What the 2026 Prevailing Wage Updates Mean for Your Covered Contracts
DOL finalized updates to SCA Health and Welfare fringe rates effective this year. Here is what your payroll team needs to recalculate before your next contract renewal.
Federal Compliance Brief
Practical coverage of SCA wage determinations, Davis-Bacon fringe equivalency, WH-347 certified payroll, and DOL audit preparation. Written by the CVRD Health compliance team.
DOL finalized updates to SCA Health and Welfare fringe rates effective this year. Here is what your payroll team needs to recalculate before your next contract renewal.
Certified payroll reports are often the first thing a DOL auditor reviews. These five recurring errors turn a routine inquiry into a full compliance review.
When contractors pay fringe benefits in cash instead of through a qualifying plan, the equivalency calculation is more complex than most payroll teams realize.
Many federal contractors assume one set of wage rules covers all their work. The distinction between SCA and Davis-Bacon matters for how you classify employees and compute fringe.
A DOL wage-and-hour audit does not have to be a scramble. The contractors who fare best are the ones who maintain audit-ready records continuously, not just when the letter arrives.
The wrong NAICS code in your wage determination lookup can mean paying the wrong fringe rates for every covered employee on that contract. Here is how to verify your classification.
Costpoint handles payroll processing well, but its fringe-benefit tracking for Service Contract Act work leaves gaps that payroll teams typically patch with spreadsheets.
When employees work across multiple SCA-covered contracts in the same pay period, the fringe obligation calculation gets complex fast. Here is how to stay accurate at scale.
Debarment from federal contracting is a serious consequence of wage-and-hour violations. Understanding what triggers a referral and how far up the violation chain goes matters for every prime.
SAM.gov is the official source for Service Contract Act and Davis-Bacon wage determinations. This walkthrough covers how to find, verify, and apply the right determination to your contract.
Not all employer benefit plans satisfy the SCA fringe obligation. The plan must be a bona fide benefit plan under DOL criteria, or the contractor must pay the full H&W rate in cash.
Contract renewal season means re-pulling wage determinations, re-mapping fringe obligations, and re-verifying every covered employee's pay rate. We talked with three payroll managers about what that actually looks like.