In NSW, a contractor licence is required to carry out, advertise or contract for residential building work valued at more than $5,000 in labour and materials, including GST, according to the NSW Government. Queensland building work over $3,300 generally requires a QBCC licence according to the Queensland Building and Construction Commission, while Victoria requires a registered builder for domestic building work over $10,000; that amount includes labour, building materials and GST and should cover the total project value, according to the Building and Plumbing Commission.
The regulator and government pages used here were checked 1 October 2026.
General information only: This is not legal or financial advice. Check the relevant regulator page before treating a job as below threshold, and check the applicable policy’s Product Disclosure Statement (PDS) for insurance requirements.
What counts towards each threshold?
| State | General monetary rule | What counts towards the amount |
|---|---|---|
| NSW | A contractor licence is required to carry out, advertise or contract for residential building work, including general trade work, valued at more than $5,000. | Labour and materials, including GST. |
| Queensland | A QBCC licence is generally required to carry out or contract for building work over $3,300. | The cited QBCC rule uses the term “value” but does not specify whether labour, materials or GST are included. Check the QBCC for the valuation basis. |
| Victoria | A registered builder is required for domestic building work worth more than $10,000. | Labour, building materials and GST. The BPC says the amount should cover the total project value. |
These are not interchangeable tests. The NSW and Queensland rules address carrying out or contracting for work under a licence, while the Victorian guidance is framed around engaging a registered builder for domestic building work. The work category and the relevant class or registration category still need to be checked.
When does a low price still not remove the licensing requirement?
- NSW specialist work: A licence or certificate is required regardless of cost and whether the work is residential, commercial or industrial. Specialist work includes air conditioning and refrigeration, electrical work, disconnection and reconnection of fixed electrical equipment, medical gas and mechanical services, and plumbing, draining and gasfitting. The rule also covers associated electrical wiring that would otherwise be done by an electrician.
- Queensland work of any value: A QBCC licence applies where the work involves drainage, plumbing and drainage, gas fitting, chemical termite management, fire protection, completed residential building inspection, building design in the low-rise, medium-rise and open-site classifications, or mechanical services.
- Queensland Hydraulic Services Design: A QBCC licence is required for this work when its value is over $1,100. This is a separate value-based threshold, rather than an any-value category.
- Victoria: The cited BPC guidance does not identify a universal work category that requires authorisation regardless of value. Instead, each registration category and class has requirements covering when registration is needed and the work a practitioner may lawfully undertake.
NSW’s monetary threshold is not confined to major construction. Other residential building work includes prefabricated metal-framed home additions and structures, kitchen, bathroom and laundry renovation, structural landscaping, and swimming pool building. Residential trade work includes bricklaying, carpentry, decorating, excavating, fencing, general concreting, glazing, painting, roof plumbing, roof slating, roof tiling, waterproofing and minor maintenance and cleaning.
Low value can also interact with exemptions. QBCC identifies exemptions in Schedule 1 of the QBCC Regulation and situation-specific exemptions in Schedule 1A of the QBCC Act. Those exemptions must be considered with the work and contracting arrangements; an exemption is different from work that always requires a licence.
How do I check that the authority covers the work?
- NSW: The NSW Government says a general builder can perform any work that is residential building work. Specialist work remains subject to its separate licence-or-certificate rule. Service NSW also says an individual contractor licence number must be displayed on all advertising, stationery and signage.
- Queensland: Your QBCC licence class must match the scope of work and your role and responsibilities. QBCC says more than one licence class may be needed to cover the full scope.
- Victoria: The BPC says all registered building practitioners except companies are issued with a Photo ID card. The card lists the registration category for the work they are eligible to complete, so check it before engaging someone. The BPC disciplinary register can also be searched; a listing does not automatically mean a practitioner or company should not be used, but it is relevant information to consider.
Why do insurers ask about licences?
Insurers may ask because licensing provides information that can be relevant to risk assessment: who is carrying out or contracting for the work, whether their authority matches the stated scope, and which regulatory category applies. A licence is not itself an insurance policy and does not establish that cover is in force.
The evidence requested and how it is used will depend on the insurer’s process and PDS. Keep the licensing check separate from the insurance check, including any policy exclusions and claims requirements.
Victoria provides a clear example of that separation. The BPC states that work valued over $10,000 and carried out by an unregistered builder or tradesperson is not covered by domestic building insurance. That statement concerns domestic building insurance and should not be treated as a rule for a separate tradie policy.
What should I check before quoting or accepting a job?
- Identify the exact work category and location before applying a monetary threshold.
- Use the regulator’s stated value basis: labour and materials including GST in NSW, and labour, building materials and GST across the total project in Victoria.
- Check whether the work is covered by a specialist or any-value rule.
- Confirm that the licence class or registration category matches the full scope.
- Check whether a specific exemption applies, particularly in Queensland.
- In NSW, check the requirements before advertising or contracting for the work.
- Read the policy’s PDS separately and confirm insurance cover directly.
Sources
- NSW Government — Categories and classes of building and trade work
- Service NSW — Apply for an individual contractor licence
- Queensland Building and Construction Commission — When you need a licence
- Building and Plumbing Commission — Engaging a builder
FAQ
Where exactly do the general thresholds start?
The ordinary rules are more than $5,000 in NSW, over $3,300 in Queensland and more than $10,000 in Victoria. The exact threshold amount does not exceed those general monetary limits by itself, but work-category rules still apply.
Does being below the amount always mean no licence?
No. The value test and the work-category test are separate. NSW specialist work, Queensland work listed as requiring a licence at any value, and relevant class or category requirements may still call for authority even when the price is low.
Does a Queensland handyman need a QBCC licence?
QBCC’s handyman example applies where the work is valued at no more than $3,300, is not electrical or plumbing work, and does not require an occupational licence. If the work falls outside those conditions, check the QBCC before carrying it out or contracting for it.
Does one licence cover every type of work?
Not necessarily. NSW specialist work has its own licence-or-certificate requirements. QBCC says a licence must match the scope and role, and more than one class may be required. In Victoria, check the registration category shown on the practitioner’s Photo ID.
Does a licence prove I have insurance?
No. Licensing and insurance are separate checks. Confirm cover, exclusions and claims requirements under the applicable policy and its PDS.
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