102 Lower-income Occupations
For its 2017 report License to Work, the Institute for Justice documented the requirements to get a license for 102 lower-income occupations across all 50 states and the District of Columbia. Read more about the research methods.
State Profiles
For its 2017 report License to Work, the Institute for Justice documented the requirements to get a license for 102 lower-income occupations across all 50 states and the District of Columbia. Read more about the research methods.
Select A State
What is Occupational Licensing?
An “occupational license” is, put simply, government permission to work in a particular field. To earn the license, an aspiring worker must clear various hurdles, such as earning a certain amount of education or training or passing an exam. In the 1950s, only one in 20 U.S. workers needed the government’s permission to pursue their chosen occupation. Today, that figure stands at almost one in four.
Bill Collection Agency
License required in 31 states
65th most burdensome licensing requirements among moderate-income occupations
43rd most heavily regulated occupation among moderate-income occupations
What They Do
Bill collection agencies locate and notify customers of delinquent accounts by mail, telephone or personal visit to solicit payment. They receive payment and post amount to a customer’s account; prepare statements to a credit department if a customer fails to respond; initiate repossession proceedings or service disconnection; and keep records of collection and status of accounts. This report looks at what is required to run one’s own bill collection agency only.Licensing
Thirty-one states license bill collection agencies. On average, these laws impose $551 in fees and 159 days of experience—the 65th most burdensome requirements of the 102 occupations studied. However, because bill collection agencies are licensed by more than half of states, the occupation ranks as the 43rd most widely and onerously licensed.
License requirements vary widely across states. Idaho is the most burdensome state, requiring three years (1,095 days) of experience in the collections industry as well as $150 in fees. Seven states (Arizona, Colorado, Massachusetts, Minnesota, Nevada, North Carolina and Wisconsin) require over $1,000 in fees. However, Iowa, the least burdensome state, requires only a $10 fee and no experience.
License to Work
The data and information here come from IJ’s License to Work report, released in November 2017.
States Ranked by Average Licensing Burden for 102 Lower-Income Occupations
More Burdensome Less Burdensom
Based on data released in November 2017| Burden Rank | State | States Licensed | Fees | Estimated Calendar Days Lost | Education | Experience | Exams | Minimum Grade | Minimum Age |
|---|---|---|---|---|---|---|---|---|---|
| 1 | Idaho | 31 | $150 | 1095 | 3 years | 0 | 0 | 0 | |
| 2 | New Mexico | 31 | $800 | 730 | 2 years | 1 | 12 | 18 | |
| 3 | Nevada | 31 | $1,010 | 730 | 2 years | 1 | 0 | 21 | |
| 4 | Colorado | 31 | $1,500 | 730 | 2 years | 0 | 0 | 0 | |
| 5 | Nebraska | 31 | $400 | 730 | 2 years | 0 | 0 | 0 | |
| 6 | Wyoming | 31 | $600 | 365 | 1 years | 1 | 0 | 0 | |
| 7 | Illinois | 31 | $750 | 365 | 1 years | 0 | 0 | 18 | |
| 8 | Michigan | 31 | $300 | 182 | 6 months | 1 | 12 | 18 | |
| 9 | Alaska | 31 | $175 | 0 | 0 | 12 | 19 | ||
| 10 | Washington | 31 | $850 | 0 | 0 | 0 | 18 | ||
| 11 | Arizona | 31 | $1,500 | 0 | 0 | 0 | 0 | ||
| 12 | Massachusetts | 31 | $1,300 | 0 | 0 | 0 | 0 | ||
| 13 | Arkansas | 31 | $140 | 0 | 0 | 0 | 21 | ||
| 14 | Wisconsin | 31 | $1,200 | 0 | 0 | 0 | 0 | ||
| 15 | Indiana | 31 | $100 | 0 | 0 | 0 | 18 | ||
| 16 | Minnesota | 31 | $1,050 | 0 | 0 | 0 | 0 | ||
| 16 | North Carolina | 31 | $1,050 | 0 | 0 | 0 | 0 | ||
| 18 | Tennessee | 31 | $750 | 0 | 0 | 0 | 0 | ||
| 19 | Maryland | 31 | $700 | 0 | 0 | 0 | 0 | ||
| 19 | North Dakota | 31 | $700 | 0 | 0 | 0 | 0 | ||
| 21 | Maine | 31 | $600 | 0 | 0 | 0 | 0 | ||
| 22 | Connecticut | 31 | $500 | 0 | 0 | 0 | 0 | ||
| 23 | Oregon | 31 | $350 | 0 | 0 | 0 | 0 | ||
| 24 | Florida | 31 | $200 | 0 | 0 | 0 | 0 | ||
| 25 | Hawaii | 31 | $139 | 0 | 0 | 0 | 0 | ||
| 26 | Rhode Island | 31 | $100 | 0 | 0 | 0 | 0 | ||
| 27 | Delaware | 31 | $75 | 0 | 0 | 0 | 0 | ||
| 28 | Utah | 31 | $32 | 0 | 0 | 0 | 0 | ||
| 29 | West Virginia | 31 | $30 | 0 | 0 | 0 | 0 | ||
| 30 | Louisiana | 31 | $25 | 0 | 0 | 0 | 0 | ||
| 31 | Iowa | 31 | $10 | 0 | 0 | 0 | 0 |