CHART OF ACCOUNTS
PDSI · GovCon FAR Part 31 Compliant
CHART OF ACCOUNTS
Complete GovCon-specific chart of accounts · Load directly into QuickBooks · DCAA compliant · FAR Part 31 cost structure
💡 How to Use This Chart of Accounts
QuickBooks Setup: In QuickBooks Online, go to Accounting → Chart of Accounts → New. Enter each account number and name exactly as shown. Select the account type and detail type that matches.
Account Numbers: The numbering system (1000s through 9000s) is the standard GovCon structure. Your CPA and bookkeeper will recognize it immediately. DCAA auditors expect this structure.
Unallowable accounts: The 9000s series tracks costs that exist but cannot be billed to the government. You still track them — just don't put them in your overhead pool when calculating rates.
Import file: Click Export COA above to download a CSV file you can import directly into QuickBooks Online without manually entering each account.
| Acct # | Account Name | Type | QB Category | FAR Reference | GovCon Purpose |
|---|
COA · Balance Sheet
ASSETS — 1000s
What PDSI owns · Cash · Receivables · Equipment · Deposits
| Acct # | Account Name | Type | Purpose |
|---|
COA · Balance Sheet
LIABILITIES — 2000s
What PDSI owes · Accounts payable · Payroll liabilities · Loans
| Acct # | Account Name | Type | Purpose |
|---|
COA · Balance Sheet
EQUITY — 3000s
Owner's stake · Retained earnings · Capital contributions
| Acct # | Account Name | Type | Purpose |
|---|
COA · Income
REVENUE — 4000s
Contract revenue · Fee income · Grant income · All money coming in
| Acct # | Account Name | Type | Purpose |
|---|
COA · Direct Cost Pool
DIRECT COSTS — 5000s
Costs charged directly to contracts · Labor · Materials · Subcontractors · Travel
⚡ What Are Direct Costs?
Direct costs are expenses that can be specifically identified with a particular contract. Every direct cost needs a contract number attached to it. These are what you bill the government for — they flow straight into your invoices. Key rule: If a cost benefits multiple contracts, it's indirect (overhead). If it benefits only one contract, it's direct.
| Acct # | Account Name | FAR Ref | Purpose / Notes |
|---|
COA · Fringe Benefits Pool
FRINGE BENEFITS — 6000s
Employee benefits costs · Applied as a rate on direct labor
⚡ How Fringe Works in GovCon
Fringe benefits are tracked separately because they're recovered through your fringe benefit rate — calculated as total fringe costs ÷ total direct labor. Every time an employee charges an hour to a contract, you also recover fringe on top of that labor rate. This is why GovCon bid rates look higher than just the hourly wage — the rate includes fringe.
| Acct # | Account Name | FAR Ref | Purpose / Notes |
|---|
COA · Overhead Pool
OVERHEAD — 7000s
Indirect costs that support contracts but can't be charged directly · Applied via overhead rate
⚡ What Goes in Overhead?
Overhead costs support your contract work but can't be traced to a specific contract. Things like the office rent, utilities, shared equipment, project managers who support multiple contracts. These costs get recovered through your overhead rate — a percentage applied on top of direct labor on every invoice. Overhead rate = Total overhead pool ÷ Total direct labor base.
| Acct # | Account Name | FAR Ref | Purpose / Notes |
|---|
COA · G&A Pool
G&A EXPENSES — 8000s
General & Administrative costs · Running the business overall · Applied via G&A rate
⚡ G&A vs Overhead — The Difference
G&A costs support the entire business — not just the contract work. CEO salary, legal fees, accounting, business development, strategic planning. G&A rate = Total G&A pool ÷ Total cost input (all direct + fringe + overhead costs). G&A is the last rate applied in the billing structure. Think of it this way: Overhead supports the projects. G&A supports the company.
| Acct # | Account Name | FAR Ref | Purpose / Notes |
|---|
COA · Unallowable Costs
UNALLOWABLE — 9000s
Costs you must track but CANNOT bill to the government · Critical for DCAA compliance
🚨 Why You Must Track These Separately
DCAA auditors specifically look for unallowable costs mixed into your overhead or G&A pools. If they find entertainment or lobbying costs buried in your indirect rates, they will disallow them AND assess penalties. By putting them in the 9000s series, you're showing DCAA that you know the rules and you're following them. Track them, don't bill them, don't include them in your indirect rate calculations.
| Acct # | Account Name | FAR Ref | Why Unallowable |
|---|
Banking · Account Linking
BANK LINKING GUIDE
How to connect your PDSI bank accounts · When to do it · Which tools to use
⏱️ WHEN TO LINK BANKS — THE RIGHT ORDER
STEP 1 — BEFORE LINKING
Open the bank account first. Mercury, Chase, or Bank of America — EIN only, no personal guaranty. Must be active and have your first deposit before linking to any software. Do this this week.
