Federal Contracting Acronym
UNALLOWABLE COST
Unallowable Cost
Plain-English definition
Unallowable Cost (Unallowable Cost) is a core federal acquisition term used in regulations, solicitations, and contract administration. Pricing and finance terms relate to cost principles, audits, and proposal buildup. Contractors use them when preparing BOEs, supporting incurred-cost submissions, and negotiating rates.
Why it matters
Teams that understand Unallowable Cost (UNALLOWABLE COST) avoid misinterpreting solicitations, contract clauses, and compliance obligations. It supports clearer bid/no-bid decisions and cleaner proposal compliance.
Where you will see it
Federal notices on SAM.gov, contract attachments, registration systems, audit requests, and internal capture/proposal documentation.
Example in context
When reviewing a solicitation, a contractor confirms how UNALLOWABLE COST is used in the notice, whether related clauses apply, and which internal subject-matter experts should validate the response.