What Is Certified Payroll? Davis-Bacon Rules Explained

What "certified" means

Each week you send a payroll plus a signed Statement of Compliance. In it, the signer certifies three things [29 CFR 5.5(a)(3)(ii)(C)]:

The payroll has the required information, the required records are being kept, and they are correct and complete.
Each laborer or mechanic got the full weekly wages earned, with no rebates and no deductions beyond those allowed under 29 CFR part 3.
Each laborer or mechanic was paid at least the wage and fringe benefit rates in the wage determination for the classification of work actually performed.

The duty comes from the Copeland Act. It requires each contractor and subcontractor to furnish a weekly statement of the wages paid to each employee, and it applies the federal false statements law, 18 U.S.C. 1001, to those statements [40 U.S.C. 3145].

Who must file certified payroll

Covered contracts. The Davis-Bacon labor clauses go into contracts over $2,000 for construction, alteration, or repair, including painting and decorating, of public buildings or public works, and of buildings or works financed with federal funds under a covered law [29 CFR 5.5(a)]. The Davis-Bacon Act itself uses the same $2,000 line for federal contracts [40 U.S.C. 3142(a)]. As of November 2026, the certified payroll section of 29 CFR part 3 does not apply to contracts of $2,000 or less [29 CFR 3.3(c)]. Federally assisted projects are covered when the funding comes under one of the "Related Acts," and DOL keeps a list of those laws on its website [29 CFR 5.1(a)(1)].

Every tier. "Subcontractor" includes subcontractors of any tier [29 CFR 5.2]. Each contractor and subcontractor submits certified payroll, and the prime contractor is responsible for the submission of all subcontractors' payrolls [29 CFR 5.5(a)(3)(ii)(A)]. The prime is also responsible for subcontractors' compliance with the labor clauses and can be liable for unpaid wages owed to their workers [29 CFR 5.5(a)(6)].

Which workers. Certified payroll covers laborers and mechanics: workers whose duties are manual or physical, including apprentices and helpers. Workers whose duties are mainly administrative, executive, or clerical are not included. A foreperson who spends more than 20 percent of a workweek on laborer or mechanic duties counts for that time [29 CFR 5.2].

A person doing that work is "employed" no matter what contractual relationship is claimed. Calling someone an independent contractor does not take them off the certified payroll [29 CFR 5.2].

Who is not a contractor. A material supplier is not a contractor under these rules. The definition is narrow: the business's only work on the project is delivering materials, and its plant must also meet location and timing tests [29 CFR 5.2].

What goes on a certified payroll

Your basic payroll records must show, for each worker [29 CFR 5.5(a)(3)(i)(B)]:

name, Social Security number, and last known address, phone, and email;
the classification(s) of work actually performed;
hourly rates paid, including fringe benefit contributions or costs, or cash paid instead;
daily and weekly hours, in total and on each covered contract;
deductions made and actual wages paid.

The weekly certified payroll carries the same information except the full Social Security number, address, phone, and email. Use an individual identifying number instead, such as the last four digits of the Social Security number [29 CFR 5.5(a)(3)(ii)(B)].

You can use the optional WH-347 or any other format [29 CFR 5.5(a)(3)(ii)(B)]. Our step-by-step guide shows how to fill out the WH-347.

When certified payroll is due

Every week with covered work. Submit a certified payroll for each week in which covered work is performed [29 CFR 5.5(a)(3)(ii)(A)]. Workers must also be paid at least once a week [29 CFR 5.5(a)(1)(i)].
Within 7 days. Deliver each certified payroll within 7 days after the regular payment date of the payroll period [29 CFR 3.4(a)]. On direct federal contracts, the FAR sets a 7-calendar-day window after the regular payment date [FAR 22.406-6(a)].
Final week. On the WH-347, mark the payroll for the last week of work on the project as final [DOL WHD: Form WH-347 instructions].

Where to send it

If the federal agency is a party to the contract, certified payrolls go to that agency. If it is not, they go to the applicant, sponsor, owner, or other entity that keeps the records, which passes them to the agency [29 CFR 5.5(a)(3)(ii)(A)]. As a subcontractor, follow the method your prime sets, because the prime is responsible for getting all subcontractors' payrolls submitted [29 CFR 5.5(a)(3)(ii)(A)].

