How to Record Invention Reporting Labor
Recording direct labor costs associated with complying with DFARS 252.227-7039 requirements for reporting subject inventions.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Direct Labor - Invention Reporting | Expense | 4,500.00 | - |
| Accrued Payroll | Liability | - | 4,500.00 |
💡 Accountant's Note
Labor spent by engineers and legal staff to prepare and submit DD Form 882 for invention reporting is generally a direct cost to the specific contract that generated the intellectual property.
Practitioner & Systems Framework
💻 ERP Architecture
Use a specific task code under the contract WBS for IP/Invention Disclosure reporting.
⚠️ Audit Flags
Inconsistency between technical milestones (patents) and labor hours recorded for invention reporting.
📄 Required Documentation
Timecards with specific task codes and copies of the submitted DD Form 882.
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Discussion & Community Questions
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