STEP 2 — GET QUICKBOOKS FIRST
Set up QuickBooks Online Simple Start ($35/mo) before linking banks. Enter your chart of accounts. Then connect your bank — QB will import 90 days of transactions automatically.
STEP 3 — LINK AND CATEGORIZE
Once connected, QB will suggest categories for each transaction. You or your bookkeeper review and approve. QB learns your patterns over time. Bank balance in QB always matches real bank balance.
🏦 PDSI Bank Accounts to Link
PDSI Business Checking
Mercury or Chase · Primary operating account · All government payments received here · All payroll goes out here
Link First
PDSI Business Savings
Same bank as checking · 60–90 day reserve · Link to QB for visibility but set rules to not touch it
Link Second
PDSI Business Credit Card
Chase Ink or Amex Business · Pay monthly · Link to QB so all expenses are automatically imported · No manual entry needed
Link When Active
🔗 How Bank Linking Actually Works
QuickBooks Online (Recommended):
Banking → Connect Account → Search your bank → Login with bank credentials → Transactions import automatically every day. QB uses Plaid (trusted bank connector) — same tech as Venmo and Cash App.
What your bookkeeper sees:
Every transaction appears in QB as "uncategorized." Bookkeeper reviews each one weekly, assigns to the correct COA account number, notes the contract if direct cost. After 2–3 months QB auto-categorizes most transactions correctly.
Security:
Bank linking is read-only. QB can see transactions but cannot move money. Your bank login credentials are encrypted by Plaid — QB never sees your password.
Banking → Connect Account → Search your bank → Login with bank credentials → Transactions import automatically every day. QB uses Plaid (trusted bank connector) — same tech as Venmo and Cash App.
What your bookkeeper sees:
Every transaction appears in QB as "uncategorized." Bookkeeper reviews each one weekly, assigns to the correct COA account number, notes the contract if direct cost. After 2–3 months QB auto-categorizes most transactions correctly.
Security:
Bank linking is read-only. QB can see transactions but cannot move money. Your bank login credentials are encrypted by Plaid — QB never sees your password.
📊 QuickBooks vs Free Options — What PDSI Needs Now
| Tool | Cost | Best For | Bank Linking? | GovCon COA? | Recommendation |
|---|---|---|---|---|---|
| QuickBooks Online Simple Start | $35/mo | 1 user · Basic invoicing · 1 business | Yes | Manual setup | START HERE |
| QuickBooks Online Essentials | $65/mo | 3 users · Bills + payments · Bookkeeper access | Yes | Manual setup | When you add bookkeeper |
| QuickBooks Online Plus | $99/mo | 5 users · Project tracking · Class tracking | Yes | Class = Contract | Best for GovCon |
| Wave Accounting | Free | Solo operator · Simple invoicing | Yes | No | Stopgap only |
| Deltek Costpoint | $15K+/yr | Full GovCon ERP · 50+ employees | Yes | Built-in | When $5M+ revenue |
Banking · Monthly Process
RECONCILIATION
Match QB to bank statements every month · Required for DCAA · Required for your CPA
📅 Monthly Bank Reconciliation — How It Works
WEEK 1 OF EACH MONTH
Bookkeeper downloads prior month bank statement. Opens QB reconciliation tool. Matches every transaction. Flags anything in QB that's not on bank statement (or vice versa).
WHAT THEY FIND
Outstanding checks (written but not cashed). Bank fees not in QB. Timing differences on deposits. Errors — things entered twice or wrong amount. These all get corrected before reconciliation closes.
WHEN IT'S DONE
QB balance = Bank statement balance exactly. Difference = $0.00. QB generates a reconciliation report. That report is filed and kept for DCAA if ever audited. Never skip a month — gaps create problems.
YOUR ROLE AS CEO
Review the reconciled P&L on the 10th of each month. Approve it. Ask your bookkeeper: "Any unusual items?" "Any unallowable costs that got coded wrong?" 15 minutes a month keeps everything clean.
