For most of us, June is a time for rejoicing! The pool is open, school is almost out, your summer vacation is on the horizon and you can’t wait to tear open that new bag of charcoal for Saturday afternoon’s cookout. However, if you are a government contractor with a December 31st year end,.
As consultants and business advisors to companies in the government contracting arena, we are often asked by our clients: “How are we doing?” These clients are well aware of their profitability, their backlog, and the challenges that they face. What they want to know is how they compare with their competition and how they can.
One of the unique burdens for many businesses contracting with the federal government is the requirement to prepare and submit an incurred cost submission (ICS) within six months after the close of the fiscal year. This requirement is mandatory for contractors providing services on cost plus type contracts in excess of $25,000 and is frequently.
There are a number of incurred cost submission schedules in the Defense Contract Audit Agency’s (DCAA) incurred cost proposal model that do not have to be included with your annual incurred cost proposal submission. But that doesn’t mean you are off the hook! Some of these optional schedules contain information needed to complete the mandatory documentation that goes with your proposal. As well, that optional documentation must be ready when the federal auditors begin their work.
If you haven’t been paying close attention to overtime pay rules lately, now is a good time to start, with support from your accounting professionals. President Obama’s latest charge to the DOL comes on the heels of his directive raising the minimum hourly wage for employees who work for private employers under new U.S. government contracts. Those employees will be paid $10.10 per hour, up from today’s federal minimum wage of $7.25 per hour.