Defense, Aerospace & Government Contracting

How to Record Contract Access Card Fees

Recording fees paid for Common Access Cards (CAC) or specialized base access credentials for contractor personnel.

Account NameTypeDebit ($)Credit ($)
Allowable Other Direct Costs (ODC)debit1,500.00-
Accounts Payablecredit-1,500.00

💡 Accountant's Note

Credentialing fees required for contract performance are typically allowable as direct costs if specifically identifiable to the contract.

Practitioner & Systems Framework

💻 ERP Architecture

Link these costs to the specific project/WBS element for the contract requiring access.

⚠️ Audit Flags

Charging personal identification fees that are not contractually required.

📄 Required Documentation

Invoices from government agencies and a list of employees for whom credentials were purchased.

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Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

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