Compliance
Prevailing wage compliance
Stay Davis-Bacon and state compliant on every job. The right determination, the right classification, and the right fringe credit, applied automatically.
Prevailing wage compliance means paying workers on public construction the legally set base rate and fringe for their classification, county, and project, then documenting it. It requires matching each worker to the correct Davis-Bacon or state wage determination, applying fringe credits correctly, and reporting through certified payroll.
- Federal threshold (Davis-Bacon Act)
- Contracts over $2,000
- California threshold (Labor Code 1771)
- Public works over $1,000
- California penalty (Labor Code 1775)
- Up to $200 per day, per worker
The problem
The rate is a moving target, and the fringe math is unforgiving.
Prevailing wage determinations are updated on a schedule, differ by county and craft, and can change mid-project. A payroll admin who looks up the wrong sheet, or the right sheet from the wrong period, underpays without ever knowing it.
Fringe is where good-faith mistakes live. Cash in lieu, bona-fide benefit plans, and the effective total rate all have to reconcile, and a plan contribution counted twice is a shortfall waiting to be found in an audit.
Buildalytic resolves the determination deterministically from county, craft, and date, applies fringe credits against the effective total rate, and holds the wage tables current so the number on the check is the number the agency expects.
How it works
Deterministic rate resolution, no guessing.
Classify the work
Each worker is mapped to a trade classification for the project, so the rate lookup starts from the right craft.
Resolve the determination
County, craft, and date resolve to a single wage determination, with zone and area rules applied, not a fallback guess.
Apply fringe credits
Cash in lieu and plan contributions reconcile against the effective total rate, so credits are counted once and correctly.
Prove it
The result flows into certified payroll and audit packets with the source determination cited on every line.
What is inside
The wage-data moat, applied to your payroll.
Current wage tables
Federal Davis-Bacon and state determinations kept current, including California DIR, so rates are never stale.
County and craft resolution
Deterministic county to area and craft resolution with zone rules, not a nearest-match approximation.
Fringe credit engine
Effective total rate handling for cash-in-lieu and bona-fide plans so credits reconcile correctly.
Overtime rules
Federal and state overtime, including California daily 8 and 40 rules, applied to the prevailing rate.
Change alerts
When a determination changes, affected active projects are flagged so rates update before the next pay period.
Source citations
Every applied rate links to the determination it came from for a clean audit trail.
Frequently asked questions
How is prevailing wage determined?
A government agency surveys wages paid for each construction classification in a geographic area and publishes a determination with a base rate and fringe. Federal determinations come from the Department of Labor; states like California publish their own through the DIR. The rate applies to covered public work in that area.
What is the difference between prevailing wage and minimum wage?
Minimum wage is a legal floor for all workers. Prevailing wage is a higher, classification-specific rate that must be paid on covered public construction, set by the type of work and the location. It includes a base hourly rate plus a fringe benefit amount, and it varies by craft and county.
What is the difference between Davis-Bacon and prevailing wage?
Davis-Bacon is the federal prevailing wage law, covering federally funded construction contracts over $2,000. Prevailing wage is the general term, and many states have their own laws that apply to state and local public work. A job can be covered by federal Davis-Bacon, a state law, or both.
How do I read a wage determination?
A wage determination lists construction classifications with a base hourly rate and a separate fringe amount for each. You find your worker’s classification, apply the base rate plus fringe, and follow any footnotes for zones or special conditions. The determination in effect for your project period is the one that governs.
How often are prevailing wage rates updated?
Federal Davis-Bacon determinations are revised periodically as the Department of Labor issues modifications. California DIR issues general determinations on a semi-annual cycle, with predetermined increases built in. The rate locked to your project depends on the award date and the determination in effect at that time.
What is the penalty for a prevailing wage violation?
Penalties include back wages owed to underpaid workers plus civil penalties. In California, penalties can reach $200 per day per underpaid worker under Labor Code 1775, and payments can be withheld. On federal work, willful violations can lead to debarment from future contracts.
See the rate resolution on your jobs.
Bring a county, a craft, and a date. We will show the determination it resolves to and the fringe math behind it.