An active California contractor license runs for two years and must be renewed before it expires. An inactive license renews every four years. If you renew late, you pay a delinquency fee equal to 50% of the renewal fee. Within 90 days of expiration, a complete late renewal is granted retroactively. After 90 days, you are unlicensed until the renewal is filed. After five years, you must apply for a new license.
Below are the renewal rules in the Business and Professions Code (BPC), each linked to its source: the statute text or a CSLB guide. The sources were checked October 25–28, 2026. The Law and Business exam lists "Licensing requirements" under section 1, Business Organization and Licensing, which CSLB weights at about 13% (CSLB Law and Business Study Guide).
How long a license lasts
A license expires two years from the last day of the month in which it was issued (BPC 7140). CSLB's guide gives an example: a license issued on January 15, 2022 expires on January 31, 2024 (CSLB, Get Licensed to Build, p. 29).
After that first period:
- Active licenses renew for two years at a time (BPC 7140).
- Inactive licenses are valid for four years from their due date (BPC 7076.5(c)). CSLB's guide says the same (Get Licensed to Build, p. 29).
The renewal date stays on the same cycle. A timely renewal keeps the license in effect for the two years after the old expiration date (BPC 7140). A late renewal also runs only to the next date set by section 7140, not two years from the day you file (BPC 7141(c)).
Renew before the expiration date
To renew an unexpired license, you must apply on the registrar's form and pay the renewal fee before the license would expire (BPC 7140).
Other conditions apply at renewal:
- Bond. A $25,000 contractor's bond must be on file for renewal of a license (BPC 7071.6(a)).
- Qualifier statement. The current qualifying individual files a statement verifying their role (BPC 7068(f)).
- Workers' compensation. An active licensee with an exemption on file must recertify it on the renewal form, or file a certificate of insurance or self-insurance. Otherwise the license is not renewed (BPC 7125.5). An active licensee with a policy on file must list the three workers' comp classification codes with the highest estimated payroll on the policy (BPC 7125.6(a)).
- Unpaid amounts. A license is not renewed without payment of any investigation fees owed under section 7019 (BPC 7137(a)(6)(B)(iii)). A license also may not be renewed while a judgment or admitted claim larger than the bond is unpaid (BPC 7071.11(b)).
Renewal and late fees
The renewal fees are set in BPC 7137(a)(4). The board may raise each fee by regulation, up to a cap in the same section. The delinquency fee is 50% of the renewal fee when a license is renewed after it expires (BPC 7137(a)(5)).
The late columns below apply that 50% to the statute's base fee. "Entity" means a partnership, corporation, limited liability company or joint venture.
| License type | Renewal fee (statute) | Cap the board may raise it to | Delinquency fee (50%) | Total if renewed late |
|---|---|---|---|---|
| Active, sole owner | $450 | $563 | $225 | $675 |
| Active, entity | $700 | $875 | $350 | $1,050 |
| Inactive, sole owner | $300 | $375 | $150 | $450 |
| Inactive, entity | $500 | $625 | $250 | $750 |
C-10 (electrical) contractors pay an extra $20 with the active renewal fee (BPC 7137(a)(6)(A)).
What the statute doesn't settle: the statute does not say whether the board has raised any fee above the base amount. CSLB's own guide says fees are subject to change, that current fees are printed on the forms and notices CSLB sends, and that you can check them at www.cslb.ca.gov (search: fees) (Get Licensed to Build, p. 31). Check the amount on your renewal notice before you pay. For the exam, the rule to know is the 50% delinquency fee.
