Federal Cost Accounting | DCAA Compliance Experts

Avoid risk and tap into our experience.

Bringing you our unique expertise in GovCon accounting and grant management.

Many small and mid-sized government contractors often struggle with managing their accounting effectively, especially when it comes to ensuring accurate allocation of costs to contracts. In many cases, both CPAs and internal accountants lack the necessary experience in dealing with government contracts and federal grants. This deficiency puts organizations at a significant risk for following incorrect or inefficient accounting practices, potentially leading to penalties or return of funds.

For some of our clients, addressing this accounting gap is their primary need. However, others opt for a comprehensive solution by outsourcing their entire accounting function, including contract accounting, to firms like ours who can also provide a fractional CFO. This strategic decision aims to guarantee ongoing compliance with the stringent requirements of agencies like the Defense Contract Audit Agency (DCAA) and Office of Audit Services throughout the contract's duration.

Want to win more government contracts?

The federal government retains rights to officially audit the financial information of their contract recipients and grantees, as contractors’ are responsible for adherence to FAR regulations and various other contract clauses. Consequently, it is imperative that your accounting practices align perfectly with these regulations and requirements. Ensuring compliance is essential for your ability to continue bidding for, and winning, government contracts.

Federal Cost Accounting Services

Restructure accounting and procurement systems to track federal grant funds, related conditions, restrictions, and barriers to revenue recognition
Monitor spending against awarded funds, including budget to actual variances
Invoicing and drawdown of grant funds, tracking to award maximums and by budgetary line items
Drafting negotiated indirect cost rates for full reimbursement of indirect costs
Finop accounting

Verify appropriate expenses to contracts or funds (allowable, unallowable, direct, and indirect), and track matching funds
Coordinate budget revisions or amendments
Prepare timely, fund-specific financial reporting as required for contracts or grants through closeout
SBIR and STTR contract management
Fractional CFO
Finance as a Service