If you own a construction company, there are several things you need to consider regarding your payroll. These include tracking employees’ hours, certified payroll, and the prevailing wage laws. Keeping track of your employees’ hours is also essential for your safety since you must determine how many workers are working on your Jobsite at any time.
Accurate job costing will set your construction company up for success. However, you may go over budget and underperform on a particular project if you need to pay attention. You can better manage your cash flow by tracking costs, keeping a safe margin, and using payroll software like Rollbyadp.com. Knowing how much you spend on your crew, materials, and equipment in the construction industry is critical. The best way to do this is to use a reliable estimating process. These will give you an overview of your costs and help you make better bids. It’s also essential to track how long your projects are taking. Job costing software will help you monitor these costs in real-time. Following your change orders is another critical part of a good job costing system. Changes in scope can throw off a project and require more resources. You need to understand how these changes will affect your costs to start a new project on time. This will ensure that you don’t overspend on projects. Using job costing software can save you time and money. The software can help you to identify areas where you’re overestimating or underestimating your costs. You can even set alerts to notify you when these costs arise.
Consider taking on federal contracts if you’re running a construction business. These can offer stable contracts, good income, and a chance to profit. However, these contracts also have several requirements, including certified payroll. Certified payroll is a way of tracking everything you pay out on government contracts. It acts as an equalizer in the bidding process for these jobs. But, like many things, it’s more complex than it seems. For instance, it’s easy to lose track of the total hours worked if you’re using spreadsheets to record your activities. A more effective method is to use time-tracking software. Certified payroll is a complex process, but possible to accomplish. You can save time and reduce your risk of penalties by following a few basic guidelines. The most critical part of certified payroll is ensuring you pay your workers prevailing wages. You can use the US Department of Labor’s list of prevailing wage rates to help you determine the amount you should be paying. A prevailing wage is a local wage for a specific type of work. Depending on where you’re working, this rate will vary.
Prevailing wage laws
Prevailing wage laws mandate the minimum pay rate for workers on public works construction projects. These laws are primarily based on surveys of local wages in surrounding areas. In some states, they may be triggered at a higher threshold than the federal cut-off. However, prevailing wage laws do not apply to all workers performing on a project. Contractors need to know which prevailing wage laws apply to their work. While the prevailing wage law benefits the construction industry, some of its opponents argue that it increases the cost of construction. They have constructed a powerful political narrative around this single argument. Proponents of prevailing wage laws point to academic research that shows that fatal injury rates in the construction industry are lower in states with prevailing wage laws. They also highlight that construction workers can earn a good paycheck without a college degree.
Keeping track of employees’ hours
There are several ways to keep track of employee hours. These methods range from using paper timesheets to using online time-tracking apps. Both options help monitor the workload and keep an eye on employee productivity. The most common way is to use a spreadsheet tool. This is a simple and convenient option, but tracking time accurately can be challenging. It also doesn’t account for vacations or sick leaves. Another popular method is to set up a GPS tracking system around the job site. This can help you track workers’ schedules and can be used to create geofences for increased accuracy. Construction companies often have very complicated schedules. These involve multiple job sites and tight deadlines. With such a demanding schedule, keeping accurate records of employee hours is essential. Do so to avoid costly wage and hour violations. Keeping track of employee hours in construction businesses can help you monitor production and labor costs. In addition, it’s essential to stay in compliance with the FLSA, as it requires organizations to record the total number of hours worked by non-exempt employees. Many construction companies use paper timesheets or use Excel spreadsheets. Using Excel can be a simple solution, but it can be challenging to duplicate.