Awards, Prizes and Gifts - Information and Processing

decorative-icon Awards, Prizes and Gifts - Information and Processing

Awards-Employee Recognition

Policy Employee Recognition Awards (University Fiscal Policy 4c) - Replaces Employee Recognition Awards (UO Fiscal Policy Manual 57.200) effective 7/23/2018

Operating Guidelines for Employee Recognition Awards - includes a flow Chart for determining taxability (Effective 6/4/2019)

Payment Procedure:

Taxability:

  • Cash or cash-equivalent (i.e., gift cards, gifts certificates, vacations, meals, lodging, theater/sporting event tickets, stocks or similar) employee awards in excess of $50 will be reported as taxable income to the recipient. The total value of the award will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Non-cash employee awards (items/tangible personal property such as plaques, watches, clocks, chair, gift basket, etc.) in excess of $50 in value will be reported as taxable income to the recipient, unless those awards are for safety achievement or years-of-service/retirement. The total value of the award will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Non-cash awards for Safety Achievement or Years of Service/Retirement and in excess of $400 in value will be reported as taxable income to the recipient. The value of the award in excess of $400 will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Taxability applies even if the cash, cash-equivalent, or non-cash (items/tangible personal property) are purchased directly or indirectly with University or University of Oregon Foundation funds.

Banner text will require the following items in order for payment to be approved:

  • appropriate approvals
  • description of event, competition, contest, sport, achievement, recognition, etc.
  • description of the award/prize (indicate kind of gift card/certificate or item purchased)
  • dollar value of the award/prize
  • name(s) of Employee (recipient(s).
  • employment status (employee or non-employee)
  • 95X number, if an employee

Payment Processing for any award whose value in excess of $50.00 must be processed through Accounts Payable under the recipients 95X or V#, and the CHECK VENDOR function used if necessary.

  • Employees (including student employees) use account codes 20168 (Awards). Be sure to include all items listed above in text. The text will be printed out by Accounts Payable at the time of approval and given to Payroll to manually report on the employees W-2. (Certain types of cash employee awards that are only related to employment may be best processed directly through Payroll so they can be added to the employees W-2 form. (For cash, employment related, awards, please contact Payroll for guidance).
  • Non-employee ( award/prize is not Resource Aid or Student Aid ), use account code 20169  (Awards – Tax Reportable).  For gift cards and certificates purchased from vendors, please enter the dollar value of the card under each recipients 95X or Vendor number and then use the CHECK VENDOR field to enter the vendor number from which you bought the gift card/certificate.

Note: Any academic awards, scholarships, or non-federal aid to students (including awards given in classrooms) should be processed as Resource Aid through Student Billing. See: Resource Aid. If special circumstances require a gift certificate/card/cash (check) then the payment may be processed through Accounts Payable and coded to Account Code 59101 (Other Student Aid) .

  • Non-resident alien (either employee or non-employee) STOP! Please contact Accounts Payable (6-3126) for further instructions. Payment requires specific forms to be completed prior to payment (UONRA, W-8 BEN, etc.). Payment requires 30% tax withholding. CHECK VENDOR or other payment procedures must be implemented. Call Accounts Payable (6-3126).

See also: Gift Cards

Note:  Per UO PCard Policy 3.2.5. "Non-Chargeable Account Codes – Awards, Prizes, Gifts, and Gift Cards. Due to IRS W-2 / 1099-Misc / 1042-S reporting requirements, any purchase for an award, prize, or gift, whether a cash equivalent such as a gift card (or certificate) or an item of a value above $50 (per person) cannot be purchased on the PCard. Payment must be processed by AP through Banner following the procedures and text requirements outlined" above.  (Flowers purchased as gifts of any dollar value are not allowed per policy and cannot be purchased through Accounts Payable or the PCard).

