Skip to main content
Skip to main content

📋 Certified Payroll Guide

Complete guide to prevailing wage and certified payroll. Davis-Bacon, state requirements, and WH-347 forms.

What is Certified Payroll?​

Certified payroll is a weekly report submitted on public works projects showing:

  • Each worker's name and classification
  • Hours worked each day
  • Hourly rate paid
  • Fringe benefits
  • Gross wages
  • Deductions and net pay

When is it Required?​

Federal Projects (Davis-Bacon)​

  • Any federally funded construction over $2,000
  • Must pay federal prevailing wages
  • Weekly WH-347 forms required

State Projects (California)​

  • State-funded projects over $1,000
  • Must pay state prevailing wages
  • DIR registration required
  • eCPR electronic filing

Key Requirements​

Prevailing Wage Rates​

ComponentWhat It Includes
Basic hourly rateCash wages paid to worker
Fringe benefitsHealth, pension, vacation, training
Total hourly rateBasic + Fringe = Prevailing wage

Common Classifications​

  • Carpenter
  • Electrician
  • Laborer (various groups)
  • Operating Engineer
  • Plumber
  • Sheet Metal Worker
Misclassification Penalties

Classifying workers incorrectly to pay lower rates can result in back-pay penalties of 2-3x the underpayment, plus civil penalties up to $200 per day per worker.

The WH-347 Form​

Required Fields​

  1. Contractor name and address
  2. Project name and location
  3. Week ending date
  4. Worker information (name, address, last 4 SSN)
  5. Work classification
  6. Hours worked (daily breakdown)
  7. Rate of pay (basic + fringe)
  8. Gross wages
  9. Deductions
  10. Net wages

Statement of Compliance​

The certification statement must be signed by an authorized company representative stating:

  • Wages paid are accurate
  • Classifications are correct
  • No kickbacks occurred
  • Apprentices are registered (if applicable)

California DIR Requirements​

eCPR Filing​

California requires electronic certified payroll reporting:

  1. Register with DIR as a public works contractor
  2. Submit CPRs within 30 days of each pay period
  3. Upload to the DIR eCPR system

Apprenticeship Requirements​

  • Minimum ratio of apprentices required
  • Must use registered apprentices
  • Apprentices must be paid apprentice prevailing wage

Common Audit Findings​

  1. Wrong classification — Workers doing multiple tasks
  2. Missing fringe payments — Not making contributions
  3. Incomplete records — Missing daily time records
  4. Late filing — Not submitting within 30 days
  5. Split checks — Paying part cash to avoid taxes

Best Practices​

  1. Use software — Manual tracking is error-prone
  2. Daily time records — Don't recreate from memory
  3. Verify rates monthly — Prevailing wages change
  4. Train your foremen — They classify workers daily
  5. Audit yourself — Before the government does

Want to run this digitally? Follow the BLDR Time launch playbook to configure, test, and roll it out with one crew. For product features and current pricing, see BLDR Time.

Was this page helpful?