Prevailing Wage/Davis Bacon Contributions

Highlights
  • Contribute all or a portion of prevailing wage fringe earnings
  • Fringe contributions are not counted as wages for FICA and Medicare (saves both you and your employees 7.65%)
  • Fringe contributions are not counted as wages for L&I/Workers' Compensation (saves you up to 25%)
  • Fringe contributions are not counted as wages for current year income tax. All contributions are tax deferred
  • Save money on payroll taxes for both the company and employee

Overview
 

If your company works prevailing wage jobs, you will want to look into how you and your employees can benefit from contributing the fringe portion of the mandated wage rate into a qualified retirement plan such as this AGC plan. Prevailing wage fringe benefits contributed to the AGC Plan are not subject to compensation based taxes, immediately saving you money when compared to paying the fringe portion in cash.

 

 

AGC Retirement Plan Service Center: (877) 690-5410 | Fax (206) 938-5987