Tuesday, December 21, 2021

IRS Mileage Rate for 2022

For 2022, the standard mileage rate for business will increase to 58.5 cents per mile from 56 cents per mile in 2021.

The rate for medical and moving will also increase from 16 to 18 cents per mile while the rate for charitable purposes remain at 14 cents per mile.

Thursday, December 16, 2021

Compensation Caps - 2014 - 2022

Yesterday, we published the recently announced contractor compensation cap for calendar year 2022. Here is a listing of the caps since the cost principles were amended to apply to all employees on contracts awarded after June 24, 2014. 

Prior to that date, compensation caps applied variously to 'top five employees in management positions', and 'all employees', depending on the year and whether the contract was awarded by DoD/NASA or a civilian agency. Also, compensation caps back then were much higher, peaking at $1.1 million in 2014. If you still have contracts awarded prior to June 24, 2014, you should become very familiar with FAR 31.205-6(p).


Wednesday, December 15, 2021

Contractor Compensation Cap for 2022

The Office of Federal Procurement Policy (OFPP) recently published the contractor compensation cap amount for 2022. The cap, for costs incurred between January 1 and December 31, 2022 is $589,000 and applies to all employees on contracts awarded after June 24, 2014.

As a reminder, 'compensation' in this context includes wages, salary, bonuses, deferred compensation, and employer contributions to defined contribution pension plans (see FAR 31.205-6(p)(1)(i)).