As a contractor bidding on government jobs, you may struggle to learn more about certified payroll requirements. What are they? What does your business need to do to be compliant? What happens if you make a mistake?
A certified payroll consulting firm like Public Works Consultant can help you understand how certified payroll requirements affect your company. Our experienced labor compliance experts are ready to answer your questions and provide assistance with meeting requirements.
What Are Prevailing Wages?
Prevailing wages, used in government contracting, refer to the average hourly wage, benefits, and overtime pay that most workers in a specific geographical area receive. In most cases, this is equal to a union wage. A contractor performing work for a federal or state agency must pay prevailing wages to all their workers.
What is the Davis-Bacon Act?
The Davis-Bacon Act sets out rules for government contractors working on federal contracts. One of these regulations requires each contractor to follow certified payroll standards and turn in a weekly report showing that they have paid workers based on prevailing wages. This may seem simple, but the reporting rules are somewhat complex and may also be affected by additional state and local requirements.
Certified payroll can often be more time-consuming than standard payroll procedures, leaving the business owner or manager with less time to manage the project. At the same time, it can also be stress-inducing. Did you remember to file the report last week? Did you file it correctly? Did you make an error?
When you’re worried about these concerns, it can be hard to focus on the day-to-day work tasks that also need to be done. Some contractors consider hiring a certified payroll specialist, but this isn’t the right choice for every company. Smaller businesses may not have the budget or office space for another employee.
If you’re grappling with these issues, a labor law compliance firm may be able to help. We can perform payroll certification for your business as an outside service, which is frequently more affordable than hiring a full-time or even part-time employee. Our prevailing wage experts will follow all applicable regulations and correctly file your reports each week, so you don’t have to worry about anything but running your business.
What About State and Local Requirements?
In addition to federal requirements, many states and sometimes local governments have their own rules about prevailing wages and payroll certification. Some states require the filing of additional forms, and if you miss one, you could face fines, penalties, or complicated legal problems. Many contractors who run afoul of federal or state regulations were trying to follow the law but made honest mistakes due to the complicated nature of the process.
How Can A Labor Compliance Consulting Firm Help With Certified Payroll Requirements?
Your job may be in construction, plumbing, electric work, or a related field. But at Public Works Consultant, our specialty is labor compliance, and we can relieve you of the paperwork, reports, and stress many contractors associate with labor compliance. You’ll never have to wonder if you remember to file a report, if you misunderstood a requirement, etc. To learn more about how our construction payroll consultants can help your company stay compliant, please contact us for a free consultation.
