This would be a major problem in your system, not to mention risk with the United States Government. Costs do not change their color because your period of performance ended. A direct cost is a direct cost regardless of the POP provided you are still working on the same project. If your company changes direction with a new or revised statement of work for an internal project, then the nature of the cost may change, so be careful.
This is myth #8 of our SBIR Accounting Myths blog series. George Moker is a CPA and an entrepreneur who brings a real approach to managing the accounting needs of your firm. George created this series of blog posts to his more than 30 years of small business and startup experience in an attempt challenge the myths about an adequate accounting system and its importance within your organization.
For more information on how we can help with your SBIR accounting needs, please visit us at www.mokercpa.com