Texas’s aerospace and defense industry is experiencing robust growth, influenced by rising material costs, advanced technology programs, and sustained federal defense spending. Aerospace and defense accountants play a critical role in managing project budgets, forecasting long-term costs, and ensuring contract profitability for both prime contractors and subcontractors. For example, at Lockheed Martin in Fort Worth, accountants may oversee the financials of the F-35 fighter jet program, tracking multiyear R&D expenditures, reconciling subcontractor invoices, and projecting lifecycle costs for delivery schedules. At Boeing’s Defense, Space & Security division, accountants might model costs for the KC-46 Pegasus tanker program, evaluating schedule delays, material price fluctuations, and labor costs to ensure program profitability.
Government regulation shapes all accounting activity in the sector. Department of Defense (DoD) contract compliance, Federal Acquisition Regulations (FAR), FAA oversight, and eligibility for R&D tax credits are central considerations. Accountants ensure compliance while maximizing funding opportunities and optimizing bidding strategies. For example, finance teams may prepare DCAA-compliant cost reports, allocate indirect costs appropriately under CAS (Cost Accounting Standards), and document R&D spending to qualify for federal innovation grants for projects like hypersonic missile systems or advanced drone platforms. They also support audits and reporting for DoD contract renewals, which can span several years and involve billions in program funding.
Technology is transforming aerospace finance operations. ERP systems, automated reporting platforms, and predictive analytics tools allow accountants to monitor project performance in real time. For example, accountants may use Oracle NetSuite or SAP S/4HANA to forecast cash flow for a fleet modernization program, model cost impacts of material shortages for composite airframes, or simulate alternative procurement strategies for engine development projects. Professionals with expertise in contract finance, cost accounting, regulatory compliance, and strategic advisory are especially valuable in Texas, where companies like Raytheon, Bell Textron, and Lockheed Martin operate globally, balancing innovation, compliance, and profitability in high-stakes defense programs.
