Maintaining DCAA Compliance For Your Small Business

Small business contractors working for the Department of Defense (DoD) have a duty to achieve and maintain compliance with strict government regulations and requirements. Failing to do so could endanger a contractor’s current engagement or bar them from applying for and obtaining future federal contract opportunities.

Regulations and requirements specific to contractors are governed and monitored by the Defense Contract Audit Agency (DCAA) and include providing your employees with everything they need to do their jobs with ease and success.

If you are seeking your first or next government contract, we want to help you achieve and maintain the required DCAA compliance for small business owners.

3 Tips and Strategies for Your Small Business to Maintain Continuous DCAA Compliance

The most important thing to remember working with the DOD is how critical it is that you don’t fall behind on DCAA compliance, which primarily entails keeping track of your business finances and your employees’ time tracking to ensure timely regular payments and their ongoing productivity and success.

Our team at Hour Timesheet understands how much you have to think about. With your business’s success in mind, we have compiled our three top tips and strategies to help you keep your small business DCAA compliant to protect your project, small business and future federal prospects.

1. Institute standard policies and procedures for your accounting processes

The best way to prepare for an unanticipated audit is to set yourself up for continuous preparedness by instituting standard policies and procedures to keep everything running smoothly. If everyone is on the same page and can access records essential for audits in an instant, you won’t need to worry about moments of panic and chaos if you get the auditing call or visit.

We recommend that you make it regular practice to organize all invoices, track expenses, account for employee timesheets and check everything twice to ensure optimal efficiency, which can empower your team to maintain DCAA compliance.

2. Back up your pricing for proposals

Each time you create a proposal, you need to bid appropriately and back up your pricing with supporting research results and data. Make this task a priority because, if you have to undergo a DCAA audit, they will want this information, and it’s essential that you can easily provide all the data that supports your requested budget and subsequent uses of the funds.

Create a proposal template that allows you to include critical information, such as contract rates, labor hours and any other costs in an easily accessible way that you can explain to the auditors without hesitation.

3. Work with industry thought leaders who can help you maintain DCAA compliance with confidence

It’s important that you don’t underestimate how vital it is that you can prove you have consistently maintained DCAA timekeeping requirements and guidelines. Our team at Hour Timesheet works daily to continue enhancing our timekeeping software to help you prepare for an audit as if it could happen at any moment. The best part is that you will be prepared if it does, and you can relax in the meantime.

Contact us to learn more about our simple employee time tracking system designed for DCAA compliance.

What Triggers A DCAA Audit?

What Triggers A DCAA Audit?

Because the federal government works on behalf of U.S. taxpayers, it is essential to closely monitor contractor spending for projects. That means that any contractors must understand and comply with certain DCAA audit requirements and regulations to account for spending.

There are times when a contracted business might attract the attention of the Defense Contract Audit Agency (DCAA), triggering a DCAA audit request. As a potential or current contractor for a Department of Defense (DoD) project who must also comply with Department of Labor (DOL), you might be wondering exactly triggers different types of DCAA audits.

Common DCAA Audit Triggers

As a general rule, DCAA audits might focus on your business systems, employee time tracking practices, accuracy of forward pricing and incurred cost representations, and management policies and procedures.There are some additional factors that might trigger a visit from the DCAA.

Let’s explore some specific audit prompts and what you can do to prevent an audit request for them and ensure you always remain prepared just in case.

  1. Failure to follow the prescribed DCAA time tracking policy for employees
  2. Inability to provide document backup or traceability
  3. Budgetary allocations are not accounted for in the contract portfolio and otherwise not available in standard DCAA reports
  4. Incompatible or inaccurate records, which might stem from the inclusion of unapproved or unallowable costs
  5. Lack of adherence to internal controls laid out in the DCAA Contract Audit Manual (CAM)
  6. The detection of operational weaknesses in your system
  7. Any previous detections or findings from DCAA auditors you have not yet fully resolved
  8. Inconsistencies in reporting, regarding data, available funds and documents

Work to maintain a good working relationship with your administrative contracting officer (ACO), contracting officer (CO) and any technical counterparts in the agency. Fostering these relationships can help you understand the DCAA and its mission and requirements better, while letting them know how important maintaining compliance is to you.

What Is the DCAA Audit Process?

There are a few different types of DCAA audits, so each process will vary. Let’s look at each one.

Pre-award audits

Before you even sign the contract, you might undergo an audit that goes over proposal pricing, forward pricing rates and might also include an audit of your accounting system.