Security · User Management
LOGIN & ACCESS CONTROL
Yes — you absolutely need login access for all systems · Here's exactly how to set it up
✅ YES — YOU NEED LOGIN ACCESS FOR ALL YOUR SYSTEMS · HERE'S THE HONEST ANSWER
Every platform you've built or are building needs controlled login access. Here's why: Right now every platform is just an HTML file that anyone with the link can see. As you add real financial data, employee records, and contract information — that data needs to be behind a login. Here's the complete access control strategy for PDSI at your current stage:
👥 PDSI ACCESS ROLES — Who Gets What
RM
R. Darrell Mack
President & CEO · Owner · Founder
ADMIN ACCESS · ALL SYSTEMS · ALL DATA
View All
Edit All
Delete
Export
Bank Data
Payroll
Add Users
BK
Bookkeeper (Part-time / Virtual)
Financial data entry · Bank reconciliation · Invoice management
LIMITED ACCESS · QB + INVOICES + EXPENSES ONLY
QuickBooks
Invoices
Expenses
Bank (Read)
Payroll
Contracts
Personnel
Add Users
CP
CPA / Accountant (Monthly or Quarterly)
Tax strategy · Financial statements · DCAA support · Overhead rates
READ-ONLY ACCESS · QB REPORTS + PAYROLL + TAX DATA
QB Reports
P&L
Balance Sheet
Payroll Data
Edit Any Data
Bank Login
Add Users
PM
Program Manager / Contract Staff
Time entries · Task management · Contract documents
LIMITED · TIMESHEETS + ASSIGNED CONTRACTS ONLY
Time Entry
Own Contracts
Financial Data
Bank
Payroll
Other Staff
🔐 How to Add Login to Your PDSI Platforms
Right now (rebuilding phase) — Free options:
Option 1: Cloudflare Access (Recommended — Free)
Since your platforms are on Cloudflare Pages, you can add Cloudflare Access for free. It puts a login screen in front of any domain. You control who gets access via email invite. No coding required.
→ cloudflare.com → Access → Add Application → Select your domain → Add email addresses for each user
Option 2: Password protection on Cloudflare Pages
Simpler — single shared password for each platform. You give different passwords to different people. Basic but works for rebuilding phase.
Option 3: Google/Microsoft OAuth (Cloudflare Access)
Users log in with their Google or Microsoft account. You whitelist specific email addresses. Clean and professional.
Set Up Cloudflare Access →
Option 1: Cloudflare Access (Recommended — Free)
Since your platforms are on Cloudflare Pages, you can add Cloudflare Access for free. It puts a login screen in front of any domain. You control who gets access via email invite. No coding required.
→ cloudflare.com → Access → Add Application → Select your domain → Add email addresses for each user
Option 2: Password protection on Cloudflare Pages
Simpler — single shared password for each platform. You give different passwords to different people. Basic but works for rebuilding phase.
Option 3: Google/Microsoft OAuth (Cloudflare Access)
Users log in with their Google or Microsoft account. You whitelist specific email addresses. Clean and professional.
🔑 Platform Password Manager
Use 1Password Teams or Bitwarden Business to manage all PDSI platform credentials. Share specific passwords with specific team members. Revoke access instantly when someone leaves. Both have audit logs showing who accessed what.
Bitwarden Business — $3/user/month. Open source. Excellent GovCon choice.
1Password Teams — $4/user/month. Best UX. Most popular.
Bitwarden Business — $3/user/month. Open source. Excellent GovCon choice.
1Password Teams — $4/user/month. Best UX. Most popular.
Team · Bookkeeper
BOOKKEEPER SETUP
What they do · What they need · How much · Where to find one · What to give them access to
📚 What a Bookkeeper Does for PDSI
✓ Categorizes all bank transactions in QB weekly
✓ Codes every expense to the correct COA account
✓ Flags direct vs indirect costs (contract code required)
✓ Reconciles bank accounts monthly
✓ Enters and tracks invoices
✓ Processes accounts payable (paying vendors)
✓ Generates monthly P&L and balance sheet
✓ Prepares payroll data for Gusto or ADP
✓ Files sales reports (none for FL — no income tax)
✓ Keeps records organized for CPA and DCAA
What a bookkeeper does NOT do:
✗ File your taxes (that's the CPA)
✗ Give tax advice
✗ Make financial decisions
✗ Calculate overhead rates (CPA does this)
✓ Codes every expense to the correct COA account
✓ Flags direct vs indirect costs (contract code required)
✓ Reconciles bank accounts monthly
✓ Enters and tracks invoices
✓ Processes accounts payable (paying vendors)
✓ Generates monthly P&L and balance sheet
✓ Prepares payroll data for Gusto or ADP
✓ Files sales reports (none for FL — no income tax)
✓ Keeps records organized for CPA and DCAA
What a bookkeeper does NOT do:
✗ File your taxes (that's the CPA)
✗ Give tax advice
✗ Make financial decisions
✗ Calculate overhead rates (CPA does this)
💰 Bookkeeper Cost & Where to Find One
Cost for PDSI right now:
Part-time virtual bookkeeper: $300–$600/month
Full-time bookkeeper (when needed): $45K–$55K/yr
Where to find a GovCon bookkeeper:
1. GovCon-specialized (best): Search LinkedIn for "GovCon bookkeeper" or "government contracting accounting." Many work virtually.
