Skip to main content

Official websites use .gov
A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS
A lock ( ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

FAR Amendment: Micro-purchase threshold limit increased to $10,000

GSA SmartPay® Smart Bulletin No. 002

UPDATE:

DateVersion History Action Log - Summary of Action/Changes
January 18, 2007Implementation of Smart Bulletin #02
November 14, 2023Re-written to reflect current information for the micro-purchase threshold, in accordance with the Federal Acquisition Regulation and applicable United States Code.
March 22, 2024Revised for administrative updates

Effective Date

From Issuance until superseded

Business Line(s) Affected

Purchase, and Integrated

Introduction

In accordance with the Federal Acquisition Regulation (FAR) Subpart 13.2 - Actions At or Below the Micro-Purchase Threshold, “The Government wide commercial purchase card shall be the preferred method to purchase and to pay for micro-purchases.” The purpose of this GSA SmartPay Smart Bulletin is to provide information to charge card managers, cardholders, and stakeholders about the government micro-purchase threshold.

Definition

In accordance with FAR 2.101 Definitions, a “Micro-purchase means an acquisition of supplies or services using simplified acquisition procedures, the aggregate amount of which does not exceed the micro-purchase threshold.” The micro-purchase threshold limit is established in FAR 2.101 Definitions. Convenience checks may not be issued for an amount in excess of one half of the micro-purchase threshold under 41 U.S.C. chapter 12, Simplified Acquisition Procedures.

Exceptions

FAR 2.101 Definitions establishes the micro-purchase threshold limit. However there are exceptions to this limit, which are each defined and the threshold is established in the definition of micro-purchase threshold in FAR 2.101 Definitions. These include the following:

Action

Agencies are not required to designate purchase limits at the maximum micro-purchase limits established by the FAR. Instead, agencies should consider evaluating current procurement needs, established spending controls, and current purchase card spending limits to determine whether or setting spending limits at the micro-purchase threshold is required to meet the needs of an agency.

smartpay.gsa.gov

An official website of the General Services Administration

Looking for U.S. government information and services? 
Visit USA.gov