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Policy 1453 – Supplemental Payments/Fringe Benefits

Last Review:  02/09/2023

Original Effective Date: 06/10/2014

Responsible Office: Comptroller’s Office / Human Resources

Policy:

University employees may receive supplemental payments in the form of compensation, prizes, tickets, or awards from the University or third parties in connection with their employment with the University.  These payments are to be treated as wages to the employee and will be subject to the same payroll withholdings and related taxes as the employee’s ordinary wages.  These supplemental payments should be reported to the Office of Human Resources and/or Office of the Comptroller prior to payment so that the amount can be included with the employee’s regular payroll check.  In addition to supplemental payments, employees may also receive fringe benefits other than cash from the University or third parties (such as gift cards, apparel, merchandise, complimentary tickets, courtesy cars, or memberships) in relation to their employment with the University.  These benefits are also considered taxable wages to the employee and the benefit’s fair market value at the time of receipt will be subject to all payroll withholdings and related taxes.    These non-cash benefits should be reported by calendar year-end so that the fair value of the benefits given can be included on the employee’s W-2.  

Definitions:

Not Applicable

Procedures:

Not Applicable

 

Policy 1453 – Supplemental Payments/Fringe Benefits

Last Review:  02/09/2023

Original Effective Date: 06/10/2014

Responsible Office: Comptroller’s Office / Human Resources

Policy:

University employees may receive supplemental payments in the form of compensation, prizes, tickets, or awards from the University or third parties in connection with their employment with the University.  These payments are to be treated as wages to the employee and will be subject to the same payroll withholdings and related taxes as the employee’s ordinary wages.  These supplemental payments should be reported to the Office of Human Resources and/or Office of the Comptroller prior to payment so that the amount can be included with the employee’s regular payroll check.  In addition to supplemental payments, employees may also receive fringe benefits other than cash from the University or third parties (such as gift cards, apparel, merchandise, complimentary tickets, courtesy cars, or memberships) in relation to their employment with the University.  These benefits are also considered taxable wages to the employee and the benefit’s fair market value at the time of receipt will be subject to all payroll withholdings and related taxes.    These non-cash benefits should be reported by calendar year-end so that the fair value of the benefits given can be included on the employee’s W-2.  

Definitions:

Not Applicable

Procedures:

Not Applicable