How much deposit can a contractor ask for?

It depends on the state. California caps it at $1,000 or 10%, whichever is less. Maryland caps it at one-third. Texas has no statewide percentage cap.

Is a 50% deposit legal?

Usually not in the seven cap states, on a contract the cap covers. Massachusetts allows more for special-order materials, and Maine’s cap can be waived in writing. In the 12 no-cap states it is not unlawful by itself, but escrow or start-work rules may apply.

Why is my state missing?

The checker covers only the 19 states we read at the statute. We do not infer a rule for the rest. Ask your attorney general or licensing board.

What if the contractor asks for more than the cap?

Ask for a schedule within the cap, in writing. In some states the excess is a violation; the research page lists the penalties.

HyreRemodel tools

Contractor deposit limit checker

Pick your state, then enter the contract price and the deposit you have been asked for.

A contractor deposit limit checker compares the deposit you were asked for with your state’s statutory cap. In California and Nevada the cap is $1,000 or 10% of the contract, whichever is less, so a $40,000 kitchen allows $1,000.

Maryland, Pennsylvania, Massachusetts and Maine cap it at one-third, and Ohio at 10% over $25,000. The other 12 states we read set no statewide cap.

Check your deposit

Rules as read at each statute. Nothing is stored or emailed.

— Statutory cap

— Your deposit

— Statute

What this assumed —

Not legal advice. Cities can add stricter rules.

The seven states with a deposit cap

A contractor deposit cap is a statewide ceiling on the first payment. Seven of the 19 states we read have one.

State	Statute	Scope
California	Cal. Bus. & Prof. Code §7159.5(a)(3)	Home-improvement contracts, including residential solar, ADUs and disaster rebuilds.
Nevada	NRS 624.970; NRS 624.875	Owner-occupied single-family home. Does not apply if the contractor has filed a $100,000 consumer-protection bond or has bond relief under NRS 624.270(5).
Maryland	Md. Code, Bus. Reg. §8-617	No payment at all before the contract is signed. House Bill 1499 (2026) would raise the cap to one-half if enacted; on our retrieval date the statute said one-third.
Pennsylvania	73 P.S. §517.9(10)	One-third plus special-order materials named in the written contract. No cap on contracts of $5,000 or less.
Massachusetts	M.G.L. c.142A §2(a)(6)	Owner-occupied one-to-four-family homes, contracts over $1,000.
Maine	10 M.R.S. §1487(5)	Home-construction contracts over $3,000. The parties can waive it in writing after the contractor explains the right.
Ohio	Ohio Rev. Code §4722.04	Home-construction-service contracts over $25,000 on a one-, two- or three-family home. Up to 75% of a non-returnable special-order item is allowed. Cost-plus contracts are exempt.

Read at the statute or the regulator’s restatement, retrieved September 5, 2026. Full detail on the research page.

Twelve states with no statewide cap

No cap does not mean no rule. Escrow, trust-fund and start-work rules do the job instead.

State	Statute	What applies instead
New York	N.Y. Gen. Bus. Law Art. 36-A; Lien Law §71-a(4)	No percentage ceiling. Advance payments must be escrowed or bonded. NYC and several counties license contractors themselves.
Florida	Fla. Stat. §489.126	No percentage ceiling. A first payment above 10% starts a permit-and-start-work clock.
Texas	Tex. Prop. Code ch. 162; DTPA	No statewide percentage ceiling. Construction payments are trust funds under Property Code Chapter 162.
Arizona	A.R.S. §32-1158	No general remodel cap: contracts over $1,000 must state the deposit amount. Pools and spas (15%) and catastrophic-storm repair (50%) have their own rules.
Illinois	815 ILCS 513	No deposit ceiling in the Home Repair and Remodeling Act as retrieved.
New Jersey	N.J.A.C. 13:45A-16.2	No number in the regulation as retrieved. The Division of Consumer Affairs calls one-third customary, not a legal maximum.
Connecticut	CGS §20-429	No number in the statute as retrieved. The Department of Consumer Protection suggests no more than one-third up front; that is advice, not law.
Washington	RCW 18.27	No statewide deposit ceiling found in the registration law.
Utah	Utah Code 58-55; 13-8-5; 13-50	No statewide deposit ceiling. Retention is capped at 5%, which is retainage, not a down payment.
North Carolina	N.C.G.S. §87-1	No statewide deposit ceiling found. A general-contractor license is required only at $40,000 or more.
Wisconsin	Wis. Admin. Code ATCP 110.05	No percentage ceiling as retrieved. A written contract is required if any payment is taken before completion.
Hawaii	HRS §444-25.5	No deposit ceiling in §444-25.5 as retrieved. §444-25 was not retrieved and is not asserted.

If your state is not in the deposit checker

The deposit checker covers only the 19 states we read at the statute. We do not guess the other 31. Ask your state attorney general or contractor licensing board, and check your city, which can add its own rule.

Whatever the state, a written contract with a payment schedule tied to finished work protects you. See remodeling contracts and choosing a remodeling contractor.

What the deposit checker cannot tell you

The deposit checker is not legal advice. Statutes change, cities can be stricter, and exemptions turn on facts a form cannot see, such as bonds or special-order materials.

The sources, exceptions and penalties are on contractor deposit limits by state. To have a person read your plan, plan your remodel.

Questions this calculator answers

How much deposit can a contractor ask for?: It depends on the state. California caps it at $1,000 or 10%, whichever is less. Maryland caps it at one-third. Texas has no statewide percentage cap.
Is a 50% deposit legal?: Usually not in the seven cap states, on a contract the cap covers. Massachusetts allows more for special-order materials, and Maine’s cap can be waived in writing. In the 12 no-cap states it is not unlawful by itself, but escrow or start-work rules may apply.
Why is my state missing?: The checker covers only the 19 states we read at the statute. We do not infer a rule for the rest. Ask your attorney general or licensing board.
What if the contractor asks for more than the cap?: Ask for a schedule within the cap, in writing. In some states the excess is a violation; the research page lists the penalties.

Sources and methodology

Figures dated September 5, 2026. Last reviewed August 16, 2026.

Contractor deposit limits by state (HyreRemodel Research Desk, retrieved September 5, 2026). Every statute behind this checker, with links.
Cal. Bus. & Prof. Code §7159.5 (California Legislative Information, retrieved September 5, 2026). The $1,000-or-10% cap.

Contractor deposit limits by state The research behind the checker.
Remodeling contracts Payment schedules in writing.
Quote comparison Compare bids line by line.
Remodel loan payment calculator If you are borrowing.

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