Post-award audits

Once the federal government awards your business with a contract, you become subject to post-award audits, focusing on matters related to your contract and any of the triggering events mentioned above.

Contractor business system audits

These audits focus on your business’s internal controls and processes and often include an inspection of your most significant business systems, such as:

  • Accounting
  • Estimating
  • Billing
  • Purchasing
  • Employee timekeeping
  • Inventory and supply management systems

How long does each DCAA audit take?

Each of the different DCAA audits will take different lengths of time based on various factors. At the beginning of each audit, the auditor will conduct a risk assessment that provides the basic scope and anticipated timeline of the audit. Factors that affect the duration of the audit include:

  • Risk
  • Materiality
  • Willingness and cooperation of the contractor to support the audit

How to Request a DCAA Audit

The DCAA does not accept contractor requests for audits and only performs them based on a request or established need from a federal representative or entity.

Hour Timesheet Helps Prevent DCAA Auditing Triggers

Our team at Hour Timesheet understands how important your DoD contract is to your business. We want to help you identify all the triggers and ensure optimal continual compliance with employee time tracking policies and more. Ideally, we can help you avoid ever facing a DCAA audit or ease any worries if you do face one.

Contact us to learn how we can help you stay on track of all your obligations to enjoy this contract and many others in the future.

What Is the Difference Between DCMA and DCAA?

As of December 2021, the Department of Defense (DoD) reported working with approximately 20,000 contractors within the DOD’s area of responsibility.

With so many government contract organizations spread throughout the world, it’s crucial that the U.S. government develops and regularly updates regulations that keep the DoD and contract organizations aligned in their goals and according to government regulations.

If your organization has been awarded a government contract, you need to understand two government contract agencies that require your compliance: DCAA vs. DCMA.

What Is DCAA?

The Defense Contract Audit Agency (DCAA) is a government agency connected to the DoD, working on behalf of various government agencies.

The DCAA functions to ensure consistent compliance with government regulations such as Defense Federal Acquisitions Supplement (DFARS), the Cost Accounting Standards (CAS) and the Federal Acquisition Regulation (FAR).

What Does the DCAA Audit Cover, Entail and Establish?

The DCAA performs regular audits on government contracted organizations to ensure that each one follows the government’s recommendations and regulations to the letter. Every contractor that applies for and is awarded a government contract understands that it could be selected to undergo a DCAA audit at any time.

DCAA compliance means that, per the outcome of the audit, the government contractor follows the federally established guidelines and may proceed with the contract.

Who Needs to Maintain DCAA Compliance?

Every contractor awarded a government contract from the DOD and other government agencies must follow all the federally established laws and guidelines. It is impossible to know if or when a contractor might receive an audit, so it is imperative that contractors commit to continuous compliance.

How to Stay DCAA Compliant

Government contractors must focus on documenting and accounting for various expenditures related to their business, including:

  • Hiring
  • Employee time management and payroll
  • Equipment needs
  • Any other financial factors related to the organization’s ongoing operations

The Risks and Penalties of Non-Compliance

If a government contractor is found to be non-compliant in one or more areas during an audit, they risk not being able to apply for future government contracts offered by the DoD.

What Is DCMA?

The Defense Contract Management Agency (DCMA) focuses on a part of the DoD that works directly with government contractors to ensure the government is getting the most value and highest quality from each mutual engagement. Operating under the direction of the Under Secretary of Defense for Acquisition, Technology and Logistics, the DCMA is a relatively new area and focal point.

The agency manages each contract issued by the DoD and oversees matters like the delivery of materials and disbursement of requested funds for government projects.

The DCMA is more proactive and cooperative, working in tandem with government contractors to ensure mutual success, rather than what is more of an accountability or watchdog function of the DCAA.

The Compliance Requirements for the DCMA

Government contractors must meet certain criteria and expectations to ensure DCMA compliance, including setting and adhering to a specific schedule agreed to in the proposal. They must also prove that they are compliant with agreed upon bookkeeping, time tracking and finances.

The DoD provides each government contractor with at least 32 specific guidelines to follow.

Similar to the DCAA non-compliance penalties, government contractors may lose the ability to apply for and secure future government contracts. Worse penalties involve the cancellation of the current contract.

The DCMA vs. DCAA: How Different Are They?

The DCMA and DCAA primarily differ in the way that each agency interacts with government contractors and the overarching requirements.

