General Contractor Cost by State (2026)

General contractor fees run 10 to 25 percent of total project cost in most residential markets, but the dollar total behind that percentage swings sharply by state. A 15 percent GC fee on a $60,000 kitchen remodel in Georgia looks very different from the same percentage on a $95,000 kitchen remodel in Massachusetts -- because the underlying trade labor costs that make up those totals are themselves driven by local wage markets. Understanding how state labor markets shape what a GC project actually costs is the work that turns a national average into a useful planning number. This guide breaks down general contractor cost by state using real BLS OEWS median wage data sourced from O*NET, so you can calibrate your budget before soliciting bids.

How GC Fees Work: Percentage on Top of Trade Costs

A general contractor does not do the plumbing, electrical, or framing on most residential projects. They coordinate the licensed subcontractors who do. Their fee -- typically 10 to 20 percent of total project cost -- is a markup on the sum of those subcontractor costs plus materials and permits.

That structure means state labor markets flow directly into your project total through two channels:

Channel 1 -- Subcontractor costs. If electricians, plumbers, and carpenters in your state earn 20 percent more than the national average, your bid will reflect that before the GC adds their fee. The underlying trade costs are higher.

Channel 2 -- GC overhead. The GC's own overhead -- project management labor, vehicles, insurance, office staff -- also tracks local labor markets. A construction manager in Massachusetts earning above $140,000 annually costs more to employ than one in Arkansas earning around $87,000. That overhead is built into the GC's fee structure.

The net result: the same 15 percent fee on equivalent work produces a materially different dollar outcome depending on where the project sits.

General Contractor Cost by State: BLS OEWS Wage Table

The table below uses Bureau of Labor Statistics Occupational Employment and Wage Statistics (OEWS) data for SOC code 11-9021 (Construction Managers), sourced from O*NET OnLine (onetonline.org), 2025 release based on May 2024 survey. Figures are state medians -- the wage at which half of workers in that state earn more and half earn less.

The national median annual wage for Construction Managers (SOC 11-9021) is $106,980. The national mean is $119,660 (BLS OEWS, May 2024) -- means are pulled upward by high earners in dense metro markets, so the median is the more representative figure for planning. All tier comparisons below are against the $106,980 national median.

Source: ONET OnLine (onetonline.org/link/localwages/11-9021.00), 2025 data release based on BLS OEWS May 2024 survey, SOC 11-9021 (Construction Managers). All figures are state median annual wages. National median: $106,980; national mean: $119,660 (means are pulled up by high earners in dense metros). Colorado had no data available in ONET for this occupation. State medians reflect the labor-cost signal behind what GCs pay themselves and their management staff -- not a direct quote of consumer project cost.

From BLS Wage to Consumer Project Cost: How the Math Works

The BLS wage is one input, not the output. Here is how it connects to the number on your bid:

Step 1: Subcontractor labor costs. Plumbers, electricians, framers, and tile setters in your state all earn wages that track your local market. A state where construction manager wages are 20 percent above the national median typically has plumber and electrician wages in a similar ratio. Those trade costs form the bulk of your project cost before the GC fee is applied.

Step 2: Materials. Materials are largely commodity-priced nationally, but transportation, local code requirements, and tariff pass-throughs create regional variation of roughly 5 to 15 percent.

Step 3: GC percentage fee. The GC applies their percentage -- typically 10 to 20 percent -- to the sum of subcontractor labor, materials, and permits. In high-wage states, that base is higher, so the percentage produces a larger absolute dollar amount.

Step 4: What you actually pay. For typical residential remodel projects, cost data from HomeGuide and Angi surveys indicate these rough ranges by tier:

• High-wage states (Massachusetts, Pacific Northwest, Northeast): Kitchen remodels $70,000 to $130,000; bathroom remodels $25,000 to $60,000; home additions $200 to $450 per square foot
• Above-average states (Mid-Atlantic, upper Midwest): Kitchen remodels $55,000 to $100,000; bathroom remodels $20,000 to $45,000; home additions $175 to $380 per square foot
• Near-average states (Midwest, Southeast Atlantic): Kitchen remodels $40,000 to $80,000; bathroom remodels $15,000 to $35,000; home additions $130 to $300 per square foot
• Below-average and low-wage states (South, Plains, Mountain): Kitchen remodels $30,000 to $65,000; bathroom remodels $10,000 to $28,000; home additions $100 to $230 per square foot

These ranges are approximate and drawn from HomeGuide and Angi cost data. Individual projects vary significantly based on scope, finishes, structural complexity, and permit requirements. For a more detailed breakdown of what goes into a project bid, see our guide to what does a general contractor cost.