When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

Awards- Non-employee Recognition

Policy Employee Recognition Awards (University Fiscal Policy 4c) - Replaces Employee Recognition Awards (UO Fiscal Policy Manual 57.200) effective 7/23/2018

Operating Guidelines for Employee Recognition Awards - includes a flow Chart for determining taxability (Effective 6/4/2019)

Payment Procedure:

Taxability:

  • Cash or cash-equivalent (i.e., gift cards, gifts certificates, vacations, meals, lodging, theater/sporting event tickets, stocks or similar) employee awards in excess of $50 will be reported as taxable income to the recipient. The total value of the award will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Non-cash employee awards (items/tangible personal property such as plaques, watches, clocks, chair, gift basket, etc.) in excess of $50 in value will be reported as taxable income to the recipient, unless those awards are for safety achievement or years-of-service/retirement. The total value of the award will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Non-cash awards for Safety Achievement or Years of Service/Retirement and in excess of $400 in value will be reported as taxable income to the recipient. The value of the award in excess of $400 will be reported to the university payroll office for inclusion in the recipient’s W-2 taxable income.
  • Taxability applies even if the cash, cash-equivalent, or non-cash (items/tangible personal property) are purchased directly or indirectly with University or University of Oregon Foundation funds.

Banner text will require the following items in order for payment to be approved:

  • appropriate approvals
  • description of event, competition, contest, sport, achievement, recognition, etc.
  • description of the award/prize (indicate kind of gift card/certificate or item purchased)
  • dollar value of the award/prize
  • name(s) of Employee (recipient(s).
  • employment status (employee or non-employee)
  • 95X number, if an employee

Payment Processing for any award whose value in excess of $50.00 must be processed through Accounts Payable under the recipients 95X or V#, and the CHECK VENDOR function used if necessary.

  • Employees (including student employees) use account codes 20168 (Awards). Be sure to include all items listed above in text. The text will be printed out by Accounts Payable at the time of approval and given to Payroll to manually report on the employees W-2. (Certain types of cash employee awards that are only related to employment may be best processed directly through Payroll so they can be added to the employees W-2 form. (For cash, employment related, awards, please contact Payroll for guidance).
  • Non-employee ( award/prize is not Resource Aid or Student Aid ), use account code 20169  (Awards – Tax Reportable).  For gift cards and certificates purchased from vendors, please enter the dollar value of the card under each recipients 95X or Vendor number and then use the CHECK VENDOR field to enter the vendor number from which you bought the gift card/certificate.

Note: Any academic awards, scholarships, or non-federal aid to students (including awards given in classrooms) should be processed as Resource Aid through Student Billing. See: Resource Aid. If special circumstances require a gift certificate/card/cash (check) then the payment may be processed through Accounts Payable and coded to Account Code 59101 (Other Student Aid) .

  • Non-resident alien (either employee or non-employee) STOP! Please contact Accounts Payable (6-3126) for further instructions. Payment requires specific forms to be completed prior to payment (UONRA, W-8 BEN, etc.). Payment requires 30% tax withholding. CHECK VENDOR or other payment procedures must be implemented. Call Accounts Payable (6-3126).

See also: Gift Cards

Note:  Per UO PCard Policy 3.2.5. "Non-Chargeable Account Codes – Awards, Prizes, Gifts, and Gift Cards. Due to IRS W-2 / 1099-Misc / 1042-S reporting requirements, any purchase for an award, prize, or gift, whether a cash equivalent such as a gift card (or certificate) or an item of a value above $50 (per person) cannot be purchased on the PCard. Payment must be processed by AP through Banner following the procedures and text requirements outlined" above.  (Flowers purchased as gifts of any dollar value are not allowed per policy and cannot be purchased through Accounts Payable or the PCard).

When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

Prizes - Employee

Prizes - employee and non-employee

Taxability:

  • Cash or cash-equivalent (i.e., gift cards, gifts certificates) prizes and non-employee awards in excess of $50 will be reported as taxable income to the recipient.
  • Non-cash prizes and non-employee awards in excess of $50 in value will be reported as taxable income to the recipient. (aggregate of item(s) whose total value is $50 or above).
  • An aggregate total of cash or cash-equivalent prizes AND non-cash prize (items) whose total value is in excess of $50 in value will be reported as taxable income to the recipient.
  • Taxability applies even if the cash, cash-equivalent, or non-cash prizes and non-employee awards are provided directly from University of Oregon Foundation funds

Banner Text (will require the following items in order for payment to be approved):

  • appropriate approvals
  • description of event, competition, contest, sport, achievement, recognition, etc.
  • description of the award/prize
  • dollar value of the award/prize
  • name of recipient(s)
  • employment status (employee or non-employee)
  • if an employee, put their 95X number

Payment for any award/prize whose value is $50.01 and above) must be processed through Accounts Payable under the recipients 95X or V#, and the CHECK VENDOR function used if necessary.