2. Bookkeeper360: bookkeeper360.com — virtual bookkeepers specializing in small businesses. QuickBooks certified.
3. Bench: bench.co — monthly subscription bookkeeping. $249/mo. Not GovCon specific but good start.
4. Local referral: Ask your bank (Mercury or Chase) — they often have referrals for business clients.
Part-time virtual bookkeeper: $300–$600/month
Full-time bookkeeper (when needed): $45K–$55K/yr
Where to find a GovCon bookkeeper:
1. GovCon-specialized (best): Search LinkedIn for "GovCon bookkeeper" or "government contracting accounting." Many work virtually.
2. Bookkeeper360: bookkeeper360.com — virtual bookkeepers specializing in small businesses. QuickBooks certified.
3. Bench: bench.co — monthly subscription bookkeeping. $249/mo. Not GovCon specific but good start.
4. Local referral: Ask your bank (Mercury or Chase) — they often have referrals for business clients.
📋 What to Give Your Bookkeeper on Day 1
| Item | What It Is | Why They Need It |
|---|---|---|
| QuickBooks Online access | Invite them as "Accountant" role in QB | They do all data entry in QB — this is their primary tool |
| PDSI Chart of Accounts | This document — the COA you're looking at | They must code every transaction to the right account number |
| Bank read-only access | Mercury or Chase — add them as observer | They need to see transactions to reconcile — read only, cannot move money |
| All active contract numbers | List of current contracts with numbers and CLINs | Every direct cost needs a contract code. Without this they can't code correctly. |
| List of allowable vs unallowable | FAR Part 31 summary | They need to know what goes in 9000s vs overhead/G&A |
| Monthly close deadline | Tell them: close books by the 10th of each month | You review P&L on the 10th — they must be done by then |
Team · CPA Integration
CPA INTEGRATION
What your CPA does · How they access your data · What they need · GovCon CPA vs regular CPA
🚨 MOST IMPORTANT POINT — GET A GOVCON CPA, NOT A GENERAL CPA
A regular CPA files taxes for dentists and restaurants. A GovCon CPA knows FAR Part 31, indirect cost pools, forward pricing rates, incurred cost submissions, DCAA audit support, and how to structure your compensation to pass government scrutiny. The difference in value is enormous. A regular CPA who doesn't know GovCon can cost you your contracts.
🧮 What Your GovCon CPA Does
✓ Files PDSI business tax returns (S-Corp Form 1120S)
✓ Files your personal return (Form 1040 + K-1)
✓ Calculates your indirect cost rates (fringe, OH, G&A)
✓ Prepares Incurred Cost Submission (ICS) if cost-plus contracts
✓ Advises on Wyoming LLC and entity structure
✓ Reviews salary/draw split for S-Corp optimization
✓ Implements tax strategies (QBI, SEP-IRA, 179, Augusta Rule)
✓ Prepares financial statements for bonding applications
✓ Supports DCAA audits if they occur
✓ Reviews overhead rate calculations quarterly
✓ Advises on allowable vs unallowable costs
Frequency: Monthly bookkeeper → Quarterly CPA review → Annual tax filing
✓ Files your personal return (Form 1040 + K-1)
✓ Calculates your indirect cost rates (fringe, OH, G&A)
✓ Prepares Incurred Cost Submission (ICS) if cost-plus contracts
✓ Advises on Wyoming LLC and entity structure
✓ Reviews salary/draw split for S-Corp optimization
✓ Implements tax strategies (QBI, SEP-IRA, 179, Augusta Rule)
✓ Prepares financial statements for bonding applications
✓ Supports DCAA audits if they occur
✓ Reviews overhead rate calculations quarterly
✓ Advises on allowable vs unallowable costs
Frequency: Monthly bookkeeper → Quarterly CPA review → Annual tax filing
💰 CPA Cost & How to Find a GovCon CPA
Cost for PDSI right now:
Quarterly review + annual filing: $3K–$6K/year
Monthly advisory: $500–$1,500/mo
How to find a GovCon CPA:
1. NCMA (National Contract Management Assoc) — ncmahq.org — has a CPA referral network
2. Florida SBDC at KSC — sbdc.ucf.edu — free CPA referrals for Space Coast businesses
3. "GovCon CPA" Google search — firms like Unanet, BTAS, and GovCon CPAs specialize in this
4. Ask your SBLO contacts — Boeing and Northrop SBLOs often refer trusted GovCon CPAs to small business suppliers
Quarterly review + annual filing: $3K–$6K/year
Monthly advisory: $500–$1,500/mo
How to find a GovCon CPA:
1. NCMA (National Contract Management Assoc) — ncmahq.org — has a CPA referral network
2. Florida SBDC at KSC — sbdc.ucf.edu — free CPA referrals for Space Coast businesses
3. "GovCon CPA" Google search — firms like Unanet, BTAS, and GovCon CPAs specialize in this
4. Ask your SBLO contacts — Boeing and Northrop SBLOs often refer trusted GovCon CPAs to small business suppliers
🔄 How the Bookkeeper + CPA + You Work Together
⏱️
Daily
Staff enter timesheets. You approve. Bookkeeper imports bank transactions. You review and approve invoices.
