Capital Expense or not?

[Tarcizio Goncalves]

Hi everyone, 

I inherited a tenant when I purchased a property 6 years ago and this tenant moved out. Tenant has been there for over 20 years so the unit has a ton of updating that it needs so that the unit is brought back to life. 

The software I use to keep track of income/expense for this property has a category for renovations under capital expense. All the improvements I am doing is going under this category (new bathroom, new plumbling, new kitchen cabinets, new tile, new flooring, appliances, etc...)

I dont know how classify my labor expense. There is two guys who is doing this turnover for me. One is my bro in law and the other is a friend. Could their labor expense be classified under capital expense as well because they are doing work under a capital expense category or is this just labor expense? Thank you everyone