Our Time Tracking Software Can Keep You DCAA Compliant Without Worry

Our time tracking solutions at Hour Timesheet can help you achieve and maintain ongoing, pitch perfect DCAA compliance as a government contractor to keep your current contract and receive many more.

If you’re ready to tighten up your time tracking activities and keep the DCAA happy, start your free trial today 

How To Keep Track Of Your Employees’ Hours

Time tracking remains the most effective way to measure your employees’ value to your business. It is also the most practical way to pay them for their commitment and service to your organization. That’s one reason why it is so important to find out how to keep track of employee hours.

Additional benefits of learning how to track employee hours include Defense Contract Audit Agency (DCAA) compliance, accurate payroll reporting, employee performance, time management, project progress, billing clients, and identifying potential issues and problems. Now that we have some thoughts in mind about why employee time tracking is so important, let’s dive deeper into this topic.

How to Keep Track of Employees’ Time

Considering all the benefits of tracking employees’ time, you are probably wondering about the best way to do it. These days, you have plenty of options, ranging from manual pen and paper techniques and desktop timeclocks to comprehensive automated time tracking software programs that do it all.

Like most businesses, you probably don’t have time to take the traditional route and would rather find a user-friendly, high-functioning and customizable software tracking tool. You might find yourself lost in a sea of time tracking technology, requiring guidance regarding what you need along with best practices and standards.

What to Look for in Time Tracking Software

If you are ready to stop asking yourself, “How can I keep track of employee hours?” then finding the right time tracking software is key. Your choice will likely be affected by whether you offer in-house, remote or hybrid workplace models.

You might not know how to start your search with so many software options available. Here are four things to look for in time tracking software.

Payroll Integration

Payroll integration allows your payroll system to sync with other software programs. With integrated payroll capabilities, you can quickly and easily access vital information, including historical time and attendance records, all signed documentation from all employees, information about employees’ benefits and tax details, and workers’ compensation files.

Job Costing

Job costing is a method included in different time tracking software that allows you to track all costs and revenue attached to each project. You can track everything from human resource investments to material costs and more.

Leave Tracking

Leave tracking is a crucial feature included with time tracking software, ensuring that your HR team and employees always know the status of vacation, PTO and sick time. Anyone who has managed leave time manually knows that requests for leave slips can fall through the cracks. Leave tracking also lets employees check their available time to avoid any missteps or confusion before making vacation plans. Finally, time tracking software’s inclusion of leave tracking lets everyone in the office know when an employee is out of the office.

Location Tracking

Employees who work remotely or who are frequently away from their desks can let other workspace members know where they are with location tracking capabilities.

Frequently Asked Questions

Is your software DCAA compliant?

Yes! Hour Timesheet provides detailed audit documentation, manager approvals and daily employee reminders to enter time tracking information, including authorized charge codes.

Will my team still need to do any manual data entry?

You won’t need to do much manual data entry, if any. We have automated and streamlined nearly every facet of employee time tracking.

Our Solutions Will Streamline Your Time Tracking Processes

At Hour Timesheet, our time tracking software will be a game-changer for your payroll department and employees. We offer an integrated system that ties everything together to keep valuable employee information at your fingertips. You won’t need to wonder about how to track employee work hours again.

Schedule Live Demo

Time Management Facts

Facts about Time Tracking

6 Time Management Facts

Despite the mixed feelings on time tracking, having the right time management software can be beneficial to both workers and business. Below are several time management statistics and six facts to help shed some light on the process and its potential value for organizations of all shapes and sizes.

Time Management Defined

First, what does time management refer to? Essentially, it is the use of a system to log and monitor a person’s activities. Many organizations utilize these systems to track employee hours and how they are using their time on the clock. However, it can also refer to tracking personal time through a private app as well as organization-wide project time tracking, which can be much more complex.

1. Time Tracking May Improve Time Management Skills

First on the list of time management facts is that using even a simple software to track time can help hone a person’s time management capabilities. Such self-development gives an advantage to both individuals and companies. For instance, one in eight surveyed people reported they never feel under control at work. However, when armed with effective time management, it’s possible to gain control over the demands of the day through organization and improved productivity.

2. It Identifies Areas of Improvement

Did you know the average employee is only productive for two hours and 23 minutes each day? That means a lot of time is being spent on non-work-related tasks such as browsing social media and making personal calls. Although it may appear to take up time to log the employee’s activities, it works to reveal timeframes or tasks where work is not being executed appropriately.

