Federal glossary · Process
The micro-purchase threshold (MPT) is currently $10,000 for most purchases ($2,000 for construction subject to Davis-Bacon, $2,500 for services subject to Service Contract Act). Purchases below the MPT can be made without competitive quotes, using a Government Purchase Card (GPC). The threshold was raised from $3,500 to $10,000 by the 2018 NDAA (Section 806). Micro-purchases are distributed equitably among qualified suppliers. No set-aside requirements apply below the MPT.
Example: Respond to an RFI, RFP, or Sources Sought notice.
Reference record · Sources: Federal Acquisition Regulation · Verified Jul 2, 2026 · Covers definition, governing source
The micro-purchase threshold
Also known as
The micro-purchase threshold (MPT) is currently $10,000 for most purchases ($2,000 for construction subject to Davis-Bacon, $2,500 for services subject to Service Contract Act). Purchases below the MPT can be made without competitive quotes, using a Government Purchase Card (GPC). The threshold was raised from $3,500 to $10,000 by the 2018 NDAA (Section 806). Micro-purchases are distributed equitably among qualified suppliers. No set-aside requirements apply below the MPT.
(The micro-purchase threshold) is a process concept federal contractors and grant writers run into across solicitations, regulations, and award filings
Micro-Purchase Threshold is a step or workflow in the federal-procurement lifecycle. For example: Example: Respond to an RFI, RFP, or Sources Sought notice. Knowing where Micro-Purchase Threshold fits in the larger acquisition arc — from market research through award through performance — helps contractors time their engagement, identify the right contracting officials, and avoid showing up too late to influence the requirement. Many proposal failures trace back to misunderstanding when Micro-Purchase Threshold occurs, who owns it, and what artifacts it produces. The related terms above name the adjacent process steps that most commonly precede or follow Micro-Purchase Threshold, and tracking those transitions over time is one of the more reliable ways to build pipeline visibility ahead of formal solicitations.
Example: Respond to an RFI, RFP, or Sources Sought notice.
Meaning in practice
Micro-Purchase Threshold is a step in a government workflow or procurement lifecycle.
Where you’ll see it
You will see it in NOFOs, solicitations, evaluation sections, award letters, and procedural instructions. Example: Example: Respond to an RFI, RFP, or Sources Sought notice..
Common confusion
People often confuse the document that describes the process with the process itself.
What to do next
Identify the deadline, owner, and artifacts the process produces before you move forward.
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