Defense, Aerospace & Government Contracting

How to Record OCONUS Temporary Quarters

Records the allowable costs for temporary lodging and subsistence (TQSE) for employees relocating for an overseas government contract.

Account NameTypeDebit ($)Credit ($)
Allowable Relocation Expense - TQSEExpense6,200.00-
Accrued LiabilitiesLiability-6,200.00

💡 Accountant's Note

Under FAR 31.205-35, temporary quarters subsistence expenses are allowable within specified limits (usually 30-60 days) for relocated employees.

Practitioner & Systems Framework

💻 ERP Architecture

Use a unique pay code for relocation-related subsistence to differentiate from standard business travel per diem.

⚠️ Audit Flags

Claims for TQSE exceeding the time limits specified in the contractor's written relocation policy.

📄 Required Documentation

Employee relocation agreement, itemized lodging receipts, and per diem calculations.

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Expert Analysis by Qusai Ahmad

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

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