QuickBooks and DCAA Compliance – Q&A Overview The question regarding QuickBooks and DCAA compliance, or QuickBooks as a pre-approved accounting system comes up frequently. Many companies resort to much more costly platforms thinking that they must in order to be DCAA compliant. The following will hopefully shed some light on DCAA approved or compliant accounting systems.
In performing a DCAA audit, the auditors seem to concentrate on various hot topics during the audit process and review. Proper preparation and procedures are good for the management of your government contracting business and can save you a lot of time and aggravation at the time of an audit. The items below are typical hot topics
Every federal government purchase anticipated to be valued from $2500 to $100,000 is automatically set-aside for small businesses as long as there are at least 2 companies that can provide the product/service. Contracts over $100,000 can be set aside if enough small businesses are able to do the work. Contracts over $500,000 have to include
Does your handbook include a section for remote employees? It should…
I received a newsletter from ADP ( I love their RUN product for payroll processing for new and growing start-ups especially!) which caught my attention. I had recently been discussing several of the topics contained in the recent newsletter with a client, so I know these items ARE on the minds of employers and HR professionals in companies who allow remote workers. Click on the link below to go to ADP’s full text article. I have listed just a few of the items contained for quick reference, click the link below for the full post directly from ADP.
When you have remote workers, complying with employment laws may require additional planning. It is important to have effective policies, practices, and procedures in place before permitting employees to work remotely.
Wishing everyone a safe and Happy Thanksgiving! And one for fun! ”We realize that your business is unique, that is why we provide customized solutions and personal services for EVERY engagement. You deserve it, your employees deserve it, and most importantly, your customers deserve
CercaTrova Consulting provides consultation on the processes and systems required within your organization and financial management system to facilitate the breakout and calculation of the rates unique to your organization.
The following is a very high level overview of determining the Direct and Indirect components of your rate structure.
Government Contractor Rate Structure
Direct and Indirect Costs
Direct costs and rates are rates for costs that can eaisly be quantified within a contract. They include the cost of materials, wages of workers directly assigned to a project, subcontractors, etc. while indirect rates are rates that cannot be calculated without great effort.
You may need to calculate an indirect rate if you are awarded a federal contract (or grant) in which cost is reimbursed. It is a manner of assuring fair and equitable reimbursing across different businesses and organizations. Indirect rates are used for Incurred Costs Proposals.
Indirect cost rates are also known as indirect rates or Facility and Administrative rates (F&A rates). Though the Federal Acquisition Regulations (FAR) will recognize indirect rates grouped in any logical manner, they usually fall into one of three categories:
Common mistakes to avoid… save time & save your sanity ! How to avoid the top mistakes made by new QuickBooks users If you’re new to QuickBooks, now is the time to get off on the right foot. Learn from others’ mistakes and avoid these common problems. You’ll thank yourself later! There are some very common items
An important milestone for government contractors and particularly to negotiated contracts is an adequate cost accounting system. Further, in today’s contracting environment having an adequate accounting system can be a pre-requisite for contracts. Today many Requests For Proposals (RFP) require it.
The need for a compliant accounting system depends on the contractor’s circumstances and contract types. For instance
Welcome to CercaTrova Consulting, LLC. We are here to assist you! Please browse through our services and submit a contact form if you would like further assistance. PROFESSIONAL and PRODUCTIVE comments are always welcome, and all posts will be reviewed to ensure integrity of content. Please be aware it may take 48 hours for your post