Certified Payroll is a common term used for any government funded project that requires Certified Payroll Reports to be submitted to the funding agency. While most Certified Payrolls are associated with Davis Bacon Act contracts, some unions also require submitting certified reports to the union working on the project.
For companies working on Davis-Bacon Act projects over $2000 in value, the company agrees to provide Certified Payroll Reports that demonstrate they paid the employees the contract mandated wages and benefits. The report must be submitted to the government agency that funded the project (e.g. federal, state, local government) and in the required format of the agency (e.g. federal jobs require submitting the WH-347 report).
For Davis Bacon Act projects, the Certified Payroll Reports must be broken out by week and include daily detail, or each individual day's hours, rates and benefits earned by the employee who worked on the project during the week. As part of a Certified Payroll Report, there is a Statement of Compliance for a company official to sign validating that the information in the report is correct. When the project is active but no work was performed in a given week, companies are required to submit a "No Work" report.
These report requirements create hours of manual work for compliance to avoid a Department of Labor violation.
How can IDI help?
IDI can automate your manual process of filling out these reports! Our Time Bank™ Certified Payroll Reporting solution is designed for companies working on government projects subject to the Davis Bacon Act that require filling out and submitting Certified Payroll Reports to prove compliance with prevailing wage rates.
Our Certified Payroll Reporting solution can be further enhanced with our Prevailing Wage Rates solution to automate assigning employees’ prevailing wage rates. With both of these solutions in place you will no longer need to rely on time-consuming and error-prone manual processes to ensure compliance.
When Time Bank is run at the end of the pay period, it retrieves the time and labor information from the time system and associates the specific rates of pay and fringe earnings with the certified job and worker classification. After determining rates, Time Bank calculates the weekly average rate of pay, or FLSA rate, used for all overtime hours in accordance with FLSA guidelines.
With the click of a button, Time Bank reads the rates from a stored user-maintained table or from a client-provided comma-delimited file, the calculation is made, and the results are passed to payroll and to the Certified Payroll Report.