What happens after the license expires
The deadlines run from the expiration date.
| When the complete renewal is filed | Result | Late fee? | Source |
|---|---|---|---|
| Before expiration | Timely renewal; an active license runs two more years | No | BPC 7140 |
| On time but incomplete, corrected within 30 days after expiration | No delinquency fee, but the license shows as expired until the corrected application is submitted | No | BPC 7141(b) |
| Within 90 days after expiration | The registrar must grant a retroactive renewal | Yes | BPC 7141.5 |
| After 90 days, up to 5 years | Renewal starts on the filing date; you were unlicensed in between | Yes | BPC 7141(a) |
| More than 5 years | No renewal; apply for a new license | Not applicable | BPC 7141(d) |
The 30-day grace period
If you sent a renewal on or before the expiration date and it was incomplete, CSLB returns it with the reasons. The delinquency fee applies only if a corrected, acceptable application is not returned within 30 days after the expiration date. The grace period covers only the fee; the license still shows as expired until then (BPC 7141(b)).
The 90-day retroactive renewal
The registrar shall grant a retroactive renewal if, within 90 days of expiration, an otherwise eligible licensee submits a completed renewal application and pays both the renewal fee and the delinquency fee. The application counts as submitted if it is delivered to CSLB headquarters or postmarked within the 90 days (BPC 7141.5).
From 90 days to five years
An expired license may be renewed at any time within five years after it expires. The renewal takes effect on the date an acceptable application is filed. You are considered unlicensed between the expiration date and that date, and there is a break in your licensing time. You also pay the delinquency fee (BPC 7141(a)).
After five years
If a license is not renewed within five years, you must apply for a license again under section 7066 (BPC 7141(d)).
Working on an expired, inactive or suspended license
- Expired. Acting as a contractor under an expired license that can still be renewed under section 7141 is a cause for disciplinary action (BPC 7117.5(c)).
- Inactive. The holder may not practice as a contractor until the license is reactivated (BPC 7076.5(a)). Contracting under an inactive license is a cause for discipline (BPC 7117.5(a)).
- Suspended. A suspended license still expires and must be renewed. Renewal does not let you work while the suspension lasts (BPC 7143).
- Revoked. A revoked license is treated as expired on the revocation date and cannot be renewed. To get it back you must pay all fees and meet every requirement for an original license (BPC 7144).
A gap also costs money. A contractor cannot sue to collect pay for licensed work without showing they were duly licensed at all times during the work (BPC 7031(a)). A court may find "substantial compliance" only for someone who was licensed before, acted reasonably and in good faith to keep the license, and fixed the problem promptly once they learned of it (BPC 7031(e)).
Penalties for working unlicensed
From July 1, 2026, a citation for acting as a contractor without a license in good standing carries a civil penalty of $1,500 to $15,000 (BPC 7028.7(c)). Unlicensed contracting is also a misdemeanor. A first conviction can bring a fine up to $5,000, up to six months in county jail, or both (BPC 7028).
Inactive licenses and reactivation
You can make a license inactive by filing CSLB's form with your current active license certificate. While it is inactive, the contractor's bond, qualifier and workers' comp requirements named in that section do not apply (BPC 7076.5(a), (d)). You still renew it on each renewal date by paying the inactive renewal fee (BPC 7076.5(f)).
To reactivate, you file an acceptable application, pay the full renewal fee for an active license, and meet all other requirements. No exam is required (BPC 7076.5(g)). Inactive status does not stop CSLB from disciplining you (BPC 7076.5(h)).
When you cannot just renew
- No transfers. A license cannot be transferred to any other person or entity (BPC 7075.1(a)).
- Business changes. A corporation or LLC license is canceled when the company dissolves, merges or surrenders its right to do business in California. A partnership license is canceled when a general partner leaves or the partnership dissolves. CSLB must be told in writing within 90 days (BPC 7076).
Exam traps to watch
- 30 days vs 90 days. The 30-day grace period only waives the late fee for an on-time but incomplete renewal. The 90-day rule gives a retroactive renewal, but you still pay the late fee.
- Renew vs reactivate. Expired and inactive licenses are both renewed. An inactive license renews every four years at the inactive fee. To make it active again, you reactivate it at the full active renewal fee, with no exam (BPC 7076.5(c), (f), (g)).
- Five years. After five years expired, the answer is a new license application, not a late renewal.
- Same cycle. A late renewal does not reset the two-year clock to the filing date.
- Late fee. The delinquency fee is half the renewal fee, not the whole fee again.