3. Workers in the U.S. Spend 2.5+ Hours on Emails Daily

Drafting and replying to emails is an essential part of many jobs. That being said, a lot of time is devoted to the task and at times, unjustifiably so. The right time management software could expose such waste and steps can then be taken to reduce squandered time.

4. Employee Timesheet Errors Lead to 50 Million Lost Hours in the U.S.

5. Time of Day Impacts Productivity Levels

According to a 2021 report, productivity rates drop down significantly, all the way to 45%, between the hours of noon and 3 p.m. Freelancers also see a dip, with activity rates falling to 43% between 3-6 p.m.

6. Time Theft Is a Challenge for 75%  of Businesses

Time theft can be a serious problem for any size of business. One study even found it causes U.S. employers to lose $11 billion annually. Fortunately, time tracking has been shown to reduce lapses in productivity up to 80% by combating the various form of time theft, such as buddy punching, finishing early and using work time to engage in personal activities.

Don’t Let Valuable Time Slip Away

These industry facts and statistics only scratch the surface of the potential benefits time management has in store. If you want to see just how effective time management could be for your business, consider upgrading to Hour Timesheet’s innovative time tracking software. Our easy-to-use platform eliminates hours of tedious manual data entry and streamlines your business’s ability to track employee and contractor hours in real time.

Reach out to us today to learn more!

The Benefits of Time Tracking Software

Effective time and task management can make a world of difference within a team or a whole organization. When each team member is on top of things, operations not only run smoother, but overall productivity may see a significant boost.

One common route to enhancing time and task management is through time tracking. Below is a brief look into a few of the many benefits of time tracking software and what it could do for businesses of all sizes.

What Is Time Tracking Software

Available for mobile, desktop or both, time tracking software is a means to track the time, resources and manpower spent on each task or as a collective. An individual, such as a freelancer, may utilize it to keep track of personal efficiency, or it could be employed by an organization to better monitor employee performance.

Depending on the software, a time tracking platform may feature an innovative app, reliable tracking for billable hours and even advanced analytics and reporting. Having these conveniences at hand could help streamline various processes while also ensuring essential tasks are getting done on time.

How else might it be beneficial?

Provides greater organization and prioritization

One of the top advantages of time tracking software is that it could greatly diminish the time it takes to organize a whole list of tasks and put them in order of priority. This is especially true in terms of optimizing daily work and meeting important deadlines. Having a reliable tool to schedule tasks based on importance or even profitability could be very valuable when prioritizing which assignments to finish first and for cutting project costs.

Enhances workflow

Similarly, time tracking software can help a business see the big picture and, therefore, adjust the workflow accordingly. For instance, when provided with an overview of how employees are spending their time, the status of important projects, etc., management could more efficiently rearrange or assign tasks, update coinciding processes and plan for future projects. As a result, employees can focus more on efficiently fulfilling their responsibilities.

Offers effortless integration

Another major advantage and convenience is that most time tracking services can be effortlessly integrated with existing software. In fact, adding this handy tool to your current business or project management software is typically done quickly and with minimal interruption.

Such software can easily connect to payroll processes as well. By integrating data from the time tracking software with the payroll system, a company could gain a more in-depth assessment of its finances and reevaluate costs as needed.

Improves operations through data

Data is an invaluable resource in our modern world. With time tracking software, an organization can amass information surrounding the performance of the team as well as individual members. The data gained may also offer precious insight for future planning. Whether it’s used to refine budgetary expenses or strengthen the team’s collaboration, time tracking data can be a very powerful weapon to have in a business’s arsenal. 

Finding the Right Software for Your Needs

If time tracking sounds like a good fit, consider the professional services available through Hour Timesheet. Our time tracking software features an easy-to-use time tracking app designed to monitor employee and contractor hours in real time. It also tracks leave time, location and third-party approvals as well as billable and non-billable hours.

Contact us today to see just how we can best meet your organization’s needs!

Myths about Time Management Software | Hour Timesheet

Myths about Time Management Software | Hour Timesheet

Time management is essential to your business because it lets you increase the quality of your work and services. Have you ever thought about implementing time management software? This lets you and your employees keep track of the time spent working on various projects and tasks, which can lead to improved productivity and morale. This software can also help your team learn how to make the best use of the day. Let’s dispel some common time management myths. Read on to learn more.