  • Employees (including student employees) use account codes 20168 (Awards). Be sure to include all items listed above in text. The text will be printed out by Accounts Payable at the time of approval and given to Payroll to manually report on the employees W-2. 
  • Non-employee ( award/prize is not Resource Aid or Student Aid ), use account code 20169 (Awards – Tax Reportable). For gift cards and certificates purchased from vendors, please enter the dollar value of the card under each recipients 95X or Vendor number and then use the CHECK VENDOR field to enter the vendor number from which you bought the gift card/certificate.

Note: Any academic awards, scholarships, or non-federal aid to students (including awards given in classrooms) should be processed as Resource Aid through Student Billing. See: Resource Aid . If special circumstances require a gift certificate/card/cash (check) then the payment may be processed through Accounts Payable and coded to Account Code 59101 (Other Student Aid) .

  • Non-resident alien (either employee or non-employee) STOP! Please contact Accounts Payable (6-3126) for further instructions. Payment requires specific forms to be completed prior to payment (UONRA, W-8 BEN, etc.). Payment requires 30% tax withholding. CHECK VENDOR or other payment procedures must be implemented. Call Accounts Payable (6-3126).

See also: Gift Cards

Note:  Per UO PCard Policy 3.2.5.  "Non-Chargeable Account Codes – Awards, Prizes, Gifts, and Gift Cards. Due to IRS W-2 / 1099-Misc / 1042-S reporting requirements, any purchase for an award, prize, or gift, whether a cash equivalent such as a gift card (or certificate) or an item of a value above $50 (per person) cannot be purchased on the PCard. Payment must be processed by AP through Banner following the procedures and text requirements outlined" above.

When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

Prizes -Non-Employee

Prizes - employee and non-employee

Taxability:

  • Cash or cash-equivalent (i.e., gift cards, gifts certificates) prizes and non-employee awards in excess of $50 will be reported as taxable income to the recipient.
  • Non-cash prizes and non-employee awards in excess of $50 in value will be reported as taxable income to the recipient. (aggregate of item(s) whose total value is $50 or above).
  • An aggregate total of cash or cash-equivalent prizes AND non-cash prize (items) whose total value is in excess of $50 in value will be reported as taxable income to the recipient.
  • Taxability applies even if the cash, cash-equivalent, or non-cash prizes and non-employee awards are provided directly from University of Oregon Foundation funds

Banner Text (will require the following items in order for payment to be approved):

  • appropriate approvals
  • description of event, competition, contest, sport, achievement, recognition, etc.
  • description of the award/prize
  • dollar value of the award/prize
  • name of recipient(s)
  • employment status (employee or non-employee)
  • if an employee, put their 95X number

Payment for any award/prize whose value is $50.01 and above) must be processed through Accounts Payable under the recipients 95X or V#, and the CHECK VENDOR function used if necessary.

  • Employees (including student employees) use account codes 20168 (Awards). Be sure to include all items listed above in text. The text will be printed out by Accounts Payable at the time of approval and given to Payroll to manually report on the employees W-2. 
  • Non-employee ( award/prize is not Resource Aid or Student Aid ), use account code 20169 (Awards – Tax Reportable). For gift cards and certificates purchased from vendors, please enter the dollar value of the card under each recipients 95X or Vendor number and then use the CHECK VENDOR field to enter the vendor number from which you bought the gift card/certificate.

Note: Any academic awards, scholarships, or non-federal aid to students (including awards given in classrooms) should be processed as Resource Aid through Student Billing. See: Resource Aid . If special circumstances require a gift certificate/card/cash (check) then the payment may be processed through Accounts Payable and coded to Account Code 59101 (Other Student Aid) .

  • Non-resident alien (either employee or non-employee) STOP! Please contact Accounts Payable (6-3126) for further instructions. Payment requires specific forms to be completed prior to payment (UONRA, W-8 BEN, etc.). Payment requires 30% tax withholding. CHECK VENDOR or other payment procedures must be implemented. Call Accounts Payable (6-3126).

See also: Gift Cards

Note:  Per UO PCard Policy 3.2.5.  "Non-Chargeable Account Codes – Awards, Prizes, Gifts, and Gift Cards. Due to IRS W-2 / 1099-Misc / 1042-S reporting requirements, any purchase for an award, prize, or gift, whether a cash equivalent such as a gift card (or certificate) or an item of a value above $50 (per person) cannot be purchased on the PCard. Payment must be processed by AP through Banner following the procedures and text requirements outlined" above.

