STRONGSVILLE, OH / ACCESS Newswire / April 24, 2026 / Foundation Software, a leading provider of construction software and services, has published a new resource titled Understanding the Federal Contractor Minimum Wage Update. It outlines the 2026 federal contractor minimum wage change and its impact on government-funded construction projects.
Beginning May 11, 2026, the federal contractor minimum wage for certain covered contracts will increase to $13.65 per hour for non-tipped workers and $9.55 per hour for tipped employees.
The update is tied to Executive Order 13658, which established a wage floor for certain workers performing services under covered federal contracts and includes annual adjustments based on economic factors.
Federal wage requirements are regularly adjusted and directly affect payroll processing, reporting and project cost tracking. Depending on contract requirements, contractors may also need to consider how the updated wage interacts with other federal regulations, including Davis-Bacon Act prevailing wage requirements.
The article covers:
How the federal contractor minimum wages differ from prevailing wages
How contract timing can affect wage applicability
Considerations as the new rate takes effect
Potential impacts on payroll records, job cost tracking and labor cost projections
To learn more about the 2026 federal contractor minimum wage update, read here.
Foundation Software, LLC
Foundation Software has been the leading provider of construction software and services since 1985, delivering products that cover a project's entire lifecycle, including job cost accounting, expense management, takeoff & estimating, project management, safety management, HR management, mobile field apps and payroll services. For information, call (800) 246-0800, visit www.foundationsoft.com or email info@foundationsoft.com.
Media Contacts
Tracie Kuczkowski | VP of Marketing
tak@foundationsoft.com | (800) 246-0800 x 7933
Samantha Ann Illius | Marketing Relations Coordinator and Influence Specialist
SIllius@foundationsoft.com | (800) 811-5926 x 4823
SOURCE: Foundation Software
View the original press release on ACCESS Newswire:
https://www.accessnewswire.com/newsroom/en/computers-technology-and-internet/federal-contractor-minimum-wage-update-takes-effect-in-2026-1157995
