How to Pass the New Jersey Business and Law (Electrical Contractor and Master Plumber) Exam
You don't have to guess how to prepare for the New Jersey Business and Law (Electrical Contractor and Master Plumber) exam. This guide lays it out: the key facts from the official bulletin, the topics on the test, the books you need, sample questions with answers, and a study plan you can follow. PSI gives the exam.
New Jersey Business and Law (Electrical Contractor and Master Plumber) Exam Basics
Here's what the official bulletin says about the exam:
| Questions | 50 questions |
| Time limit | 130 minutes |
| Passing score | 70% correct |
| Books in the exam room | Open book |
| Exam fee | $47 |
On exam day
- One valid, unexpired photo and signature bearing ID matching the registration name is required, such as a state driver's license or ID card, US passport, US military ID, US alien registration card, or Canadian government issued ID.
- Candidates should arrive 30 minutes before the scheduled appointment.
- Candidates bring their own NASCLA reference, which may be pre-marked but not written in, with permanent tabs only and no extra papers.
- Candidate-owned references may be highlighted, underlined or indexed beforehand and tabbed with permanent tabs only, but may not be written in, while the NEC supplied at the center may not be marked at all.
- An on-screen online calculator is available to candidates during the examination.
- PSI provides a piece of scratch paper and a pencil plus an online calculator, while personal items such as electronic devices, outerwear, hats, bags, writing devices, food and drinks must be stored outside the testing room.
References you may bring
- NASCLA Contractor's Guide to Business, Law and Project Management – New Jersey (2nd Edition)
Scheduling, changes and retakes
- Candidates schedule and pay for the examination with PSI online at https://test-takers.psiexams.com/njel or by phone at (855) 340-3713.
- Board approval is required before scheduling, the first attempt must be made within 2 years of the eligibility date, and all three examinations must be passed within 5 years of the eligibility date or the candidate must re-apply.
- An appointment may be cancelled and rescheduled without forfeiting the fee if notice is received 2 days before the examination date, and voice mail is not an acceptable cancellation.
- Missing the appointment, failing to cancel 2 days ahead, arriving after the examination start time, or not presenting proper ID means you cannot test and you forfeit the examination fee.
- Scores are given immediately after the examination, with a successful score report for passers and a diagnostic report of strengths and weaknesses for those who do not pass.
- Candidates retake only the failed examination(s), must wait 6 months from the previous testing date after a first or second failed attempt, and must pass all three examinations within three attempts.
- A candidate must pass all three examinations to qualify for licensure as a New Jersey Electrical Contractor, and results are transmitted to the Board.
Source: Electrical Contractor Licensure Examination Candidate Information Bulletin — New Jersey State Board of Examiners of Electrical Contractors, Updated 3/5/2026. Check the bulletin before test day: fees and rules can change.
What's on the New Jersey Business and Law (Electrical Contractor and Master Plumber) Exam
The official content outline splits the exam into 11 topics:
| Topic | Questions | Share of the exam |
|---|---|---|
| Business Organization | 2 | 4% |
| Licensing | 5 | 10% |
| Estimating and Bidding | 7 | 14% |
| Contract Management | 8 | 16% |
| Project Management | 5 | 10% |
| Risk Management | 4 | 8% |
| Safety | 4 | 8% |
| Labor Law | 4 | 8% |
| Financial Management | 5 | 10% |
| Tax Law | 3 | 6% |
| Lien Law | 3 | 6% |
Your New Jersey Business and Law (Electrical Contractor and Master Plumber) Study Plan
Your books are your best friend on this exam. It's open book, so the references on the bulletin's list are what you'll use on test day. Get your own copies in the editions the bulletin names.
Get to know them early. Spend time with each book's table of contents and index until you can find any major subject quickly. On an open-book exam, finding answers fast is the skill that counts.
Make the books yours. Highlight the sections you keep coming back to. The exam facts above list the bulletin's rules on tabs and markings, so follow them exactly.
Put your energy where the points are. Contract Management and Estimating and Bidding make up 30% of the exam, so start there.
Practice with the clock running. Our timed practice exams help you build the pace the real exam needs: about 2 minutes 36 seconds per question. Every attempt is another rep.
Keep going until you pass practice exams consistently. One good score is a great start. A few passing scores in a row is how you know you're ready.
Books You'll Need for the New Jersey Business and Law (Electrical Contractor and Master Plumber) Exam
The NASCLA Contractor's Guide to Business, Law and Project Management – New Jersey, 2nd Edition, is the reference allowed in the examination center.