When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

 

Employee Morale Building Awards

Employee Morale-Building Event Expenditures (Interim Policy)

Employee Morale-Building Event Expenditure (UO Policy) UO Departments may use university funds for employee morale-building activities EXCEPT for Education and General Funds (BANNER Fund Type 11 beginning with 00 or 01) which are not allowed to be used for employee morale-building expenditures.  Guidelines are intended to communicate the types and amounts of university funds allowed for expenses incurred by a UO Department for employee morale-building activities while remaining fiscally responsible.

The university may pay for or reimburse costs for meals or light refreshments associated with official employee morale-building and appreciation activities that serve a university business purpose.  Examples of such occasions include:

  • a gathering to honor a departing employee who is retiring or who is separating from employment with the university after at least 5 years of service,
  • employee recognition receptions,
  • annual faculty/staff picnics,
  • new employee receptions,
  • holiday gatherings.

The maximum per-person expenditures for meals furnished by the university at a morale-building event may not exceed state travel per diem amounts.  See policy for further allowances for expenditures relating to refreshments, facility rentals, etc.

University funds may not under any circumstance be used for:

  • occasions such as employee birthdays,
  • weddings,
  • anniversaries,
  • farewell gatherings (excluding celebrations for retirement or farewell events after at least 5 years of service as defined in this policy),
  • other occasions of a personal nature.

Although alcohol is permitted at Employee Morale-Building Events, all standards set by the university must be met when including alcohol service at an event.  Permission for serving alcohol beverages at any event held on UO owned or leased property must be obtained prior to the event. For more information on serving alcohol at events, see the Office of Risk Management’s procedures for hosting events with alcohol Request for Permission to Serve Alcoholic Beverages.  Alcohol must be funded with UO Foundation funds or some non-University of Oregon funds as alcohol is not allowed to be funded with university funds.

See Employee Morale-Building Event Expenditure (UO Policy) for further information on fund restrictions, allowable amounts, and responsibilities. See also Awards-Employee Recognition.

Gifts

Gift Cards

Gift Cards are allowed to be purchased with UO funds for documented business purposes except when funding restrictions or policy prohibits the purchase of gift cards.  A one-time gift card whose value is $50.00 or less will be considered de Minimis by the BAO and will not be subject to potential tax reporting to the recipient.  Regardless of the taxability of a gift card, gift cards are subject to accountability and the principles of cash management.  In order to exercise good internal controls, documentation showing the date; description/value of gift card; the recipient's name and signature or other authentication acknowledging receipt of gift card (by recipient) should be included with the payment documentation.  

For specific funding and/or payment guidelines (including taxablity of gift cards whose value is $50.01 and above), please see the following policies and payment processing guidelines:

Employee Recognition Awards or Employee Recognition Awards (University Fiscal Policy Section 4c)

Prizes - both employee and non-employee:

Employee Morale-Building Event Expenditure (UO Policy)

UO PCard Policy See 3.2.5

Participant Support (Group 5 - Human Subjects and Research Participants)

Research Subject Payment Process

Note:  When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

Gift Cards

Gift Cards

Gift Cards are allowed to be purchased with UO funds for documented business purposes except when funding restrictions or policy prohibits the purchase of gift cards.  A one-time gift card whose value is $50.00 or less will be considered de Minimis by the BAO and will not be subject to potential tax reporting to the recipient.  Regardless of the taxability of a gift card, gift cards are subject to accountability and the principles of cash management.  In order to exercise good internal controls, documentation showing the date; description/value of gift card; the recipient's name and signature or other authentication acknowledging receipt of gift card (by recipient) should be included with the payment documentation.  

For specific funding and/or payment guidelines (including taxablity of gift cards whose value is $50.01 and above), please see the following policies and payment processing guidelines:

Employee Recognition Awards or Employee Recognition Awards (University Fiscal Policy Section 4c)

Prizes - both employee and non-employee:

Employee Morale-Building Event Expenditure (UO Policy)

UO PCard Policy See 3.2.5

Participant Support (Group 5 - Human Subjects and Research Participants)

Research Subject Payment Process

Note:  When a payment on the PCard for a gift card or item over $50 comes to your attention, even if it is after the fact, please call Accounts Payable 6-3126 for further approval and guidance.

 

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