GovCon Intelligence

The FY2026 NDAA raises the full CAS coverage threshold from $50M to $100M and the TINA threshold from $2.5M to $10M. Mid-size government contractors face a narrow window to update their accounting systems, disclosure statements, and pricing strategies before the June 2026 effective date.

Small government contractors running QuickBooks need a specific set of monthly financial reports to monitor profitability, indirect rate variance, and DCAA compliance. Amerifusion Bookkeeping breaks down the 8 reports, the KPIs inside each one, and the warning signs that signal trouble before an auditor does.

DCAA floor checks now extend to remote and hybrid employees through phone and video interviews. Government contractors need documented work-at-home policies, trained staff, and virtual-ready timekeeping systems to pass.

QuickBooks works for early-stage government contractors, but growth creates gaps it was never designed to fill. Eight warning signs signal the need for purpose-built GovCon software.

Each government contract type demands a different book structure in QuickBooks. FFP contracts track revenue against milestones. Cost-plus contracts require full cost segregation and DCAA-adequate systems. T&M contracts need labor category rate tables and dual billing logic.

Provisional billing rates let government contractors bill indirect costs on cost-reimbursable contracts before final rates are established. First-time contractors must build rate proposals from budgeted costs, submit to DCAA or the ACO before the fiscal year begins, and monitor rates against actuals throughout the year.

Government contractors bill the federal government through three indirect rate pools: fringe, overhead, and G&A. Each pool captures different cost types, uses a different allocation base, and carries different DCAA audit risk. Getting the pools wrong inflates your rates, misallocates costs, and draws audit findings.

New government contractors repeat the same accounting mistakes year after year. Each one inflates billings, triggers audit findings, or disqualifies the contractor from cost-reimbursable work entirely. Amerifusion Bookkeeping identifies the seven costliest errors and how to fix them before DCAA arrives.

QuickBooks ships with a commercial chart of accounts that fails every DCAA requirement. Government contractors need direct cost accounts by contract, indirect cost pools, and unallowable cost segregation. This guide provides a ready-to-use template with 30+ accounts and step-by-step QuickBooks configuration instructions.

Every government contractor with a flexibly-priced contract must file an incurred cost submission within six months of their fiscal year end. This guide covers the required schedules, common rejection mistakes, and a month-by-month preparation timeline.