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NAICS Codes for Federal Contracting: How to Pick the Right Code
Your NAICS code determines your small business size standard, your set-aside eligibility, and how contracting officers find you in SAM.gov. Picking the wrong code can disqualify you from set-asides or misrepresent your size. This guide explains how NAICS codes work in federal contracting and how they relate to your CAGE code record.
What Is a NAICS Code?
NAICS (North American Industry Classification System) codes are 6-digit codes that classify businesses by their primary economic activity. The US Census Bureau maintains the classification system, and the SBA uses it to set small business size standards. In SAM.gov, you list your primary NAICS code and any additional codes for your business activities.
Your CAGE code record in SAM.gov includes your primary NAICS code — this is visible to anyone who decodes your CAGE code or searches SAM.gov for your entity.
How NAICS Codes Determine Your Size Standard
The SBA assigns a size standard to every NAICS code — either a revenue threshold (average annual receipts) or an employee count. To be a small business for a specific contract, you must meet the size standard for that contract's NAICS code (not necessarily your primary NAICS).
| NAICS | Description | Size Standard |
|---|---|---|
| 541512 | Computer Systems Design | $34M |
| 541611 | Management Consulting | $24.5M |
| 236220 | Commercial Construction | $45M |
| 336411 | Aircraft Manufacturing | 1,500 employees |
| 541715 | R&D (Engineering) | 1,000 employees |
Can I List Multiple NAICS Codes in SAM.gov?
Yes. SAM.gov allows you to add multiple NAICS codes to your entity profile. Your primary NAICS code is the one that appears on your CAGE code record and is used for overall size determination. Your additional NAICS codes expand the range of contracts you can bid on.
Key rules:
- You must have a bona fide business reason for each NAICS you claim
- Your size is calculated separately for each NAICS on each specific contract
- Misrepresenting your size is a federal False Claims Act violation
NAICS Codes and Set-Aside Eligibility
Set-aside eligibility depends on the NAICS code of the specific contract — not your primary NAICS. A company with $30M revenue might be small under 541512 ($34M) but not under 236220 ($45M threshold — wait, that's higher) — or vice versa. Always check the size standard for the NAICS code assigned to each specific solicitation.
SBA has a Size Standards Tool at sba.gov/size-standards where you can enter any NAICS code to see the current size standard.
How to Find Your NAICS Code
To find the right NAICS code for your business:
- Visit census.gov/naics and use the keyword search
- Look at how your competitors describe themselves in SAM.gov
- Check how contracting officers are classifying similar contracts on SAM.gov (beta.sam.gov opportunities)
- Review the NAICS manual — each code has an official description, industry snapshot, and illustrative examples
Decode Any CAGE Code Instantly
Enter any 5-character CAGE code to see the company name, SAM status, and certifications.
Frequently Asked Questions
What happens if I pick the wrong NAICS code?
If you misrepresent your primary industry, it can affect your size certifications and set-aside eligibility. SBA can initiate a size determination proceeding. In egregious cases of misrepresentation, False Claims Act liability may apply.
Can I change my primary NAICS code after registration?
Yes. You can update your NAICS codes in SAM.gov at any time during your annual renewal or by updating your entity. Changing your primary NAICS may affect your size status on current and future contracts.
Do NAICS codes for government contracts change?
Yes — the Census Bureau updates NAICS codes every 5 years. Some codes are renumbered, split, or merged. The SBA also periodically updates size standards. Stay current by checking the SBA's size standards table.
See Contract History
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- What Is a CAGE Code? A Complete Guide
- CAGE Code vs. UEI: What's the Difference?
- NATO NCAGE Codes: How They Differ from US CAGE Codes