📅
Weekly
Bookkeeper categorizes transactions. Reviews payroll. Sends invoices. Flags anything unusual to you via email.
🗓️
Monthly
Bookkeeper closes books. You review P&L on 10th. Bookkeeper sends financials to CPA. CPA reviews indirect rates.
📊
Quarterly/Annual
CPA files payroll taxes. Reviews overhead rates. Plans tax strategy. Prepares annual return. Files ICS if needed.
Access Control · All Systems
ALL PLATFORM LOGINS
Every PDSI system · Who has access · How to secure each one · Current status
🔐 PDSI MASTER ACCESS STRATEGY
Use Cloudflare Access (free) to put a login screen on every PDSI domain. Use Bitwarden Business ($3/user/mo) to manage all credentials and share selectively. Use QuickBooks Online role-based access for financial data. This three-layer approach gives you enterprise-grade security at minimal cost.
🛰️ PDSI Platform Registry — All Systems & Access Control
empire.pdsi2000.com — Empire Dashboard
Main command center · All empire metrics · CEO only
CEO Only
operations.pdsi2000.com — Ops System
QB data · Invoices · Payroll · Contracts · CEO + Bookkeeper + CPA
CEO + BK + CPA
coa.pdsi2000.com — Chart of Accounts
COA · Bank linking · Access control guide · CEO + CPA
CEO + CPA
wealth.pdsi2000.com — Financial Empire
Net worth · Tax arsenal · Wealth strategy · CEO only
CEO Only
realestate.pdsi2000.com — RE Command
Property portfolio · ATTOM data · RE strategy · CEO only
CEO Only
govintell.pdsi2000.com — GIIS
Gov intelligence · Contract pipeline · Decision engine · CEO + BD Team
CEO + BD
marketing.pdsi2000.com — Marketing
Board · Marketing · SBLO · Leads · CEO + Marketing Staff
CEO + Staff
credit.pdsi2000.com — Credit Command
Credit repair · Business credit · CEO only — sensitive financial data
CEO Only
legal.pdsi2000.com — Legal War Room
Contracts · Legal docs · CEO + Legal Counsel
CEO + Attorney
acquisition.pdsi2000.com — Acquisitions
Business buying · Deal pipeline · CEO only — confidential
CEO Only
boardroom.pdsi2000.com — Boardroom
Board roundtable · AI advisors · CEO only
CEO Only
🔐 Quick Setup — Cloudflare Access in 5 Minutes
Step 1: Go to dash.cloudflare.com → Zero Trust → Access → Applications → Add Application
Step 2: Select "Self-hosted" → Enter your domain (e.g. operations.pdsi2000.com) → Add application name
Step 3: Set policy → "Allow" → Rule: Emails → Enter allowed email addresses (yours, bookkeeper's, CPA's)
Step 4: Save → Done. Anyone visiting that domain now sees a login screen. Only listed emails get in.
Step 5: Repeat for each domain. Free for up to 50 users on Cloudflare Zero Trust free plan.
Set Up Cloudflare Access →
Step 2: Select "Self-hosted" → Enter your domain (e.g. operations.pdsi2000.com) → Add application name
Step 3: Set policy → "Allow" → Rule: Emails → Enter allowed email addresses (yours, bookkeeper's, CPA's)
Step 4: Save → Done. Anyone visiting that domain now sees a login screen. Only listed emails get in.
Step 5: Repeat for each domain. Free for up to 50 users on Cloudflare Zero Trust free plan.