1. Time Management Software Is Too Complex

Don’t believe this myth; time management software isn’t difficult to learn. Although it’s complex in functionality, it’s designed to be easy to use. Individuals usually learn how to use the technology quickly.

While some time management software tools need mastering, others are straightforward. It all depends on finding the right software and/or tools that fit your preferences and needs. In some cases, these tools can be integrated with other productivity programs or apps.

2. Time Management Software Is Costly

Avoiding time management software because it seems too expensive? If so, you’re not alone, however, not all time management software is expensive because most of them are cloud-based. This means it can be paid for monthly as a subscription. Additionally, you may already own free or low-cost options, enabling you to save money.

3. Time Management Software Is Only Suitable for Managers or Specialists

You don’t have to be a manager or IT specialist to use time management software. It can be a helpful and powerful tool for anyone, regardless of one’s position, work status or job experience. It can also help workers monitor progress on tasks as well as stay accountable.

4. Time Management Software Can Be a Distraction

This myth is quite the contrary. In fact, time management software can help employees stay focused on their work and meet deadlines. Doing so helps workers get the most done in the time allotted for each task. This means more productivity and less wasted effort.

Why Choose Us for Your Time Management Software Needs?

Hour Timesheet is proud to provide your small- or medium-sized company with a DCAA compliant time tracking solution that can improve your processes. While complex and robust in functionality, our time management software is easy to use as it has a simple user interface. We can also ensure that you are always in compliance with DCAA timekeeping requirements.

Have a remote workforce? If so, our Hour Timesheet Mobile© app can help your remote workers track breaks, drive time, lunch, employee location and more. It can even integrate with other helpful accounting and HR apps. You can sign up for a free 30-day trail account to try our software. Our experts can even help you setup your account at no extra charge.

If you’re ready to streamline your timekeeping processes, reach out to us today.

Tips for Managing Remote Teams with Time Tracking Software

Not too many years ago, the idea of working from home was met with general skepticism from the business world. Today, however, it seems as though remote work is here to stay. The benefits for employees are numerous, and employers are seeing higher workforce satisfaction as a result.

Despite the advantages it provides, there are some challenges that come from managing a team of remote workers. One of the biggest of these is keeping track of everyone’s hours. Fortunately, time tracking software can help. Hour Timesheet’s powerful platform enables your team to check in from wherever they are and keep you appraised of what they’re doing with regular reports delivered straight to you. To help you make the most of this arrangement, here are some tips for managing remote teams with time tracking software.

Resist the Urge to Micromanage

Just because you’re not physically hovering over employees’ shoulders doesn’t mean you’re not stressing them out. You may be tempted to send regular check-in emails or Slack messages to keep tabs on everyone’s progress, but this can become a real nuisance. Using time tracking software means you can check in with a glance at your dashboard, which makes nagging virtually unnecessary.

Lay Out the Expectations Clearly

One of the most important tips to manage remote teams is to make sure everyone knows what the boundaries are from the outset. Leaving things like start times and lunch breaks vague can encourage some people to take advantage. If you expect everyone to be logged in by 8 am, you need to make that clear immediately and in no uncertain terms. Having a time tracking platform is the easiest way to make sure everyone is holding up their end of the bargain.

Choose a Platform That Integrates With Your Systems

A time tracking solution is not as valuable as it could be if it is siloed from the rest of your processes. That’s why it’s important to choose one that connects with your payroll software and other systems such as QuickBooks. It’s much more likely that everyone will be onboard with regularly using it and not leaving it to gather dust.

Promote Transparency

Implementing time tracking software keeps your team honest and engaged because they will know you can see how they’re spending their time at any given moment. This takes the burden of monitoring them off your shoulders and ensures everyone knows what’s going on at all times.

Why Choose Hour Timesheet?

With a wide range of features including mobile app integration, location tracking and leave time management, our solution is the perfect way to keep your remote workforce on the same page even when they’re not in the same office. Our software is DCAA compliant, meaning you can be sure it fulfills all the highest expectations for government contracts.

To learn more about what we have to offer and how it can benefit your business, reach out to speak with us today or schedule your live demo.

How Does Time Tracking Software Work?

How Does Time Tracking Software Work

With the exception of capital, there is perhaps no more precious resource in the business world than time. Managers and team leaders need to be certain that their employees are using this resource as effectively and efficiently as possible to keep their businesses running smoothly. However, this can be challenging, especially if your team members are working on multiple projects simultaneously.

