Handyman Licenses in New Mexico – Everything you Need to Know

Before you offer professional handyman services in New Mexico, it’s smart to know what you can legally do. This will keep you safe from the law, allowing you to earn money confidently.

I’ve pored over pages of difficult-to-understand legal jargon, spoken to state inspectors, and compiled the most critical information. Here’s what I’ve found.

Do you need a license to offer handyman services in New Mexico?

Yes. To perform handyman work legally, a Handyman Certificate is required. In fact, New Mexico is one of the few states to offer a specific handyman certification. It allows handymen to take on work, earning up to $7,200 annually. While the designation will not allow you to take on projects that affect a building on the structural level, you’ll be able to perform:

• drywall repair
• painting
• broken doors and windows repair
• cabinets/shelving installation
• caulk/grout application
• flooring and tile installation
• decks, steps, and siding (except stucco) repair
• furniture assembly
• TV mounting
• and hundreds of other services.

Due to the certification’s dollar limit, it’s generally obtained by contractors seeking to take on handyman work as a side job. For those aiming to make handyman work their primary career (and increase their earnings above $7.2k), they’ll need to apply for their General Contractor’s license.

How to get a Handyman Certification in New Mexico

The application process for a Handyman Certificate is simple, consisting of:

• a brief application, notarized by a notary.
• certificate of registration from New Mexico’s Tax and Revenue Department.
• $15 application fee.

Handyman Certificates are issued by New Mexico’s Regulation and Licensing Department’s Construction Industries Division (CID). Once you have your certificate in hand, it must be presented to clients at the beginning of all projects. Certification must be renewed annually.

How to get a General Contractor’s License in New Mexico

There are several steps candidates must take before submitting a General Contractor (GC) application. They are:

1. Complete a signed field experience affidavit.
2. Have the signature notarized.
3. Enclose $36 fee.
4. Submit above by hand or mail to: PSI, 2820 Broadbent Pkwy, Suite E&F, Albuquerque, NM 87107.

If the submission is approved, the applicant will receive an approval notice, allowing for the next step: test-taking. In addition to a Business & Law exam (or course equivalent), candidates must sign up for a construction-related exam(s), which will be determined upon registration. Booking and paying for exams takes place here.

Once applicants receive a passing score, they can proceed to the next vital step: applying for their GC license. In a nutshell, candidates are expected to:

1. Confirm that the business name you’d like to use is available (not already in use by another individual/company).
2. Submit exam score reports and license bond (to determine proof of financial responsibility).
3. Complete, signed, notarized application.
4. Provide a copy of the tax registration certificate from the state’s Tax and Revenue Department.
5. Enclose $30 fee along with a 9×12 postage-paid envelope (to receive the license if issued). A few other nominal fees may apply and are outlined here.
6. Deliver by hand or mail to the same address as above: PSI, 2820 Broadbent Pkwy, Suite E&F, Albuquerque, NM 87107

GC licenses in New Mexico are valid for three years, after which they must be renewed.

Limitations for Unlicensed Handymen

I was fortunate to connect directly with the licensing manager when I contacted the CID. She explained that there is no legal pathway for handymen to perform even simple plumbing, electrical, and mechanical tasks (i.e., swapping out light fixtures, toilets, or sinks). At a minimum, they’d need a journeyman license.

In general, specialized licenses are required for all electrical, plumbing, and mechanical work.

While many states allow handymen to replace old ceiling fans, lights, and plumbing fixtures, New Mexico isn’t one of them.

Advertising Restrictions

Handymen holding a Handyman Certificate in New Mexico are prohibited from advertising. This is the first time I’ve come across such a restriction. It likely has to do with the state’s perception of handyman certification as being of a low-key nature, allowing for only “minor and casual” work. Limiting advertising works toward that end.

For those with a GC license, caution should still be exercised in advertising. Like in most states, contractors in New Mexico must be cautious not to “oversell” themselves in their advertisements or on their websites, proposals, and invoices. Stick with the occupation listed on your license, and avoid using language that can be misleading.

GCs should also ensure that they include their license number in all business communications. It’ll help establish credibility with prospective customers and reassure enforcers.

Insurance Requirements

Worker’s Compensation coverage is generally required for contractors in New Mexico. With that said, there are exceptions for sole proprietors (those who work alone without employees).  The best way to confirm your Worker’s Comp obligation is to contact the state’s Worker’s Compensation Administration online or by phone at (505) 841.6000.

While handymen in the state aren’t mandated to carry liability insurance, it’s a wise choice. Just one serious claim can bankrupt your business and personal finances.

Insurance is low-cost if you get it here.

Penalties for Contracting Illegally in New Mexico

Handymen who engage in work without the proper licensing face real consequences.

Unlicensed work valued at less than $5,000 subjects the violator to 90 days in jail and a $500 fine. Exceeding that threshold can result in six months of incarceration and a fine equivalent to 10% of the project value. Either way, the work will be stopped and the perpetrator will be unable to apply for licensing for a whole year from the date of conviction.

Be smart—work within the parameters New Mexico has laid out for handymen, and tread the gray areas carefully. The penalties aren’t worth it.

Conclusion

New Mexico offers a wealth of opportunities for handymen seeking to obtain a license.

For those interested in starting a side hustle as a handyman, the steps are simple and few. Applying for a Handyman Certificate is one of the easiest processes I’ve come across, although it won’t allow you to run a real business.

And for those handymen who don’t want their aspirations capped, high-yield work is available once they go through the exercise of obtaining their General Contractor license.

Do you offer handyman services in New Mexico?

If so, I’d love to hear about your experience. Please leave a comment below to share any insights I may have missed.