Free Davis-Bacon Labor Cost Tool

Free Prevailing Wage Calculator

Calculate fully-burdened Davis-Bacon labor costs in seconds. Base rate + fringe benefits + payroll burden — everything you need to price a prevailing wage job.

Project Inputs

Total Project Labor Cost

$2,109.00

1 worker × 1 week · $52.73/hr fully burdened

Per Worker / Week

$2,109.00

Total Hours (per worker/wk)

40

Breakdown (per worker / week)

Hours

Straight Time40 hrs
Overtime0 hrs
Total Hours40 hrs

Wages

ST Base Pay$1,200.00
OT Base Pay (1.5x)$0.00
Fringe Pay$600.00
Gross Wages$1,800.00

Employer Burden

FICA (7.65%)$91.80
Workers Comp (12%)$144.00
General Liability (2.5%)$30.00
SUTA (3%)$36.00
FUTA (0.6%)$7.20
Total Burden$309.00

This is an estimate. Actual rates must come from SAM.gov wage determinations for your project's county and trade.

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How Prevailing Wage is Calculated

Under the Davis-Bacon Act, the prevailing wage for a worker on a federal construction project is the sum of two components: the base hourly rate and the fringe benefit rate. Together these make up the total prevailing wage that must be paid to the worker.

Prevailing Wage = Base Rate + Fringe Rate

Example: $30.00 base + $15.00 fringe = $45.00 prevailing wage per hour

The base rate is cash wages paid directly to the worker. The fringe rate can be paid as cash on the paycheck, or as employer contributions to bona fide benefit plans (health insurance, pension, vacation, training). Most wage determinations list both components separately so contractors know the minimum for each.

Overtime on Davis-Bacon jobs is calculated at 1.5× the base rate only — the fringe portion is paid straight-time for overtime hours. This calculator follows that standard convention.

What's Included in Davis-Bacon Labor Cost

The prevailing wage is what the worker receives — but the contractor's true cost is higher. A fully-burdened labor cost includes the following employer-paid items on top of gross wages:

  • FICA (7.65%) — Social Security (6.2%) and Medicare (1.45%) employer match
  • FUTA (~0.6%) — Federal unemployment tax on the first $7,000 of wages per worker
  • SUTA (varies by state) — State unemployment tax, typically 1-7% based on your experience rating
  • Workers Compensation (varies by class code) — Construction trades typically run 8-20% of payroll
  • General Liability Insurance (1-5%) — Usually calculated as a percentage of payroll

The default burden rates in this calculator (about 25.75% combined) are reasonable national averages for construction, but you should replace them with your actual rates from your workers comp carrier, payroll provider, and state unemployment office for accurate bids.

When to Use This Calculator

This tool is designed for:

  • Bid estimating — Quickly price labor on a Davis-Bacon or state prevailing wage project
  • Change orders — Calculate the labor cost impact of added scope
  • Subcontractor review — Verify that a sub's bid reflects proper prevailing wage burden
  • Project budgeting — Build a labor budget before work starts

Once your bid wins and the project starts, you'll need to file weekly certified payroll reports (Form WH-347) with the contracting agency. That's where CertifiedPayrollPro comes in — we turn your payroll data into signed, audit-ready reports automatically.

Frequently Asked Questions

What is prevailing wage?

Prevailing wage is the hourly rate (including fringe benefits) paid to the majority of workers in a given trade on similar projects in a specific geographic area. For federal projects over $2,000, the Davis-Bacon Act requires contractors to pay at least the prevailing wage as determined by the U.S. Department of Labor. Rates are published as wage determinations on SAM.gov.

Is this calculator accurate?

This calculator provides estimates based on the rates and burden percentages you enter. The formulas follow standard Davis-Bacon labor cost conventions (base + fringe + employer burden). However, actual prevailing wage rates must come from the official wage determination on SAM.gov for your project's county and trade. Burden rates vary by state, experience modifier, and coverage — confirm with your payroll provider or insurance broker.

How do I find the actual prevailing wage for my project?

Prevailing wage rates are published as wage determinations on SAM.gov (formerly beta.SAM). You'll need your project's state, county, and construction type (building, heavy, highway, or residential) to pull the correct determination. Our free Wage Lookup tool can help you find the right determination quickly.

What burden costs should I include?

Standard employer burden includes FICA (7.65%), federal unemployment (FUTA, typically 0.6% on the first $7,000), state unemployment (SUTA, varies by state and experience rating), workers compensation (varies by trade class code — construction is typically 8-20%), and general liability insurance (1-5% of payroll). Some contractors also add health insurance, retirement, and paid time off if those aren't already included in the fringe rate.

Does this include overhead and profit?

No. This calculator gives you the fully-burdened labor cost only. To build a complete bid, you'll need to add material costs, equipment costs, subcontractor costs, project overhead (supervision, site trailers, permits, etc.), general company overhead, and profit margin on top of the labor number this tool produces.

Can I use this for bid estimates?

Yes — this is exactly what it's designed for. Use it to quickly price out labor on a Davis-Bacon job before finalizing your bid. Just remember to verify the prevailing wage rate for your specific trade and county on SAM.gov, and confirm your burden percentages match your actual insurance and tax situation.

Prevailing Wage Calculator — Free Davis-Bacon Labor Cost Tool | CertifiedPayrollPro | CertifiedPayrollPro