Once you have delivered services on a contract, the next step is to submit a proper invoice to the billing office specified in your contract to ensure you get paid. Under the Prompt Payment Act, the government is required to pay you within 30 days. There is however an important consideration to take into account. The Prompt Payment Act will only apply if your invoice is deemed “proper” under the law. If your invoice is not deemed "proper," it will get sent back to you within seven days after the billing office received it, with a statement of the reasons why it is not considered proper. You will then have to correct it, resubmit it to the government, and restart the 30-day wait. Therefore, "prompt payment" by the government is directly tied to the "properness" of your invoice.
JAMIS has a history of delivering solutions for government contractors, and our customers know that when they're using industry leading JAMIS Prime ERP they can rest easy knowing that the system is built to handle FAR 52.216-7, entitled Allowable Cost and Payment, FAR Subpart 31.2 cost principles and procedures, FAR Subpart 42.7, entitled Indirect Cost Rates.
JAMIS Prime gives you the tools you need to be successful:
- Tracking of detailed cost information (direct, indirect, and overhead expenses) for each contract, project, and subtask
- Automate Invoicing and Accelerate Cash Flow
- Real-Time Reporting & Analytics
- Simplify DCAA, FAR and CAS Compliance
Join us for our next webinar for a preview of how JAMIS can help you automate invoicing, accelerate cash flow, and simplify federal compliance!