If a contractor has a monetary limit of $500,000, what is the bi-annual payment into the residential recovery fund?

The correct amount for the bi-annual payment into the residential recovery fund, when a contractor has a monetary limit of $500,000, is $200. This requirement is set forth by the Nevada State Contractors Board, which mandates that licensed contractors contribute to the residential recovery fund based on their monetary limit.

For contractors with a monetary limit of $500,000, the payment structure is tiered. Each tier corresponds to a specific monetary limit, and since $500,000 falls within a designated range, it necessitates a bi-annual payment of $200. This fund acts as a consumer protection measure, ensuring that homeowners can seek compensation in cases where contractors do not fulfill their obligations.

Understanding this payment structure is essential for contractors, as it directly impacts their financial responsibilities and helps ensure compliance with Nevada state regulations.