How do you setup my business in QuickBooks as a government contractor?

Hi, coreoneent-yahoo. I can help share some insights about this in QBO.

You may need a third-party application for this program to be compliant with the Defense Contract Audit Agency (DCAA). You can use the Apps menu in your QuickBooks Online (QBO) account.

Please follow these steps:

1. Go to the Apps tab from the left panel.
2. Search for GovCon Connect.

The app supports government contractors to have DCAA compliant accounting system for indirect rate and project management. 

Moreover, I highly suggest consulting your accountant for guidance to ensure the accuracy of your books.

As always, the Community is here to help.

The keys to Compliance include the following:

- Time-keeping posted daily with required explanations for edits and record locking, can be pre-printed time-sheets or one of several digital solutions

- Policies & Procedures oriented toward FAR Compliance Criteria found in DCAA's SF-1408 pre-award audit checklist

- Consistently applied Labor $ Distribution accommodating uncompensated OT for salary exempt personnel

- Cogent Indirect Cost Pools and the ability to compute and forecast Indirect Rates applied to Direct Costs under Cost Reimbursable Awards

- Progress billing + Cumulative $ values reported against award ceilings tied to cost proposals

- Identification and segregation of Unallowable Costs as defined per FAR 31.205

Reach out if I can be of any service. The QBO people are not versed in the nuances and  requirements of FAR Compliance. The important aspect for QBO is Job Costing which simply means the ability to charge Direct Costs to Customers and Sub-Customers for proper reporting.

solutions at dcaa-assist dot com

www.dcaa-assist.com