When Prevailing Wage Applies
Prevailing wage typically applies to public works and government-funded jobs. Check your contract bid docs for the wage determination and compliance requirements.
- Federal Davis-Bacon (and related acts) on qualifying federally funded work
- State or city prevailing-wage laws on public projects (thresholds vary)
- Wage determination lists trades, rates, and required fringes by county
Key Requirements at a Glance
Compliance comes down to correct classifications, pay, and documentation.
- Classification: pay the rate for the work performed, even if a worker has multiple roles
- Base + Fringe: provide fringe as cash or bona fide benefits (health, retirement, etc.)
- Overtime: calculate correctly when fringes are paid in cash
- Apprentices: follow ratio rules and registration requirements
- Weekly reporting: submit certified payroll with a signed statement of compliance
Certified Payroll Reports (e.g., WH-347)
Many agencies accept the WH-347 or a state-specific equivalent. The report summarizes each worker’s details and pay for the week.
- Worker name (and masked ID), work classification, and project ID
- Daily/weekly straight vs. OT hours by classification
- Rate(s) of pay, fringes (cash or benefits), gross pay, deductions, net
- Signed Statement of Compliance for the weekly period
Note: Some owners require electronic filing or their own form—follow the contract instructions.
Set Up Your System for Compliance
Make compliance the default by designing your coding and approvals up front.
- Create job/phase/cost codes and add trade classifications
- Define fringe handling: cash in lieu vs. bona fide benefits
- Require daily time entry with classification per task
- Supervisor weekly approvals; lock the period before export
- Map exports to payroll/QuickBooks so pay and job costs align
Recordkeeping & Audit Readiness
Keep a clean trail so reviews are quick and painless.
- Store timesheets, certified payroll PDFs, pay stubs, and fringe records
- Retain documents for the required period in your jurisdiction (often several years)
- Track apprenticeship registrations and ratio compliance where applicable
- Post wage determinations and notices on site if required
Common Mistakes (and Fast Fixes)
Most issues stem from classification and fringe math—tighten these first.
- Misclassification: split time by work performed each day
- Fringe in cash but OT wrong: ensure overtime rate includes the proper base/fringe treatment
- Late/blank fields on reports: make weekly approvals mandatory
- Missing apprentice proof: attach registration and ratio logs
How Werx Supports Certified Payroll
Werx helps you capture correct hours and classifications in the field, then export clean data for payroll and reporting.
- Daily mobile time by job → classification → day with approvals
- Audit trails on edits; notes/photos for unusual work
- Map classifications and rates; sync to QuickBooks Online
- Back up T&M labor with itemized entries and attachments
FAQs About Certified Payroll & Prevailing Wage
What exactly is “certified payroll”?
It’s a weekly payroll report—signed under penalty of perjury—showing each worker’s hours by classification, rates, fringes, and net pay for a prevailing-wage project.
Do I have to use the WH-347 form?
Not always. Many agencies accept WH-347 or their own electronic/system form. Always follow your contract and the owner/agency instructions.
How do fringes work for overtime?
If you pay fringes in cash, ensure overtime calculations follow the rules for your jurisdiction. If fringes are bona fide benefits, treat them per policy and law; when in doubt, confirm with your payroll provider.
TL;DR Recap
- Pay the correct rate + fringe for the classification worked
- Submit weekly certified payroll with a signed compliance statement
- Require daily coded time and weekly approvals to avoid errors
- Werx captures classifications in the field and syncs to QuickBooks
