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Rent Stabilization Board
Rent Stabilization Board

1266. Self Labor

(A) Self labor compensation shall include reasonable compensation for labor performed by the landlord in the operation of a property. Self labor compensation shall be included as a maintenance and operating expense, or as part of a capital improvement, upon documentation of the amount and nature of the work performed. The compensation for skilled and unskilled labor shall be calculated at the hourly rate established for the year in which such labor was performed. If no hourly rate has been established for the year in which such labor was performed, compensation shall be calculated by using the hourly rate of the nearest year for which a rate has been established. The hourly rates for skilled and unskilled labor for the years 1979 through 1996 are as follows and shall be adjusted each year by 100% of the change in the Consumer Price Index, all items, for the San Francisco-Oakland-San Jose metropolitan area for the prior calendar year.

  Year         Unskilled     Skilled
  1979            $6.00          $10.00
  1980            $7.00          $11.00
  1981            $7.00          $12.00
  1982            $8.00          $13.00
  1983            $9.00          $14.00
  1984            $9.00          $15.00
  1985            $9.00          $15.00
  1986          $10.00          $16.00
  1987          $10.00          $16.00
  1988          $10.00          $16.00
  1989          $12.00          $20.00
  1990          $12.00          $20.00
  1991          $13.00          $23.00
  1992          $13.00          $23.00
  1993          $13.00          $23.00
  1994          $14.00          $26.00
  1995          $14.00          $26.00
  1996          $14.00          $26.00
  1997          $15.50          $27.00
  1998          $16.25          $27.90
  1999          $16.75          $28.80
  2000          $17.45          $30.00
  2001          $18.25          $31.35
  2002          $19.25          $33.05
  2003          $19.55          $33.55
  2004          $19.90          $34.15
  2005          $20.15          $34.55
  2006          $20.55          $35.35
  2007          $21.20          $36.50
  2008          $21.90          $37.70
  2009          $22.60          $38.85
  2010          $22.75          $39.10
  2011          $23.05          $39.65  
  2012          $23.65          $40.70
  2013          $24.30          $41.80
  2014          $24.85          $42.70

(B) For a landlord to receive compensation for skilled labor, the landlord must provide evidence of having experience and skills comparable to specialized workers in the building trades for jobs requiring skilled labor, such as plumbing, roofing, carpentry, electrical and masonry work. If a landlord is licensed, or certified as a journeyman/woman, in a particular craft, he/she meets the requirement for skilled labor in that craft, but licensing or certification is not a requirement for the skilled labor rate.

(C) Notwithstanding the above, a landlord may receive greater or lesser allowance for self labor if it is shown that the hourly rates established pursuant to subsection (A) above are substantially unfair in a given case.

(D) Compensation for self-management shall be at the unskilled labor rate, regardless of the landlord's qualifications, and there shall be a maximum allowance of 5% of the gross rental income as compensation for self-management. Self-management activities shall include, but not limited to: renting vacant units, collecting rents, coordinating or supervising maintenance, repairs and purchasing, maintaining financial and management records, and paying bills.

[Amended to add 1997 rates effective June 6, 1997; Amended 2/10, added 1998 through 2009 rates to Section (A) table.]

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