Government Contractor Accounting Services

    Government contracting demands an accounting system that can withstand DCAA scrutiny. We set up and maintain compliant cost accounting systems, develop indirect cost rate structures, prepare incurred cost submissions, and keep you audit-ready from pre-award through closeout. Whether you hold your first small business set-aside or manage a portfolio of cost-type contracts, our team ensures every dollar is properly allocated, allowable, and documented.

    What's Included

    DCAA-compliant accounting system setup and maintenance
    Indirect cost rate structure development (fringe, overhead, G&A)
    Annual incurred cost submission preparation (ICE model)
    FAR Part 31 cost allowability analysis
    SF 1408 pre-award accounting system survey preparation
    Job cost accounting and contract-level profitability tracking
    Timekeeping system review and compliance verification
    Provisional billing rate calculation and monitoring
    Contract closeout and final rate reconciliation
    DCAA audit support and response
    Government contract budgeting and forward pricing

    Who This Is For

    First-Time Government Contractors

    You have won or are pursuing your first federal contract and need to establish a DCAA-adequate accounting system before the pre-award survey. We set you up correctly from day one so you pass the SF 1408 review.

    Small Business Set-Aside Holders

    You hold 8(a), HUBZone, SDVOSB, or WOSB contracts and need compliant accounting without the overhead of a full in-house finance team. We serve as your outsourced government contract accounting department.

    Cost-Type & T&M Contractors

    Your contracts require provisional billing rates, incurred cost submissions, and the ability to demonstrate that every charged cost is allowable, allocable, and reasonable under FAR Part 31.

    Growing GovCon Firms

    You are scaling from one contract to multiple awards across agencies and need indirect rate structures that maximize recovery without triggering compliance issues during rate audits.

    Our Process

    1

    Compliance Assessment

    We evaluate your current accounting system against the SF 1408 criteria and FAR 16.301-3 requirements. You receive a detailed gap analysis showing exactly what needs to change for full DCAA compliance, along with a prioritized implementation plan.

    2

    System Setup & Rate Structure

    We configure your chart of accounts, cost pools, and indirect rate structure in QuickBooks or your ERP. This includes establishing fringe, overhead, and G&A pools, defining allocation bases, and setting up job cost tracking by contract and CLIN.

    3

    Ongoing Compliance & Reporting

    Each month we reconcile your books, verify labor distributions, review cost allowability, and produce contract-level financial reports. We monitor provisional versus actual rates and alert you to variances that could affect billings or cash flow.

    4

    Incurred Cost Submission & Audit Support

    We prepare your annual incurred cost submission within the six-month deadline, reconcile all schedules to your general ledger, and represent you through DCAA desk reviews or full audits.

    Why Choose Your Virtual CPA

    Specialized experience with DCAA audits, incurred cost submissions, and rate negotiations
    Deep knowledge of FAR Part 31 cost principles and CAS requirements
    SF 1408 pre-award survey preparation with a track record of first-time approvals
    Indirect rate structures designed to maximize cost recovery while staying compliant
    Seamless support from pre-award through contract closeout
    Remote service delivery so you get GovCon accounting expertise without geographic limitations

    Frequently Asked Questions

    Serving the DMV and Beyond

    Available in Washington DC, Maryland, Virginia, and all 50 states.

    Ready to Get Started?

    Schedule a free consultation to discuss your government contractor accounting needs.