An agency or prime contractor may allow or require an electronic system. The system must require a legally valid electronic signature, keep payrolls available for at least 3 years after the prime contract work is completed, and allow other methods for contractors who can't use it [29 CFR 5.5(a)(3)(ii)(A)].

How long to keep records

As of November 2026, you must keep these for 3 years after all the work on the prime contract is completed:

regular payrolls and other basic records [29 CFR 5.5(a)(3)(i)(A)];
certified payrolls [29 CFR 5.5(a)(3)(ii)(G)];
your contract or subcontract and related documents, such as bids, proposals, amendments, and modifications [29 CFR 5.5(a)(3)(iii)].

The clock starts when the whole prime contract is done, not when your part ends. You must also make records available for inspection and copying, and let the agency or DOL interview workers on the job during working hours [29 CFR 5.5(a)(3)(iv)(A)].

What happens if you don't file, or file it wrong

Payments can stop. If you fail to submit required records, the agency may, after written notice, suspend further payments and advances [29 CFR 5.5(a)(3)(iv)(B)].
Debarment. Failing to submit records may be grounds for debarment [29 CFR 5.5(a)(3)(iv)(B)]. A contractor found to have disregarded its obligations to workers is barred from covered contracts for 3 years [29 CFR 5.12(a)(1)]; [40 U.S.C. 3144(b)].
Lost evidence. Records you don't give the Wage and Hour Division in the time it requests can't be introduced as evidence in a later administrative proceeding [29 CFR 5.5(a)(3)(iv)(B)].
Back wages with interest. If workers were underpaid, you owe the unpaid wages plus interest [29 CFR 5.5(a)(1)(vi)], compounded daily [29 CFR 5.10(a)]. Contract payments can be withheld to cover it, including from other contracts held by the same prime contractor [29 CFR 5.5(a)(2)(i)].
False certification. Falsifying the Statement of Compliance can lead to civil or criminal prosecution under 18 U.S.C. 1001 and 31 U.S.C. 3729 [29 CFR 5.5(a)(3)(ii)(F)].
Termination. A breach of the labor clauses may be grounds for terminating the contract [29 CFR 5.5(a)(7)].

Common mistakes

Waiting for the prime to ask. The duty applies every week you perform covered work [29 CFR 5.5(a)(3)(ii)(A)].
Leaving off workers paid as independent contractors who do manual work on the job [29 CFR 5.2].
Full Social Security numbers on weekly payrolls [29 CFR 5.5(a)(3)(ii)(B)].
Throwing out records when your part of the job ends instead of 3 years after the prime contract is completed [29 CFR 5.5(a)(3)(i)(A)].
Not posting the wage determination and the Davis-Bacon poster (WH-1321) at the site where workers can easily see them [29 CFR 5.5(a)(1)(i)].

FAQ

Do I submit certified payroll for a week with no work on the job?

The rule requires a certified payroll for each week in which covered work is performed [29 CFR 5.5(a)(3)(ii)(A)]. Your prime or the agency may still want a note for weeks with no work, so ask them how they handle it.

Who can sign the Statement of Compliance?

The contractor or subcontractor, or its agent who pays or supervises the payment of the workers [29 CFR 5.5(a)(3)(ii)(C)]. The signature must be an original handwritten one or a legally valid electronic signature [29 CFR 5.5(a)(3)(ii)(E)].

Can my prime contractor ask for full Social Security numbers?

Yes. A prime may require full Social Security numbers and contact details for its own records, as long as they are not part of the weekly submission to the agency [29 CFR 5.5(a)(3)(ii)(B)].

Does Davis-Bacon certified payroll apply to small contracts?

As of November 2026, the Davis-Bacon Act covers federal construction contracts over $2,000 [40 U.S.C. 3142(a)], and the certified payroll section of part 3 does not apply to contracts of $2,000 or less [29 CFR 3.3(c)]. For federally funded projects, check the labor clauses in your contract; DOL keeps the list of Related Acts [29 CFR 5.1(a)(1)].