Deltek Costpoint in 2026: 8 Trends That Will Transform How Government Contractors Operate
If you’ve been in Government Contracting long enough, you know this much is true: Costpoint doesn’t change overnight — but when it does change, it changes everything.
2026 is shaping up to be one of those inflection years.
Between the end of Costpoint 8.1, quicker quarterly releases, the new user interface updates, the rapid maturity of AI, mounting compliance pressure, and a renewed focus on cash flow and planning, government contractors are being pushed (sometimes uncomfortably) toward a more modern operating model.
Here’s what we’re seeing coming next — and what smart contractors are currently doing to stay ahead.
TL;DR2026 is a turning point for Deltek Costpoint users as cloud-first deployments, AI-driven automation, real-time reporting, and embedded compliance reshape how GovCons operate. With 8.1 sunsetting, integrations expanding, materials and planning modernizing, and month‑end tasks becoming increasingly automated, contractors are being pushed toward a more efficient, data-driven operating model. The GovCons who win in 2026 aren’t the ones working harder — they’re the ones leveraging smarter systems, tighter processes, and AI‑powered tools to reduce manual workload and stay audit‑ready every day.
1. The End of 8.1 and the Rise of Cloud-First Upgrades
Let’s start with the obvious one.
Costpoint 8.1 is heading toward end-of-life, and for many organizations, that’s the final nudge they need to rethink how they run Costpoint — not just which version.
Cloud-first Costpoint environments aren’t just about avoiding EOL headaches. They bring:
- Faster access to new functionality
- Reduced infrastructure overhead
- Stronger security and compliance posture
- Less “upgrade anxiety” every few years
In 2026, being cloud-based won’t be the differentiator. Being stuck on legacy on-prem will be.
2. Dela AI Moves from “Interesting” to “Indispensable”
AI in Costpoint isn’t science fiction anymore — it’s getting practical.
Dela AI is quickly moving beyond novelty use cases into real, everyday value:
- Smart contract summaries that actually save time
- Ask Dela for natural language queries on your data for enhanced insights
- Specialized agents that can upload contract awards, enter timesheets, and expense reports
By 2026, AI won’t replace your accounting team — but it will replace the manual repetitive work they never wanted to do in the first place.
3. Zero-Touch Month-End Close Becomes the Goal
No one wakes up excited for month-end close. But forward-thinking finance teams are finally asking the right question:
“How much of this can we automate?”
With better automation, tighter integrations, and cleaner upstream data, we’re seeing organizations move toward:
- Automated accruals
- Exception-based reviews instead of full manual checks
- System-driven reconciliations with Costpoint’s NEW Closing Plan
The result? Shorter scheduled closes, fewer surprises, and accounting teams that can focus on analysis, not survival.
4. Materials & Supply Chain Get a Long-Overdue Upgrade
Tariffs. Inventory reconciliation. Cost volatility. Audit trails.
Manufacturing and project-based contractors are under more pressure than ever to modernize the flow of materials through Costpoint.
In 2026, leaders will be the ones who:
- Track materials with real-time visibility
- Reconcile inventory accurately and consistently
- Understand cost impacts before they hit margins
The days of “we’ll sort it out later” are disappearing fast.
5. Planning & Budgeting Takes Center Stage
For years, planning lived in spreadsheets and side systems. That’s no longer cutting it.
With tighter margins and increased scrutiny, planning and budgeting are becoming core operational tools, not once-a-year exercises.
Costpoint Planning & Budgeting is gaining traction because it allows teams to:
- Model scenarios quickly
- Tie budgets directly to actuals
- Respond to change without rebuilding spreadsheets from scratch
In 2026, the ability to plan dynamically will separate reactive organizations from resilient ones.
6. Cognos Reports & Dashboards Move Closer to Real-Time Insight
Static reports and data extracts are losing relevance.
Executives want answers now, not after month-end is closed and slides are built.
We’re seeing Cognos evolve into:
- Near-real-time operational views
- Role-based insights for finance, ops, and leadership
- KPI-driven decision tools instead of “nice-to-have” visuals
The value isn’t the dashboard itself — it’s how fast leadership can act because of it.
7. Compliance Automation Becomes Non-Negotiable
DCAA and CMMC compliance aren’t getting easier. And manual compliance processes don’t scale.
By 2026, the expectation will be:
- Controls embedded directly into Costpoint processes
- Automated audit trails of who, what, when, where, and why of your data
- Proactive compliance monitoring instead of reactive fixes
The smartest organizations won’t be asking, “Are we compliant?”
They’ll already know — because the system tells them.
8. Integration Openness Becomes a Competitive Advantage
Costpoint doesn’t live in a vacuum anymore — and it shouldn’t.
Modern GovCons are connecting Costpoint to:
- Microsoft 365 Teams for Approvals and Data Entry
- SharePoint for supporting document attachments and retrieval in key applications
- Collaboration and workflow tools for enhanced control and approvals
- API-driven supplemental systems from AP Voucher Approvals to PDM Imports
- Custom-built extensions to alleviate bottlenecks and system shortcomings
The goal isn’t to replace Costpoint — it’s extending it without breaking it.
In 2026, closed systems will feel increasingly limiting. Open, well-integrated environments will feel like a force multiplier.
How Kinetek Is Investing Now So Clients Stay Ahead
At Kinetek, we’re not waiting for these trends to arrive — we’re already building for them.
That means:
- Helping clients move to cloud-first Costpoint environments the right way
- Designing automation that actually reduces workload, not adds complexity
- Embedding compliance and controls into everyday processes
- Modernizing planning, materials, and reporting with scalability in mind
- Preparing teams to use AI as a practical tool, not a buzzword
Our focus is simple: make Costpoint work harder so your people don’t have to.
Looking Ahead
2026 isn’t about chasing the newest feature. It’s about building systems that are resilient, scalable, and ready for what’s next.
Costpoint isn’t the limitation — outdated thinking is.
The organizations that win won’t be the ones doing more work — they’ll be the ones doing less manual work, with better data and clearer insight.
And Costpoint, when implemented and optimized correctly, is still at the center of that future.