The direct labor rate is the cost of the labor of your employee per hour. It is derived by taking the total number of hours paid in a year and dividing it into the total amount paid to the employee. In most cases, the number of hours paid is 2080.
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What is a Wrap Rate and How Can It Make Pricing Proposals Easier?
A wrap rate is a simple way to calculate what rate you can charge to the government under a Cost Plus Fixed Fee or Cost Reimbursable contract. The way you calculate the rate you can charge is typically done this way assuming these are the salaries and indirect rates for your company: Salary: $50,000 Direct… Continue reading What is a Wrap Rate and How Can It Make Pricing Proposals Easier?
What is the difference between a Direct Cost and an Indirect Cost?
The FAR clause 31.201-1 reads, “The total cost, including standard costs properly adjusted for applicable variances, of a contract is the sum of the direct and indirect costs allocable to the contract, incurred or to be incurred, plus any allocable cost of money pursuant to 31.205-10, less any allocable credits. In ascertaining what constitutes a cost,… Continue reading What is the difference between a Direct Cost and an Indirect Cost?
Rejection: the kick in the butt we all need
When I was in fifth grade, our class got to try out for the school chorus. All but three kids were selected. Yup. The three not chosen were myself and two boys who didn't want to be in it anyway. It stung because I DID want to be in the choir. How bad could I… Continue reading Rejection: the kick in the butt we all need
The Most Important Element of Success in Business… and its not Talent or Expertise
A few years ago, I was helping someone with their due diligence when they were contemplating purchasing a company. He had hired the best attorneys and accountants to review the books and the contracts of the company and the company had proven to be legally and financially sound. It was fairly certain that the company’s… Continue reading The Most Important Element of Success in Business… and its not Talent or Expertise
Core Values of Management – Discipline, Affirmation and Tools
Over the years of owning and managing my companies, I’ve narrowed the core values of management down to three main concepts. These core values apply whether I am managing an individual, a team, a project or my entire company. They are discipline, affirmation and tools. Let me explain… Discipline Discipline comes in many forms. The… Continue reading Core Values of Management – Discipline, Affirmation and Tools
Proposal Writing: Understanding Benefits vs Features to answer “So What?”
Learn how to write a proposal that wins because it answers the questions the evaluators really want to hear. Its not about you. Its how you are going to make their life better.
