DCAA Compliant Timekeeping Checklist

DCAA Compliant Timekeeping Checklist

Timekeeping continues to be a hot item for key government contract regulators including DCAA Compliance. Adequate timekeeping practices are crucial to successfully securing or maintaining an adequate government contract accounting system. Often deficient timekeeping is the reason for contractors’ failing DCAA accounting system audits. Below the key requirements for compliant timekeeping systems and practices. Electronic timekeeping systems are acceptable provided the key requirements are followed.

The timekeeping system or procedures must be documented in a timekeeping policy or procedure provided to all employees. All of the key elements of an adequate time keeping system must be addressed.

Every employee must record their time daily. Recording time in advance or days after the fact such as at the end of the week is not acceptable.

Time must be charged by day and by project and/or indirect accounts.

Employees must record all time worked on projects to the proper job numbers and codes.

Employees must record all indirect time not identifiable to a given project to proper indirect cost accounts.

Employees must record all vacation, sick, holiday and other leave time to the proper accounts.

Employees must account for all hours worked.All. project names or job codes that appear in the system should be initiated by finance or the system administrator. Project names or codes must be provided to employees authorized to work on a given project.

All time charges must be the employee’s own. All time must be recorded properly based on work completed, irrespective of whether the time is billable or recoverable. Under no circumstance may personnel work on one project and record time to a different project. Under no circumstance may personnel work on indirect tasks and record time as direct costs to a project or vice versa.

Corrections to time entries should only be made by the employee. Corrections are approved by the employee’s supervisor. Under unusual circumstances where the employee cannot make the changes to time sheets then accounting or the administrator may make such changes with the employee’s consent. This exception only applies in rare situations.

All employee time must be approved by the employee’s supervisor.

All employees should be provided at least annual documented time keeping training awareness whether by formal or informal means.

Time sheets and all corrections must be maintained for a period of at least 2 years. However, project records under a government contract must be maintained for audit purposes for a period of three years after final payment. The requirements for record retention are contained in FAR Subpart 4.7.

Periodic monitoring of compliance with time keeping requirements should be conducted by audit or floor checks.

Check out more about DCAA Compliant Timekeeping @ Edward D. Moore, CPA dcaaConsulting LLC

DCAA Compliant Timekeeping Software


DCAA Compliant Timekeeping Software

Advice from the experts

everything needs to be tracked - time spent on overhead tasks, bid and proposals, training, leave (paid or unpaid) and yes, even uncompensated time

timekeeping isn't just for hourly employees - all time worked should be tracked. Both salaried and hourly employees

correction timesheets are okay - budgets change, mistakes are made, people forget.. that's why a documented correction process is imperative

audit trails are the key - with the internet, all things are possible. Anywhere. Anytime. A detailed audit trail captures it all. The time, the place as well as the details

Just saying it doesn't make it true - any software can claim to be DCAA compliant but we don't just say it. We guarantee it. Our experts of 20+ years will make sure!

Having been in the industry for over 25 years, there are a number of key topics that continue to come up when talking with a customer about DCAA compliant time tracking software.  One common theme I hear time and time again is  centered around managing correction timesheets and enabling someone other than an employee to update a timesheet. There are many sources on the web and an unlimited number of resources that are waiting and willing to charge you for FAR training.  Go ahead, do a little "google research" or just ask one of our many referral partners.

Best Timekeeping Software Advice for Small Businesses

Make sure your employee handbook includes a section on timekeeping with specific highlighting honesty and various examples of timekeeping fraud.Train your managers on laws and regulations pertaining to FLSA, overtime and timekeeping fraud.Make everyone accountable. Require 2 sets of signatures. Employees and managers.Schedule internal timesheet audits and communicate objectives to your staff ahead of time.Require employees to sign-off to all changes made to their timesheet by their supervisor and/or management.

Looking for more advice on DCAA compliant timekeeping software? Email us now for more info at sales@hourtimesheet.com

10 Signs You Need Web-Based Timekeeping Software

  1. You spend more than 5 minutes each week tracking down missing employee timesheets
  2. You manually enter employees time into your 3rd party payroll software
  3. Your employees have trouble with basic math
  4. Your non-exempt employees work over 40 hours a week
  5. Your employees bill rate varies from job to job
  6. Your workforce telecommutes
  7. You’ve been known to look for an employee only to remember 2 hours later that they took the day off.
  8. You have that questionable employee who is never around when need him
  9. Your tired of killing trees and wasting paper on printed timesheets
  10. You would rather go to the dentist then process payroll.

Sound familiar? If so, our experts with over 20 years in the Web-based timekeeping industry experience are excited to hear from you. We understand organizations aren't cut from the same mold, that's why Hour Timesheet lets you define your integration needs. Choose from QuickBooks, Paychex, ADP or Deltek....our software lets you connect with just about anyone, anywhere.

Absolutely the best web-based timekeeping software on the market today

The A – Z Of Timekeeping

Audit trail – know where, when & who updated each timesheet entry. Accountability is important.

Back-end business logic – leave the thinking to us. Restrict overtime, late entries, absentees & more.

Correction timesheets –it’s all about the documentation.

DCAA compliant timekeeping software – 25+ years of experience. Take care of your business and leave compliance to us.

Email reminders – daily alerts, your employees can’t forget.

Free trial – 30-day no obligation free trial included when you sign up.

Growing profits – with the price per user so low, you’ll be increasing your bottom line in no time.

Helpful user guides – includes a detailed step-by-step guide of everything you need to know

Integration with payroll – simple one-click timesheet imports to top 3rd party payroll solutions

Job tracking – stay informed. The who, what when and why of project management.

Knowledge base – easy to access on our website.

Leave management – let us track your employee leave balances.  Delete that excel spreadsheet.

Manager approvals – sign one or sign them all. Supervisors will find this task easy as pie.

No credit card required – no obligations when you sign up for the free 1-month trial.

Overtime tracking – take control of your employees. No more surprises after payroll processing

Price - $3/user with a 10-user minimum.

QuickBooks compatible – simple integration with online and desktop versions.

Rely on use – your timekeeping experts.

Summary of hours – fingers & toes aren’t needed. We provide a simple graphical interface for you.

Timesheet options – weekly, biweekly, semi-monthly and monthly. You choose.

Uncompensated pay – track all your employee time, know where those extra hours are going.

Vendor tracking – tracking 1099’s is simple. Contractors, consultants are both included.

Web-based access – anywhere, anytime. All you need is the internet.

X-tra care –our support team loves to help and we look forward to exceeding your expectations.

You won’t regret it – sign up now and see what everyone else is talking about. It’s almost too easy!

Zero cost for 30-days – Once again…. why not give us a try? We guarantee you’ll love it.

Timekeeping Is Crucial To Your Business. Learn Why!

Why is time so important to a business? We pay our employees by time, we bill our clients by time. Our vacations are tracked by time. All successful businesses know how to manage time! It starts with web-based time tracking. With a good time and attendance tool, employers have access to tardy employees, attendance tracking, job costing and instant payroll summary information. Think about it. How much time does your payroll staff spend on the following?

  1. Correcting math errors on timesheets
  2. Tracking down late timesheets
  3. Manually entering employee payroll data

With the correct time and attendance tool, these tasks are simple. Let technology work for you. Work smarter…. not harder.  Hour Timesheet was created for you; with your origination in mind. We have created a simplified solution that captures your complex situations. Give us a try FREE for 30 days. No credit card required. Our experts with over 20 years of industry experience are waiting to hear from you now.  Hour Timesheet includes a QuickBooks timesheet import sync that makes your payroll process a snap!