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What is certified payroll?
The weekly report that proves you paid the prevailing wage on a public-works job, plus who has to file it, the WH-347 form, deadlines, and what happens if you get it wrong.
Certified payroll is a weekly report that contractors on government-funded construction projects must submit to verify each worker was paid the prevailing wage and fringe benefits required by law. On federal work it uses Form WH-347 and includes a signed Statement of Compliance certifying the payroll is correct and complete.
- Governing law (Davis-Bacon Act, 40 U.S.C. 3142)
- Federal contracts over $2,000
- Filing frequency (Copeland Act, 29 CFR 3.3)
- Weekly, within 7 days of payday
- Federal form (U.S. Department of Labor)
- Form WH-347, optional format
- Recordkeeping (29 CFR 5.5(a)(3)(ii)(G))
- Retain payrolls for 3 years
Who files it
Who has to submit certified payroll?
Any contractor or subcontractor performing work on a federally funded or federally assisted construction contract over $2,000 must submit certified payroll every week under the Davis-Bacon Act and the Copeland Act. That includes every tier of subcontractor, not just the prime, and it applies to laborers and mechanics on the site of the work.
Most states impose parallel prevailing-wage reporting on their own public works, often at a lower dollar threshold. California requires it on public works over $1,000; Oregon on projects over $50,000. State programs frequently use their own form and portal rather than the federal WH-347.
The form
What is the WH-347 form?
Form WH-347 is the U.S. Department of Labor certified payroll report. Each row lists a worker with their classification, hours worked by day, pay rate, gross wages, deductions, net pay, and the fringe benefits paid. Page two carries the Statement of Compliance, a signed certification that the payroll is accurate and that everyone was paid at least the required prevailing wage.
Using the WH-347 format is optional. The Department of Labor states the form is provided for convenience, and any format with identical wording satisfies the rule. What is mandatory is the weekly reporting itself and the signed Statement of Compliance. Certified payroll is not notarized; the signed statement replaced the notarization requirement.
How it flows
How certified payroll works, week by week
Pay at the prevailing wage
Pay each worker at least the base rate and fringe for their classification from the applicable wage determination.
Record the week
Capture each worker, classification, daily and total hours, gross pay, deductions, net pay, and fringe benefits paid.
Complete the report and statement
Fill out WH-347 or an identical format and sign the Statement of Compliance on page two.
Submit within seven days
File the report within seven days after the regular pay date, to the contracting agency or its portal.
Retain for three years
Keep the certified payrolls for three years after the prime contract is complete, per 29 CFR 5.5.
When it goes wrong
Penalties for non-compliance
Under the Davis-Bacon and Related Acts, contractors that underpay owe back wages, and the contracting agency can withhold contract funds to cover them. Willful or aggravated violations can lead to 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 liability.
State penalties stack on top. California can assess up to $200 per calendar day per underpaid worker under Labor Code 1775, plus $100 per day per worker for failing to produce records under Labor Code 1776. Because the Statement of Compliance is a signed certification, a knowingly false payroll is treated as fraud, not a clerical error.
Frequently asked questions
When is certified payroll required?
It is required on federally funded or assisted construction contracts over $2,000 under the Davis-Bacon Act, and on most state and local public works, often at a lower threshold. If the job is public and prevailing wage applies, certified payroll almost always applies too.
What is the difference between certified payroll and regular payroll?
Regular payroll pays your workers. Certified payroll is an additional weekly report to the government that proves those workers were paid the prevailing wage and fringe for their classification, verified by a signed Statement of Compliance.
Is the WH-347 form mandatory?
The reporting is mandatory; the specific form is not. The U.S. Department of Labor provides WH-347 for convenience, and any format with the same information and the identical Statement of Compliance wording is acceptable.
Does certified payroll need to be notarized?
No. Certified payroll is not notarized. The signed Statement of Compliance on page two of the WH-347 replaced the old notarization requirement, so an authorized signature is what certifies the report.
Who is exempt from certified payroll?
Bona fide executive, administrative, and professional staff who are not laborers or mechanics on the site are generally not reported, and contracts at or under the $2,000 federal threshold are not covered. Material suppliers who do no site labor are also typically outside the requirement.
What is the difference between WH-347 and WH-348?
WH-347 is the full two-page certified payroll form, including the payroll grid and the Statement of Compliance. WH-348 is the Statement of Compliance on its own, used when a contractor submits payroll data on its own format and attaches the certification separately.
Do all states use the WH-347 form?
No. About a dozen states accept the federal WH-347 for state work, while roughly the same number require their own certified payroll form, and several mandate electronic filing through a state portal such as California DIR eCPR. Check the rule for the state where the work is performed.
How long do I keep 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. Some states require longer retention, so keep records for the longest period that applies to your project.
Catch certified payroll errors before you submit
Buildalytic checks every WH-347 line against the correct wage determination and flags a wrong rate, missing fringe, or bad classification, with the rule cited, before the report leaves your office.