§4301 Definitions

Summary

Sets the meanings of key words used in the chapter. Compensation means the total wages, salary, bonuses, and deferred pay for a contractor’s fiscal year, shown in the employer’s cost accounting records whether the money was paid, earned, or otherwise accrued. Covered contract means a contract made by an executive agency that is worth more than $500,000, but it does not include fixed-price contracts without cost incentives or firm fixed-price contracts to buy commercial products or services. Fiscal year means the accounting year the contractor uses. Senior executive means the five highest-paid managers at each contractor home office and at each business segment.