Indirect Cost Allocation Tool for Government Contactors using QuickBooks

Budget and Provisional Rate Development

Know your costs so you can end the year in the black.

ICAT Advanced’s Budget Development and Provisional Indirect Rates feature enables you to develop a budget to support your Forward Pricing Rate Proposal. A well-developed budget gives management a powerful tool to quantify the indirect costs that must be recovered with contract revenues during the budget period, and insights for more competitive pricing. With ICAT Budgets you can exert far greater command and control over accounting system management.

How it works

ICAT’s budget function was designed to give government contractors a flexible framework for granular budget development and determining provisional indirect rates

Granular Budget Development

Map out a financial blueprint for future periods:

  • Import cost data directly from QuickBooks as a basis for budgeting the new year
  • Assign an escalation rate to prior year costs, or modify specific costs by unique conditions or timeframe
  • Project Labor Costs, including Benefits and Bonuses
  • Assign Direct Costs to Contracts
  • Identify Indirect Cost Pools

Provisional Rate Development

Establish budgetary support for your Provisional Indirect Rate Proposal:

  • Calculate Provisional Indirect Rates from budgeted costs
  • Develop and Submit your Provisional Indirect Rate Proposal
  • Include/Exclude Proposal Data to see how winning new work will impacct Indirect Rates

Budget Module Reporting

Gain insights throughout the year:

  • View Budget vs. Actual Reports
  • View remaining contract hours and amounts month-to-month
  • Track your burn schedule throughout the year
  • Generate an Organizational Chart from personnel data

Why Budget?

Throughout the budget process, management must make reasonable assumptions regarding the volume of business to be performed, expansion of facilities, as well as the rising costs of items such as rents, health care benefits, and general inflation.
Once a budget is produced, management will have a tool to:

  • Quantify the indirect costs that must be recovered with contract revenues during the budget period
  • Evaluate the sufficiency of the Company’s existing backlog of work
  • Make estimates for new work that will be awarded
  • Develop and submit a Provisional Indirect Rate Proposal