Tag Archives: FAR

Federal Contractors DCAA Compliance Checklist

This is the typical process that federal contractors adhere to in order to become and remain compliant with DCAA/DCMA requirements. 1. Complete the Pre-award Survey of Prospective Contractor Accounting System Checklist. a. This survey is a checklist of the DCAA … Continue reading

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Senior Executive Compensation Benchmark applicable to all contractor employees effective January 1, 2012

FAR Proposed Rule: Senior Executive Compensation Benchmark applicable to all contractor employees effective January 1, 2012 (certain agencies) In this proposed rule, DoD, GSA, and NASA are proposing to amend FAR 31.205-6(p) to require that the compensation costs incurred after … Continue reading

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Unallowable Costs

Wouldn’t it be nice to bill everything to the government?  Many government contractors incur several expenses but all expenses are not billable to the government. These costs are referred to as unallowable cost. The government will not reimburse them as … Continue reading

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Contract limitation for WOSB Concerns removed

FAR Interim rule – Contract limitation for Women-Owned Small Business (WOSB) concerns removed Effective June 21, 2013, DoD, GSA, and NASA issued an interim rule amending the Federal Acquisition Regulation (FAR) to remove the dollar limitation for set-asides to economically … Continue reading

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Indirect Costs

In order to understand the calculation of an indirect cost, it is best to first discuss the difference between a direct cost and an indirect cost. A direct cost is any cost that is directly identifiable. For example, materials for … Continue reading

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Demystifying the Payroll Process

  Here at CJA we specialize in clients who work on federal government contracts. Below is our discussion of procedures necessary to keep the payroll records reconciled and in compliance with DCAA requirements, and to avoid delays when financial statements … Continue reading

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Common Government Contractor Accounting Questions

Here at CJA, we specialize in clients who work on federal government contracts. Below please find some common questions that we encounter: 1. What is an allowable/unallowable cost? When a government contractor wins a government contract, not only can the … Continue reading

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Allowability of Meals and Entertainment Costs – Government Contractors

A government contractor can most effectively determine the allowability of any cost by examining standards outlined by Federal Acquisition Regulation (FAR) on 31.201-2. Reasonableness in nature and cost Must follow the generally accepted accounting principles Must be within limitations specifically … Continue reading

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