Federal Contracting Glossary
Micro-Purchase Threshold (MPT)
The dollar ceiling below which agencies can make simplified "micro-purchases," often by government purchase card and without competing the buy.
Definition
The micro-purchase threshold (MPT) is the dollar level under which federal buyers may make a micro-purchase — a low-dollar acquisition with the lightest procedures in the FAR. Below the MPT, agencies generally need not obtain competitive quotes and can buy directly, frequently using the Government Purchase Card, provided the price is reasonable and purchases are distributed among qualified suppliers.
The FAR adjusts the MPT periodically for inflation (the standard threshold rose to $15,000 effective October 1, 2025, with lower thresholds in special cases such as Davis-Bacon work). For small and newer contractors, micro-purchases are an accessible entry point that can build a track record and relationships.
How this affects your proposal
Don't overlook micro-purchases — they are fast, often non-competed, and a low-friction way to start a relationship and build a federal track record. Make it easy to buy from you and stay visible to agency card-holders.
Common questions about micro-purchase threshold (mpt)
What is the current micro-purchase threshold?
Effective October 1, 2025 the standard FAR micro-purchase threshold is $15,000 (up from $10,000), with lower thresholds in special cases. Always confirm the current figure, as it is adjusted for inflation.
Do micro-purchases have to be competed?
Generally no. Below the threshold, agencies may buy without competitive quotes if the price is reasonable, and are expected to spread micro-purchases equitably among qualified suppliers.
Related terms
Simplified Acquisition
A streamlined federal buying process under FAR Part 13 for requirements at or below the…
Request for Quotation (RFQ)
A solicitation requesting quotes against a defined requirement, used in simplified acqu…
Small Business Offeror
An offeror that qualifies as a small business under the SBA size standard for the solic…
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