Why the Same GC Fee Percentage Costs More in Some States

The percentage structure feels consistent -- 15 percent is 15 percent. But the variable underneath it is not.

Labor supply and demand. States with strong construction activity relative to their licensed workforce push wages and bids higher. California and Massachusetts have both high wages and persistent demand; that double pressure shows in their positions at the top of the wage table.

Union density and licensing requirements. States with mandatory apprenticeship programs and strong union halls -- New Jersey, Illinois, Massachusetts, parts of New York -- have higher wage floors. Union journeymen in these states earn substantially more than their non-union counterparts elsewhere, and the GC's subcontractor costs reflect that.

Cost of living as a floor. A GC cannot hire and retain good project managers in Hawaii or Manhattan at Arkansas wages. Local cost of living sets a wage floor that flows into every bid. This is the mechanism behind most of the state-level variation captured in the BLS data.

Regulatory overhead. States with longer permit timelines, more complex inspection cycles, or stricter code requirements add non-labor costs that the GC builds into their fee. California's Title 24 energy compliance, for example, adds engineering and verification costs that states without equivalent energy codes do not carry.

How to Use State Wage Data When Getting Bids

The BLS wage table is most useful as a calibration tool, not a calculator. Here is a practical sequence:

Step 1 -- Find your state's wage tier. Use the table above to identify whether your state is high, above-average, near-average, or below-average relative to the $106,980 national median. That tells you which regional range to use as a starting benchmark.

Step 2 -- Get a minimum of three written bids. The state tier tells you the market average. Individual GCs vary within that market based on how busy they are, their crew size, and their relationship with subcontractors. Three bids in your area will tell you more about your specific market than any national data point.

Step 3 -- Ask for itemized line items. A well-structured bid separates subcontractor costs, materials, permit fees, and the GC's overhead and profit as distinct line items. This lets you see where costs are concentrated and identify which categories might be negotiable. For detailed guidance on reading a contractor bid, see how to get accurate contractor quotes.

Step 4 -- Watch the markup on subcontractor costs. In addition to their overall project fee, GCs often mark up individual subcontractor invoices. Understanding what the contractor markup structure looks like helps you evaluate whether a bid that looks competitive on fee percentage is actually competitive in total. See average contractor markup for a full breakdown.

States Where GC Costs Are Most Likely to Surprise Homeowners

A few states deserve specific mention because the gap between homeowner expectations and actual bids is consistently wide:

Massachusetts. The O*NET state median of $147,750 is the highest in the country for this occupation -- 38 percent above the national median. Strong union density, Boston metro demand, and a high cost-of-living floor combine to push project totals well above national averages. A kitchen remodel priced at $50,000 in Missouri can run $90,000 to $110,000 here before the GC adds their fee.

Washington and New York. Both states post state medians above $135,000. Washington reflects tech-sector residential demand and Seattle metro wages; New York is pulled down by upstate markets so the statewide median understates what NYC projects actually cost. Union labor requirements for many project types and permitting complexity push NYC bids significantly higher than the state median implies.

California. A state median of $129,000 combined with high trade wages, lengthy permitting timelines, and Title 24 energy compliance requirements push project totals well above national averages. A bathroom remodel that runs $18,000 in Ohio may run $35,000 or more in the Bay Area.

Hawaii. Despite the national narrative around Hawaii being the most expensive state for construction, the O*NET state median of $122,910 is 15 percent above the national median -- high but not the top. What drives Hawaii costs above even that signal is logistics: island shipping for materials adds a premium that wages alone do not capture. Budget at least 30 to 40 percent above mainland national averages for comparable work.

Florida (Miami-Dade specifically). The statewide median for Florida is $103,320 -- near the national average -- but Miami-Dade carries Hurricane Code (High Velocity Hurricane Zone) requirements that add envelope costs of $40,000 or more to pre-1994 residential structures. A statewide near-average wage does not capture that regulatory overhead.

For a detailed look at what changes when you hire without proper licensing verification, see licensed vs unlicensed contractor, and for the full picture of how remodeling costs add up beyond the GC fee, see hidden costs of remodeling.