When it comes to residential general contractors, salary is a topic of great interest. Not only do potential contractors want to know what kind of income they can expect, but homeowners may also be curious about how much they should expect to pay for a general contractor`s services. In this article, we`ll explore the average salary for residential general contractors and what factors can impact their compensation.
According to data from the U.S. Bureau of Labor Statistics (BLS), the median annual salary for construction managers, which includes general contractors, was $97,180 as of May 2020. However, salaries can vary widely depending on the location and type of work performed. For example, general contractors working in cities with higher costs of living may command higher salaries than those in more rural areas. Similarly, general contractors who specialize in high-end residential work may earn more than those who primarily work on low-budget remodels.
Education and experience also play a role in determining a general contractor`s salary. While a bachelor`s degree is not always required for this role, many general contractors have a degree in construction management, engineering, or a related field. Additionally, experience in the construction industry can increase salary potential. General contractors who have been in the business for many years and have a proven track record of successful projects may command higher salaries than those just starting out.
Another factor that can impact a general contractor`s salary is the size and scope of their business. Some general contractors work independently, while others have larger firms with multiple employees. Those with more extensive businesses may earn more due to increased revenue and more significant projects.
Lastly, it`s important to note that residential general contractors often work on a project-by-project basis and may bid on jobs against other contractors. This means that the amount a general contractor earns in a given year can fluctuate depending on the number and types of projects they are able to secure.
Overall, the average salary for residential general contractors is $97,180, but this number can vary based on location, education and experience, business size, and project availability. If you`re considering becoming a general contractor, it`s essential to research the job market and your potential earning potential before making a career change.