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The requestor must include a cost estimate for the contract with the request package. The IGE must incorporate costs for labor, other direct costs, and contractor overhead, if applicable. Contract fees are in addition to the IGE for the contract (i.e. GSA has 4% fee for service type contracts).
The estimated cost of the contract is called an Independent Government Estimate because it is the requestor’s estimate of the cost of service to be provided. The IGE must be completed by the government requestor. Potential contractors and/or vendors may provide input to assist in formulating the estimate.
Templates for preparing a cost estimate are available for FISC / GSA (Excel).
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