The Myth of DCAA Approved Accounting Software - Part I

If you've ever "Googled" to find accounting software for your company, you've probably seen targeted advertisements from companies selling accounting software that have been approved by the Defense Contract Audit Agency (DCAA). Don't fall for it. Neither DCAA nor the Government "approves" commercial accounting software packages for Government contracting purposes. In reality, practically every system available is being used somewhere for Government contracting purposes; QuickBooks, Peachtree, MAS 90, 200, and 500, Microsoft Dynamics, ACCPAC, Adagio, Deltek, SAP, Oracle and many others. Quickbooks, because of its immense market share might have the largest installed base. There are many companies offering add-ons for QuickBooks and other packages that enhance their functionality for Government contracting purposes but there are plenty of companies that are successfully using just the basic programs. Don't break the bank to buy lots of bells and whistles. Tomorrow, in Part II, we will describe what an "adequate" accounting system needs to accomplish.