Defense Contract Audit Agency Compensation Audits

摘要

Compensation for personal services is one of the largest components of cost incurred under government contracts. We reviewed audits of compensation costs that totaled more than $3 billion. Compensation includes all remuneration paid currently or accrued, in whatever form and whether paid immediately or deferred, for services rendered by employees to the contractor during the period of contract performance. The Defense Contract Audit Agency (DCAA) assists the administrative contracting officer in accomplishing that responsibility by determining whether the contractor's compensation system is sound, reliable, consistently applied, and results in reasonable costs charged to government contracts.