DCAA Compliance Time Tracking

Overview

DCAA (Defense Contract Audit Agency) compliance requires government contractors to maintain rigorous time tracking systems that meet specific audit standards for labor hour accountability.

Key Requirements

Contemporaneous Recording

• Record time daily as work is performed
• No retroactive time entry
• Same-day documentation
• Accurate to task level

Detailed Documentation

• Specific contract/project codes
• Task descriptions
• Hours by category (direct, indirect, overhead)
• Overtime separately tracked
• Leave time documented

Audit Trail

• Who entered time
• When it was entered
• Any modifications logged
• Approval chain documented
• Tamper-proof records

Supervisor Approval

• Manager review required
• Approval documented
• Timely approval (weekly)
• Exception handling

Prohibited Practices

• Rounding time entries
• Estimating or averaging
• Retroactive entry
• Buddy punching
• Unapproved changes
• Generic descriptions

Software Requirements

DCAA-compliant systems must have:

• Daily time entry capability
• Electronic signatures
• Audit trail logging
• Supervisor approval workflow
• Report generation
• Secure data storage
• User access controls

Common Vendors

• Deltek Costpoint
• Unanet
• Replicon
• BigTime
• Journyx

Consequences of Non-Compliance

• Contract payment withheld
• Audit findings
• Increased oversight
• Contract termination
• Suspension/debarment
• False claims penalties