Unallowable costs are a part of every organization, and most are legitimate business expenses incurred by the company. However, when they are not identified correctly, unallowable costs can pose problems for a business and have a negative impact on things like proposals, post awards, incurred cost audits, or even system adequacy reviews. Improving contract profitability and minimizing audit headaches can be as simple as understanding the differences between non-billable costs and unallowable costs. This course will dive into the concepts and principles of unallowable costs, discuss the common issues and regulations as well as share best practices for the treatment of unallowable costs.
After taking this course, you will:
- Become familiar with FAR 31 Cost Principles
- Know common unallowable costs and related issues
- Know best practices for the treatment of unallowable costs
- Understand the impact of unallowable costs on indirect rates
Target Audience: Small business owners, accountants, contract managers