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GovCon Acronym Decoder

Government contracting runs on shorthand. Search any acronym and get a plain-English definition, when you will run into it, whether you need one, and where it comes from.

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2 of 172 terms matching "Indirect Rate"

Exact match
Indirect Rate
Performance & Payment

Indirect Rate

The rates (fringe, overhead, G&A) that allocate costs you cannot charge directly to a single contract.

When you see it

In every price proposal and every cost audit.

Do you need it

You need defensible rates before you price anything cost-based.

Where it comes from

Your accounting system, tested against FAR Part 31 cost principles.

Indirect Rate
Performance & Payment

Indirect Rate

The rates (fringe, overhead, G&A) that allocate costs you cannot charge directly to a single contract.

When you see it

In every price proposal and every cost audit.

Do you need it

You need defensible rates before you price anything cost-based.

Where it comes from

Your accounting system, tested against FAR Part 31 cost principles.

ICS
Performance & Payment

Incurred Cost Submission

The annual submission of actual indirect rates and costs required on cost-reimbursement and T&M contracts.

When you see it

Six months after your fiscal year end, every year you hold covered contracts.

Do you need it

Yes if you have flexibly priced contracts. Missing it creates real contractual problems.

Where it comes from

FAR 52.216-7.

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