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HVAC Contractor Salaries and Taxes Overview
How Much Does an HVAC Contractor Make?
If you’re considering a career as an HVAC contractor or running an HVAC business, it’s important to understand the earning potential in this field. In this blog post, we’ll dive into the average salaries for HVAC contractors, the salary ranges, tax obligations, and salaries in other areas.
Heating, air conditioning, and refrigeration mechanics and installers are skilled technicians who work on heating, ventilation, cooling, and refrigeration systems. According to the U.S. Bureau of Labor Statistics https://www.bls.gov/ooh/installation-maintenance-and-repair/heating-air-conditioning-and-refrigeration-mechanics-and-installers.htm, the median annual salary for HVAC contractors was $48,630 as of May 2021. The lowest 10 percent earned less than $34,320, while the highest 10 percent earned more than $78,210. As HVACR systems have become increasingly complex, employers generally prefer applicants with postsecondary education or those who have completed an apprenticeship. Here’s a comparison of 2021 median pay for similar occupations, entry-level education, and job duties.
Salary ranges for HVAC contractors also vary widely depending on factors such as location and type of employer. For example, HVAC contractors working in residential construction may earn a different salary than those working in commercial settings.
Statistics from the Occupational Employment and Wages report for May 2021 https://www.bls.gov/oes/current/oes499021.htm#st for Heating, Air Conditioning, and Refrigeration Mechanics and Installers:
Here’s a comparison of 2021 median pay for similar occupations, entry-level education, and job duties.
| Employment | Hourly Mean Wage | Annual Mean Wage | |
|---|---|---|---|
| National | 356,960 | $26.29 | $54,690 |
| California | 32,640 | $29.65 | $61,670 |
| Texas | 31,060 | $24.65 | $51,270 |
| Florida | 30,480 | $22.52 | $46,850 |
| New York | 22,240 | $31.82 | $66,180 |
| Pennsylvania | 18,110 | $25.89 | $53,840 |
| Idaho | 3,760 | $22.24 | $46,250 |
| Maine | 2,150 | $25.02 | $52,050 |
| District of Columbia | 460 | $33.72 | $70,130 |
| Alaska | 540 | $33.70 | $70,100 |
| Hawaii | 1,360 | $33.22 | $69,100 |
| New Jersey | 9,160 | $32.91 | $68,460 |
| San Jose-Sunnyvale-Santa Clara, CA | 1,770 | $37.51 | $78,020 |
| Fairbanks, AK | 70 | $36.90 | $76,750 |
| San Francisco-Oakland-Hayward, CA | 4,050 | $34.48 | $71,710 |
| Kahului-Wailuku-Lahaina, HI | 130 | $33.81 | $70,320 |
| Urban Honolulu, HI | 1,070 | $33.75 | $70,200 |
| Occupation | Job Duties | Entry-Level Education | 2021 Median Pay |
|---|---|---|---|
| Boilermakers | Boilermakers assemble, install, maintain, and repair boilers, closed vats, and other large containers holding liquids and gases. | High school diploma or equivalent | $64,290 |
| Electricians | Electricians install, maintain, and repair electrical power, communications, lighting, and control systems. | High school diploma or equivalent | $60,040 |
| General maintenance and repair workers | General maintenance and repair workers fix and maintain machines, mechanical equipment, and buildings. | High school diploma or equivalent | $43,180 |
| Plumbers, pipefitters, and steamfitters | Plumbers, pipefitters, and steamfitters install and repair piping fixtures and systems. | High school diploma or equivalent | $59,880 |
| Sheet metal workers | Sheet metal workers fabricate or install products made from thin metal sheets. | High school diploma or equivalent | $53,440 |
| Solar Photovoltaic Installers | Solar photovoltaic (PV) installers assemble, set up, and maintain rooftops or other systems that convert sunlight into energy. | High school diploma or equivalent | $47,670 |
| Stationary Engineers and Boiler Operators | Stationary engineers and boiler operators control stationary engines, boilers, or other mechanical equipment. | High school diploma or equivalent | $63,500 |
| Wind Turbine Technicians | Wind turbine service technicians maintain and repair wind turbines. | Postsecondary nondegree award | $56,260 |
How Much Tax Will You Have to Pay as an HVAC Contractor?
As an HVAC contractor, you’ll likely be considered self-employed and responsible for paying your own taxes. This includes income tax, self-employment tax, and applicable state and local taxes. Working with a tax professional is important to ensure you’re paying the correct amount and taking advantage of any deductions or credits available to you.
In conclusion, HVAC contracting can be a lucrative career with the potential for growth and high earning potential. By understanding the average salaries, salary ranges, tax obligations, and salaries in other areas, you can make informed decisions about your career and business in the HVAC industry.
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