Small costs become big ones if you miss deadlines:
- Late renewal: $10 for each month or part of a month after January. A March 5 renewal costs $20.
- Lapsed too long: a license invalid for 4 years is archived, the number retired, and you meet all new-applicant requirements (which means paying everything again).
- Discipline: the Board cannot levy per-violation civil fines, but it can recover reasonable investigation and prosecution costs up to $5,000 from a licensee found guilty of misconduct. Unlicensed contracting is a Class 2 misdemeanor, which is a far more expensive path than getting licensed.
Also mind the cancel rule: cancel your exam appointment at least 2 days ahead or you forfeit the $79 fee.
What a realistic budget looks like
Using only the fixed figures, the bare-minimum cash path for a first-time Limited applicant is the $79 exam fee plus the $75 license fee, or $154 in direct Board and PSI fees. In practice, add the reference library, the CE course, and either balance-sheet capital or a surety bond premium, plus the time cost of studying and tabbing your books. Retakes cost another $79 each, though you may retake without limit within 12 months while your application stays valid.
This is an independent study aid, not affiliated with the North Carolina Licensing Board for General Contractors, PSI, or NASCLA. Fees change; verify the current amounts in the PSI bulletin and Board fee schedule before you budget.
Try the free practice quiz
Want to see where you stand right now? Take the free 12-question North Carolina Building Contractor practice quiz. You will get your score with explanations for every answer, so you can see exactly which topics need work. Start the free quiz