GovCon: Estimated Actuals (EA) Register
Estimated Actual (EA) costs or accruals of significant material items for which performance has been claimed but invoice payment has not been recorded in the accounting system. All estimated actuals must be based on documented, verifiable information and only apply to current period.
Why Would Customer Use?
In an Earned Value Management System (EVMS), an organization uses an Estimated Actuals log primarily to ensure traceability and data integrity when aligning costs with performance.
The log serves the following critical functions:
Traceability: It provides a formal record of adjustments made to the Actual Cost of Work Performed (ACWP), allowing auditors and analysts to trace where manual entries differ from the official accounting ledger.
Preventing Double-Counting: Because estimated actuals are reversed once real costs enter the accounting system, the log helps track which entries need to be removed to avoid counting a cost twice.
Variance Management: It documents the best available information (such as purchase orders or receiving reports) used to calculate the estimate, which justifies why artificial variances were avoided.
Audit Readiness: During surveillance reviews (e.g., by the DCMA), the log acts as evidence that the contractor is following disciplined procedures to align ACWP with BCWP in the same reporting period.
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