The process becomes even more complex when you factor in independent contractors who may be contributing to a project. In the past, filling out timesheets and spreadsheets by hand was the only way to account for everyone’s hours. Today, however, time tracking software makes keeping track of what everyone is doing much easier. But how does time tracking software work? Read on to learn more about how Hour Timesheet’s powerful solution can benefit your business.

How the Software Works

When installed and integrated into your existing systems, this type of software allows you to create projects and assign employees to them. On their end, employees log into the platform either on their desktops or through a mobile device such as their smartphones. As they begin work on their assigned tasks, they check in through the software to start tracking the hours they spend. When they’ve completed a task, they mark it as finished.

As the manager or team leader, you can check in through a centralized dashboard to see everyone’s progress in real-time. The application also creates reports that you can download to see all the activity for a specific project, employee or team.

Advantages of Time Tracking

With our solution working to track your employees’ hours, you gain a number of benefits. These include:

  • Increased engagement: When employees are held accountable for how they spend their time, they’re much more likely to stay focused and engaged on their assignments.
  • Reduced errors: Spreadsheets and paper timesheets can introduce human error into the equation. Our automated software prevents costly mistakes.
  • Numerous integrations: By connecting automatically to many of the most popular platforms used by companies today, our time tracking software creates a seamless experience for everyone involved.
  • Streamlined management: Because you don’t have to focus as much of your attention on keeping tabs on your workers, you are free to concentrate on more important aspects of your job.
  • Actionable data: The reports generated by our solutions give you accurate, actionable information you can use to forecast the resources needed for future projects. They also help you understand which contracts are delivering the most return.

Why Choose Hour Timesheet?

We offer you and your employees a wealth of features, including mobile app integration, location tracking and leave time management. Because our software is DCAA compliant, you can be certain that it can satisfy even the most stringent requirements for contractors serving government contracts. By integrating with your payroll through QuickBooks and other popular business platforms, it also provides you with the easiest and most efficient means of tracking everything your employees and contractors have been doing.

If you’d like to learn more about our software or schedule a free trial, get in touch with our representatives today.

Why Is DCAA Compliance Important?

It can’t be overstated just how crucial transparency and accuracy are to your clients. Not only do they count on your expertise, but also they need fair and accurate accounting of your service. This need becomes even more pronounced when working in the public sector for governmental agencies. With taxpayer dollars being used for your services, there’s pressure to ensure that every last cent is being used in the most appropriate manner. This is where the Defense Contract Audit Agency (DCAA) comes into play. DCAA audits contractors who work for the Department of Defense and other government bodies to ensure funding is being spent according to the terms of the contract.

Timekeeping is one of the most critical aspects of your reporting when it comes to government contracts. You need to make sure your records can stand up to the scrutiny of a DCAA audit.  Why is DCAA compliance important, and what steps can your company take in that regard? Read on for answers.

Why DCAA Compliance Matters

In short, the survival of your business could be at stake. Government contracts can be very lucrative, but they come with a host of responsibilities that must be taken seriously. If your organization is audited by DCAA and discrepancies are found in your timekeeping, the results can be disastrous. Not only can you face sanctions and risk your contract being terminated, but you can suffer a loss of reputation that would make it extremely difficult to win future contracts.

What Are the Requirements for DCAA-Compliant Timekeeping?

The onus for keeping accurate and compliant timesheets under DCAA is on employees. Here are the requirements each must follow:

  • Having a time card or unique access to your timekeeping system
  • Only possessing one time card
  • Tracking their own time, without managers or supervisors doing it for them
  • Making adjustments with a description of the changes, date and initials
  • Attributing hours to specific projects
  • Reviewing timesheets for accuracy
  • Preventing payroll accountants from also serving as timesheet administrators
  • Ensuring that employees are subject to unannounced inspections by DCAA to verify their timekeeping

What Are the Consequences for Noncompliance?

Contractors whose employees do not follow the proper procedures are subject to termination of contracts as well as other sanctions. These can include criminal and civil penalties, as well as being listed in the Excluded Parties List System. The latter means the contractor would be barred from receiving government contracts in the future.

How Can My Firm Ensure DCAA Compliance?

One of the best ways to stay out of trouble is to use an automated timekeeping system that allows employees to enter their hours without risk of human error or oversights. Hour Timesheet provides a powerful time-tracking solution that streamlines the process of tracking hours and ensures your firm remains in compliance with even the most stringent standards. Get in touch with us today to learn more about what our software can do for you.