Redstone Government Consulting Blog | Quickbooks

The chart of accounts is one of the earliest decisions made when setting up an accounting system, and for government contractors, it is one of the most consequential. What looks like a basic bookkeeping choice at implementation often shapes reporting quality, cost visibility, and compliance capacity long after the business has grown.

Most QuickBooks setups look perfectly functional at first glance. Transactions flow in, reports are generated, and the books balance. For a small commercial business, that may be all that is needed. But government contractors often find out the hard way that a system that appears to be working is not actually built for the work they do.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks

Closing out the year is an important step in your accounting cycle, and it should involve more than just “closing the books.” For government contractors, year-end is about ensuring your financials are accurate, compliant, and audit-ready, not just for tax purposes, but to support ongoing contract and regulatory requirements.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks, Federal Acquisition Regulation (FAR)

Government contracting entails unique accounting requirements that go far beyond basic bookkeeping. There are compliance rules, complex cost pools, and sometimes razor-thin margins, which means the stakes are too high for “good enough.” Errors in cost allocation, indirect rates, or contract setup can create audit findings, repayment demands, or unexpected losses, yet hiring an in-house controller or CFO with the right expertise can be costly and difficult to justify for many small and mid-sized firms.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks, Organizational Change Management Consulting

Government contractors deal with a unique set of rules when it comes to expenses. FAR Part 31 lays out the specific guidelines on what you can and cannot charge to the government. If unallowable costs slip through, you could face compliance problems or see expenses disallowed in an audit.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks, Government Regulations, Federal Acquisition Regulation (FAR)

You’ve won the contract; the work is underway (or even finished), but how do you actually get paid? Billing the federal government is an entirely separate process, often more complex than the work itself (if you let it be). Between compliance requirements, strict documentation rules, and lengthy payment terms, it’s no surprise that payment delays are one of the most common (and costly) frustrations in this space.

Here are the biggest billing challenges we see and how to stay ahead of them, so your cash flow doesn’t take a hit.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks

Government contracts can be a great opportunity. They often come with stability, a steady income, and the chance to scale your business. But they also come with strings attached: a detailed set of rules and expectations, especially when it comes to your accounting. Unfortunately, many government contractors learn about those rules the hard way, which is after they’ve already made a mistake. In this article, we’ll walk through some of the most common accounting mistakes that can derail even experienced contractors, cost you money, or worse, jeopardize your contracts.

Topics: Accounting System Compliance, Incurred Cost Proposal Submission (ICP/ICE), Small Business Compliance, DCAA Audit Support, Quickbooks, Government Regulations, Federal Acquisition Regulation (FAR)

Government contracting moves fast and brings with it a dense web of compliance requirements. For small to mid-sized contractors, staying compliant with Federal Acquisition Regulation (FAR), Defense Contract Audit Agency (DCAA) standards, and other regulations, while also focusing on growth, can feel like solving a puzzle with missing and shifting pieces. Each contract award introduces new requirements for cost tracking, timekeeping, reporting, and audit readiness, often with little room for error. What’s more, evolving guidance, shifting contract types, and limited internal resources can make it difficult to build a financial infrastructure that both supports operations and withstands government oversight. Without the right support, compliance gaps can go unnoticed until it’s too late.

Topics: Accounting System Compliance, Small Business Compliance, DCAA Audit Support, Quickbooks

Time tracking isn’t just an HR or project management issue for government contractors, it’s a critical accounting function. Accurate timekeeping feeds directly into everything from billing and financial statements to compliance and audit readiness. Let’s explain why this matters for your business, especially through the accounting lens.

Topics: Accounting System Compliance, Small Business Compliance, DCAA Audit Support, Quickbooks

Job costing involves tracking all expenses related to a specific job or project, including materials, labor, subcontractors, travel, and various other costs. For government contractors, this is especially crucial. In the context of payroll, job costing means taking each labor dollar and accurately allocating it to the appropriate cost pool and project. So, theoretically, all you need to do is set up a few projects, establish a DCAA-compliant chart of accounts, ensure you're following FAR Part 31 cost principles, and you’re ready to go, right? Unfortunately, it’s not that simple.

Topics: Accounting System Compliance, Incurred Cost Proposal Submission (ICP/ICE), Small Business Compliance, Quickbooks, Federal Acquisition Regulation (FAR)

QuickBooks Online, while not specifically designed for government contractors, is still considered a compliant software for government contractors. It can also handle the setup of any type of contract that you may be awarded. The process is straightforward, but there are some key considerations that need to be made before diving in headfirst into your project setup.

Topics: Accounting System Compliance, Small Business Compliance, Quickbooks