504CPA Posted January 8 Report Share Posted January 8 I'm building a model, and have a final delivery DD 250 question. Question: How are withholdings for deficiencies usually calculated on a Final Invoice involving the DD 250? Are withholdings on a Final Invoice usually calculated based on a % of Billing Price? (Assume the Billing Price is $10m) Or will the delivery withholdings be based on the Final Invoice? (Assume the Final Invoice is $200k) At delivery we'll have a $$$ of amount of retentions from progress billings that will have accumulated over time. I want to better project the amount of retentions we can expect to be released to us less the DD 250 deficiencies. Any thoughts? Thanks in advance Quote Link to comment Share on other sites More sharing options...
here_2_help Posted January 8 Report Share Posted January 8 Do you have contractual correspondence where the government has asserted deficiencies and associated payment withholds? If not, how do you know you will have any? If yes, can't you use the correspondence as the basis for your at-completion analysis? Quote Link to comment Share on other sites More sharing options...
Retreadfed Posted January 13 Report Share Posted January 13 On 1/8/2025 at 12:40 PM, 504CPA said: Question: How are withholdings for deficiencies usually calculated on a Final Invoice involving the DD 250? Doesn't the terms of your contract answer this question? Quote Link to comment Share on other sites More sharing options...
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