Estimated Read Time: 6 minutes When employees receive pay outside their normal base wages, many companies treat it like just another payroll item. That is where problems start. For government contractors, supplemental wages are not only a payroll tax issue. They also affect labor reporting, indirect rate consistency, compensation allowability, and the overall reliability of your accounting system. If the treatment is inconsistent, what looks like a simple bonus or… Read More
Indirect Rate Automation: Reducing Risk, Improving Accuracy, and Scaling Compliance
GovCon Wednesdays Estimated Read Time: 5 minutes Indirect rates sit at the center of government contract accounting. They affect pricing, provisional billings, incurred cost submissions, and ultimately how much cash your business recovers. Yet for many contractors, indirect rates are still calculated manually often in spreadsheets that live outside the accounting system. As contract volume grows, this approach becomes risky. Indirect rate automation isn’t about adding complexity. It’s about building… Read More
Labor Distribution Controls: The Backbone of DCAA-Compliant Accounting
GovCon Wednesdays Estimated Read Time: 5 minutes Labor is typically the largest cost element on government contracts and the most scrutinized during audits. Even contractors with strong accounting systems can fail reviews if labor distribution controls are weak, undocumented, or inconsistently applied. In GovCon, labor distribution isn’t just about tracking hours. It’s about proving that labor costs are accurate, allocable, approved, and traceable from time entry all the way to billing. This article… Read More
QBO vs ERP for GovCons: Choosing the Right System for Compliance and Growth
GovCon Wednesdays Estimated Read Time: 5 minutes One of the most common questions government contractors ask is deceptively simple: “Is QuickBooks Online enough, or do we need an ERP?” The answer isn’t one-size-fits-all and choosing the wrong system at the wrong time can create compliance risk, billing issues, and expensive rework later. This article breaks down QBO vs ERP for GovCons in a practical, compliance-focused way so you can make the… Read More
SF 1408 Explained Simply: What the Government Is Really Asking
GovCon Wednesdays Estimated Read Time: 5 minutes If you’re bidding on cost-type or flexibly priced government contracts, chances are you’ve heard of SF 1408 and possibly dreaded it. For many contractors, the form feels intimidating, overly technical, or like a pass/fail test they don’t fully understand. In reality, SF 1408 is not meant to trip you up. It’s a structured way for the government to assess whether your accounting system can… Read More
GovCon Accounting Systems & Controls Series #1: What Makes an Accounting System DCAA-Compliant?
GovCon Wednesdays Estimated Read Time: 5 minutes Winning (and keeping) government contracts requires more than competitive pricing and technical expertise. Your accounting system plays a critical role in whether you can bid on cost-type work, bill the government accurately, and withstand audit scrutiny. One of the most common misconceptions we see is this: “DCAA-approved accounting system” isn’t a formal certification. Instead, the Defense Contract Audit Agency evaluates whether your system meets specific criteria designed… Read More