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Welcome to Act Notes tutorials! My name is Matt, a contracting officer, here to give you a quick tutorial on the time and materials contract type. This contract is commonly used in construction and product development, where the company or employee is paid for their time and materials used. It is ideal when project size or changes cannot be estimated, in contrast to fixed price contracts. Detailed in federal regulations, time and materials contracts involve acquiring supplies or services based on direct labor hours and fixed hourly rates. Use this contract when project scope is uncertain.
