DRAFT-SAQMMA16R0280-Attachment_9-_SUBCONTRACTING_PERCENTAGE_WORKSHEET.pdf

SUBCONTRACTING PERCENTAGE WORKSHEET

PRIME CONTRACTOR:___ ___ SOURCE: _ ____

SUBCONTRACTOR:_____ ______________ SOURCE:____ _____

PRIME CONTRACTOR SUBCONTRACTOR

DIRECT LABOR

FRINGE BENEFITS*

SUBTOTAL

LABOR G&A

TOTAL LABOR COSTS

To calculate the subcontracting percentage, first add DIRECT LABOR and FRINGE BENEFITS and enter the figures for the contractor in space (A) and for the subcontractor (if available)** in space (B).

Next, calculate LABOR G&A by multiplying the G&A rate by the SUBTOTAL figure in (A).

Calculate the subcontractor LABOR G&A by multiplying the subcontractor’s G&A rate by the subcontractor’s SUBTOTAL figure in (B).

Add the LABOR G&A to the SUBTOTAL and record that figure in the spaces for TOTAL LABOR COSTS at (C) and (D) respectively.

Now using the formula below, calculate the subcontracting labor percentage.

(D) ÷ [(C) + (D)]

SUBCONTRACTING LABOR COST PERCENTAGE = ______________%

* The firm must demonstrate that their labor overhead is allowable in accordance with FAR 32.205-6. Failure to do so will cause the entire overhead to be eliminated from the computations.

** You need to be comparing as like figures as possible. Therefore, if you have a breakdown of the subcontractor’s costs, use it in the formulation above. If you do not have a breakdown, you must use the TOTAL SUBCONTRACTING AMOUNT for item (D) even though you must still break down the contractor’s costs.