Certified Payroll
Federal certified payroll (Davis-Bacon)
How certified payroll works on federal and federally funded construction: the Davis-Bacon Act, the $2,000 threshold, the weekly WH-347, the Statement of Compliance, and where the rates come from.
Federal certified payroll is the weekly WH-347 report contractors must submit on federal or federally assisted construction contracts over $2,000, verifying that laborers and mechanics were paid the Davis-Bacon prevailing wage. The Copeland Act requires it weekly, within seven days of payday, with a signed Statement of Compliance. Payrolls are retained for three years.
- Statute (Davis-Bacon Act, 40 U.S.C. 3142)
- Contracts over $2,000
- Weekly filing (Copeland Act, 40 U.S.C. 3145)
- Within 7 days of payday
- Form (U.S. Department of Labor)
- WH-347, optional format
- Rate source
- Wage determinations on SAM.gov
The threshold
When Davis-Bacon and certified payroll apply
The Davis-Bacon Act, at 40 U.S.C. 3142, covers federal contracts over $2,000 for the construction, alteration, or repair of public buildings and public works. The Davis-Bacon Related Acts extend the same requirement to dozens of federally assisted programs, from transportation to housing, which is why federally funded work in every state can be covered even when no federal agency is the direct contracting party.
The $2,000 threshold has not changed since the Act was passed in 1931 and is not indexed to inflation, so in practice virtually every covered federal construction project meets it. Every contractor and subcontractor on a covered project, at every tier, must file certified payroll.
Weekly filing
The Copeland Act weekly requirement
The weekly filing obligation comes from the Copeland Act, at 40 U.S.C. 3145, implemented in the regulations at 29 CFR Part 3 and the contract clauses at 29 CFR 5.5. Each certified payroll must be submitted within seven days after the regular pay date for that pay period. There is no monthly option at the federal level; it is weekly.
The record is Form WH-347, though the format is optional. The U.S. Department of Labor provides it for convenience, and any format carrying the same payroll information and the identical Statement of Compliance wording satisfies the rule. What is mandatory is the weekly report and the signed certification.
The certification
The Statement of Compliance, and no notarization
Page two of the WH-347 is the Statement of Compliance, required under 29 CFR 5.5 and 29 CFR 3.3. An officer or employee who supervises payment signs it to certify that the payroll is correct and complete and that every worker was paid at least the applicable prevailing wage and fringe. That signature is what makes the payroll certified.
Federal certified payroll is not notarized. The signed Statement of Compliance replaced the older notarization requirement, so an authorized signature, not a notary seal, is what certifies the report. Because it is a formal certification, a knowingly false payroll can carry criminal liability, not just a civil penalty.
The rates
Wage determinations on SAM.gov
Davis-Bacon rates are published as wage determinations by the U.S. Department of Labor and made available on SAM.gov. A determination is specific to a county and a construction type, building, heavy, highway, or residential, and lists the base rate and fringe for each classification. The determination incorporated into the contract governs that project.
To apply a rate correctly, match the worker to the exact classification in the determination for the county and construction type, then pay the base plus fringe and compute overtime on the base under federal rules. The certified payroll reports how each worker was paid against that determination.
The cost of getting it wrong
Federal penalties
A contractor that underpays owes back wages, and the contracting agency can withhold contract funds to cover them. Willful or aggravated violations of the Davis-Bacon labor standards can result in debarment, which bars a contractor from federal contracts for up to three years. Falsifying a certified payroll is a federal offense that can carry criminal penalties.
Certified payrolls must be retained for three years after the prime contract is complete, under 29 CFR 5.5 and 29 CFR 3.4. Because the reports are how the government proves compliance, a gap in the record is treated as a compliance failure in its own right, separate from whether the underlying wages were correct.
Frequently asked questions
What is the Davis-Bacon threshold?
Two thousand dollars. The Davis-Bacon Act applies to federal and federally assisted construction contracts over $2,000, a figure set in 1931 and never indexed, so nearly every covered federal construction job meets it.
How often is federal certified payroll filed?
Weekly. The Copeland Act requires certified payroll to be submitted within seven days after the regular pay date for each pay period. There is no monthly option at the federal level.
Is the WH-347 form mandatory?
The reporting is mandatory; the form is not. The U.S. Department of Labor provides WH-347 for convenience, and any format carrying the same payroll data and the identical Statement of Compliance wording is acceptable.
Does federal certified payroll need to be notarized?
No. The signed Statement of Compliance on page two of the WH-347 replaced the old notarization requirement, so an authorized signature certifies the report rather than a notary seal.
Where do I find Davis-Bacon wage determinations?
On SAM.gov. The U.S. Department of Labor publishes Davis-Bacon wage determinations by state, county, and construction type there, each listing the base rate and fringe for every classification.
How long do I keep federal certified payroll records?
Three years after the prime contract is completed, under 29 CFR 5.5(a)(3)(ii)(G) and 29 CFR 3.4. A gap in the retained record is itself a compliance failure.
What are the penalties for a Davis-Bacon violation?
Underpayment means back wages and possible withholding of contract funds. Willful or aggravated violations can lead to debarment from federal contracts for up to three years, and falsifying a certified payroll can carry criminal liability.
Do state prevailing wage rules apply on federal projects?
A project funded by both state and federal money can be subject to both regimes, and the worker is owed the higher rate. On a purely federal project, Davis-Bacon governs, but you may still owe state certified payroll if state funds are involved.
Built for Davis-Bacon compliance
Buildalytic matches each worker to the right SAM.gov wage determination by county and craft, checks every WH-347 line against it, and flags a wrong rate or missing fringe before the weekly filing goes out.