DCAA Compliance Blog

Your Source for DCAA News and Information for Contractors

ReliAscent® LLC is the only government contract accounting firm that specializes in all aspects of government contracting compliance.  From our DCAA compliant accounting services, to monthly government contract accounting for all government agency awards, contract management & administration, and financial services & planning, our goal is to ensure the success of our clients, and all small business government contractors and grantees.  

In our DCAA Blog, we discuss the latest government contracting news from the Federal Government, the DCAA, and DCMA, as well as promotions offered by ReliAscent, and helpful tools and resources for contractors.

We hope you will visit and take part in the discussions on our blog on a regular basis. If you ever have any questions or would like to discuss how our experts can help, do not hesitate to contact us at any time!  


 

ReliAscent QuickBooks® file review

Posted by Mike Anderson on Tue, Jul 22, 2014 @ 09:55 AM

I often hear people say they want to buy accounting software that is “DCAA Approved”.  Or sometimes they say that they need an accounting system that is “DCAA Approved”.   This is a bit of a misnomer.  First of all, the DCAA does not “approve” software packages nor do they “approve” accounting systems.   A software package may be designed to meet FAR and DCAA requirements, or as it sometimes is referred to, to be “compliant” with DCAA requirements.  As we have discussed in previous blogs, there are accounting software packages out there that are designed to be compliant with DCAA requirements.  There are also accounting software systems that are not designed to be compliant with DCAA requirements but they can usually be incorporated into a compliant system by adding on some external features to cover all of the compliance issues.  These “external systems” usually include things like timekeeping systems, expense reporting systems, indirect rate calculation systems and complete subsidiary job cost reporting systems among others.  Finally, whether the software is designed to meet DCAA requirements or not, the company employing the system must have a set of policies and procedures to support operation of the system in a uniform manner. 

At ReliAscent we realize that a large number of small government contractors use QuickBooks® as their accounting system.  Since QuickBooks® is not designed to meet FAR & DCAA requirements, there must be some add-ons as well as a strong system of policies & procedures in order to have a compliant system. 

The first step in such a system is with the General Ledger system (in this case QuickBooks®).  ReliAscent has been evaluating and making QuickBooks® based systems compliant for over 20 years.  As a small part of the DCAA compliance review, ReliAscent can perform a quick review of the QuickBooks® file to see if it has the set-up capable of being the heart of a compliant system.  Right now ReliAscent is offering this review to small government contractors as a free service.    Of course, in order to evaluate the company’s complete system for compliance (such as would be done in a DCAA Systems Audit), all other components would need to be evaluated as well.  A complete system evaluation would incur charges for the time spent by ReliAscent to perform such a “Mock Audit” of a company’s system.  Having said that, I really think the QuickBooks® review is a powerful tool.  This can quickly tell a company if there are any “gaps” at the core of the system.  It is like building a house, you need a solid foundation on which to start.  If you need a review done, please contact me today to take advantage of this offer.

Topics: QuickBooks, DCAA Compliant Accounting Systems, DCAA Approval, DCAA compliant accounting software