Estimated read time: 6 minutes Key Takeaways Point 1: The Immediate Fix. Timekeeping software only records raw hours; labor distribution translates those hours into compliant general ledger dollars. You must map every time code to a clear financial parameter right at the point of entry under FAR 31.202 standards. Point 2: The Compliance Risk. Letting labor distribution float as an un-reconciled spreadsheet math problem invites immediate defense system failures. Under DFARS 252.242-7005, structural deficiencies in labor… Read More
Payroll Reconciliation
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