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  1. There are several types of government contract pricing models12:
    1. Time and Materials (T&M): Payments are based on hourly rates and costs of materials used, up to a not-to-exceed amount.
    2. Cost-Reimbursement: Reimburses the Contractor for incurred costs.
    3. Cost-Plus-Fixed-Fee (CPFF)
    4. Cost-Plus-Incentive-Fee (CPIF)
    5. Cost-Plus-Award-Fee (CPAF)
    6. Firm-Fixed Price (FFP)
    7. Fixed-Price Contract with Escalation (FPE)
    8. Fixed-Price Incentive (FPI)
    Learn more:

    Introduction to contract types and pricing models

    • Time and Materials (T&M). Payments are based on hourly rates and costs of materials used, up to a not-to-exceed amount.
    captureplanning.com/articles/25325.cfm

    Know Your Contract Pricing Models

    • Fixed-Price Contracts ( FAR 16.2) – Provides for a price that is not subject to any adjustment on the basis of the contractor’s cost experience in performing the contract. ...
    fedbizaccess.com/government-contractors-know-y…
     
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