DCAA audits can intimidate even seasoned contractors. But with the right preparation, contractors can navigate these reviews smoothly and reduce risk.
Types of DCAA Audits
Common DCAA audits include:
- Accounting System Audits.
- Incurred Cost Audits (ICE).
- Provisional Billing Rate Reviews.
- Cost Proposal Adequacy Checks.
- Pre-award Surveys (SF 1408).
Contractors often run into trouble due to inconsistent timekeeping, poorly defined indirect rates, weak documentation, or misunderstandings of allowable cost rules.
At Woodard Walker, we help contractors identify their risks before an audit—and connect them with experts who can strengthen systems, policies, and cost practices. Audit readiness isn’t just good for compliance; it helps ensure smooth cash flow and protects your contract margins.
Upcoming: In Blog 6, we will explain how accounting and legal firms can provide regulatory expertise to enable you to win and maintain compliant cost plus accounting systems.