Where to get them:
Test Day Tips
Start with a quick pass through the whole exam. Answer every question you're sure about and bookmark the rest. Every exam lets you return to bookmarked questions, so nothing is lost by moving on.
Then come back to your bookmarks and work through them one at a time. Keep an eye on the clock: you have 130 minutes for 50 questions, which is about 2 minutes 36 seconds per question. Before you finish, make sure every question has an answer. A blank can't earn a point.
Study Tips
On an open-book exam, the winners aren't the smartest people in the room — they're the fastest at finding answers. Buy the required book, practice with it open, and tab and highlight each section the first time a question sends you there. Learn the index and table of contents until you can land on any topic in seconds. That speed is what separates a pass from a fail.
Know your way around each book's index and table of contents. Open-book exams reward speed: you need to find specific items quickly.
On an open-book exam, work through every question once: answer the ones you know and skip the ones you don't. Then go back to the ones you flagged. You can bookmark questions for later review, just like on our exams — and don't sink too much time into any single question. The clock is still running.
Give yourself at least three to six weeks. Use your exam's candidate bulletin as your roadmap for what's tested, and spend your time on finding-it-fast skills over rote memorization. In practice, aim for three clean passes at 80% or higher — setting your practice bar above the real cut score gives you a comfortable margin on test day.
Practicing against a ticking clock is the best way to beat exam-clock anxiety. Use these timed tests to build your pacing, so you learn to move steadily and never burn too long on a single question. By test day, the format feels routine.
Try These New Jersey Business and Law (Electrical Contractor and Master Plumber) Practice Questions
Give these a try. They come from our practice question bank, each with its answer and reference.
Sample 1 — Project Management
Question: Who on the project supervisory team is primarily responsible for supervising the materials procurement process to ensure accurate and timely delivery?
- A. Owner's representative
- B. Superintendent
- C. Materials expediter
- D. Foreman
Correct Answer: C
A materials expediter supervises the materials procurement process to ensure accurate and timely delivery of materials. Timely delivery of materials is important to keeping a project schedule on track.
Reference: NASCLA Contractors Guide, Scheduling and Project Management chapter — Materials section
Sample 2 — Financial Management
Question: Which accounting method recognizes income when services occur, not when money is collected?
- A. Cash method
- B. Accrual method
- C. Hybrid method
- D. Modified cash method
Correct Answer: B
According to the NASCLA Contractors Guide, using the accrual method, you recognize income when the services occur, not when you collect the money. The same principal is applied to expenses, which are recorded when they are incurred, not when you pay for them.
Reference: NASCLA Contractors Guide, Financial Management chapter — Accrual Method section
Sample 3 — Risk Management
Question: According to the Miller Act, what is the minimum contract value that requires performance and payment bonds on federal construction projects?
- A. $100,000
- B. $75,000
- C. $150,000
- D. $50,000
Correct Answer: A
According to the NASCLA Contractors Guide, the Miller Act is the current law requiring performance and payment bonds on all federal construction projects valued at greater than $100,000. Note: current law: the Federal Acquisition Regulation (FAR 28.102-1) now requires performance and payment bonds on federal construction contracts exceeding $150,000; the statute and the book still print $100,000.
Reference: NASCLA Contractors Guide, Managing Risk chapter — Laws Governing Bonding of Federal Construction Projects section
Sample 4 — Safety
Question: Exposure records for toxic substances and harmful physical agents must be maintained for how long?
- A. 5 years
- B. 10 years
- C. 25 years
- D. 30 years
Correct Answer: D
According to the NASCLA Contractors Guide, exposure records (including employee exposure to toxic substances and harmful physical agents) must be maintained for 30 years and medical records for the duration of employment plus 30 years.
Reference: NASCLA Contractors Guide, Jobsite Safety and Environmental Factors chapter — OSHA Recordkeeping section
Why Practice Online?
Reading questions in a PDF is a start, but it doesn't prepare you for the clock. Our practice exams are timed and on a screen, so you build speed along with knowledge. Each attempt draws a new set of questions from our bank, and your results show your score by topic so you know where to focus next.
Ready to Start?
Take the free New Jersey Business and Law (Electrical Contractor and Master Plumber) practice exam and see where you stand today. Then focus on the topics that need the most work. For the official rules, read the exam bulletin, and see the licensing board's website.