Allowable Cost (FAR 31)-FAR 31.205 Expense Analysis

Example

Reviewing a contractor's submitted expenses for a training seminar to determine if they are allowable under FAR 31.205-44.

Scenario

A defense contractor submits a reimbursement request for expenses related to a cybersecurity training seminar. Allowable Cost evaluates the claim, referencing FAR 31.205-44 (Training and education costs), to ensure the costs are reasonable, allocable, and fall within the set guidelines for allowable education and training expenses.

Example

Determining applicable FAR subsections for a consulting fee claim.

Scenario

When a contractor claims consulting fees, Allowable Cost identifies FAR 31.205-33 (Professional and consultant service costs) as the relevant subsection. It then reviews the documentation provided by the contractor to ensure the fees are reasonable, the services necessary, and that the costs do not exceed any regulatory limitations.

Example

Guiding on necessary documentation for lodging expenses.

Scenario

A contractor claims lodging expenses for an out-of-town project. Allowable Cost advises on the necessary documentation to substantiate these costs, such as invoices and proof of payment, ensuring they comply with FAR 31.205-46 (Travel costs) and do not exceed the GSA per diem rates.

Example

Determining unallowable portions of meal expenses that exceed per diem rates.

Scenario

A contractor's meal expenses during a business trip exceed the GSA per diem rates. Allowable Cost calculates the excess amount as unallowable, providing an estimate of the unallowable portion to ensure accurate and compliant billing to the government.