Moving Expenses Payment/Reimbursement

Transcription

1 Moving Expenses Payment/Reimbursement I. Purpose To establish policies and procedures governing the direct payment or reimbursement of moving expenses. II. III. Scope Applies to all NC A&T State University employees. Policy 1. Who May Be Reimbursed In general, the University may reimburse the Chancellor, Vice-Chancellors, Assistant/Associate Vice-Chancellors and Deans. For other individuals, written approval must be obtained from the Chancellor's office prior to any commitment being made and after identification of funds. 2. Senior Officer Advance Approval Requirement Approval must be acquired from the Chancellor or appropriate Vice Chancellor prior to the employee contracting for moving expenses to be reimbursed by the University. The hiring department should contact the Budget Office to discuss fund availability prior to a moving expense reimbursement offer being made to the new employee. 3. Source of Funds for Payments/Reimbursements Payments and/or reimbursements for employee moving expenses may be paid out of non-state funds at the discretion of the Budget Office with prior Senior Officer approval. Moving expenses may be paid out of Contract and Grant funds only with the prior approval of the C&G office, Principal Investigator/Project Director and the appropriate senior officer. 4. Time Frame for Reimbursement Moving expenses/reimbursement may be paid no earlier than thirty (30) days after employment and no later than one year since employment. 5. Eligible Expenses Only expenses noted in the State Budget Manual are eligible to be paid or reimbursed. This includes transportation of household goods and mileage for moving up to two private vehicles one way. Refer to the State Budget Manual and the Pre-authorization to Pay/Reimburse Employee Moving Expense form below. Procurement policy requires competitive pricing. Therefore, at least two quotes should be obtained for the moving of household goods prior to the move (e.g., rental truck, full service moving company, etc.). 6. Reporting of Benefits The Tax Cuts and Jobs Act of 2017 disallows the deductibility of moving expenses. Therefore, moving expense reimbursements will be reported as income to the employee. The Budget Office will forward a copy of the Employee Moving Expense Worksheet to the Payroll Office. P a g e 1 6

2 IV. Procedures 1. Advance Approval Prior approval must be obtained using the attached "Pre-Authorization to Pay/Reimburse Employee Moving Expense" form. The original copy of this form with the authorizing signatures will be required prior to payment or reimbursement of employee moving expenses. A copy should be retained in the authorizing department, and another copy given to the employee as notification of approval of payment/reimbursement. 2. Notification of Taxability of Benefits On a quarterly basis following the payment and/or reimbursement of employee moving expenses, the Payroll office will submit the Employee Moving Expense Worksheet to Payroll. This information would be displayed on the W-2 form. To facilitate this process, the Budget Office will forward the Moving Expense Worksheet to Payroll upon approval. 3. Preparation Instructions for Form Pre-Authorization to Pay/Reimburse Employee Moving Expense A. Purpose This form is used to authorize all payments and/or reimbursements for employee moving expenses prior to incurring such expenses. B. Where to Obtain Forms Forms are available online on the University s website. (Business and Finance/forms) C. Where to Send Completed Forms Forms which have been completed and signed should be routed as follows: (i) (ii) (iii) Pre-authorization to Pay/Reimburse Employee Moving Expense form, Moving Expense Reimbursement Checklist and Employee Moving Expense Worksheet are to be completed by requestor and approved by Chancellor, appropriate Vice- Chancellor, or other approving authority. Attach a check request and submit to Budget Office for final review. If there are insufficient funds, approval must be given by the Budget Office prior to making an offer to the employee. The Budget Office then forwards the following items for processing to Accounts Payable A check request form The three forms mentioned in (i) above Attached original receipts The offer letter (iv) The following form is then forwarded to the Payroll Office Employee Moving Expense Worksheet P a g e 2 6

3 V. Instructions for the following Pre-Authorization form Items 1 through 4: Items 5 through 16: Self-explanatory. List the costs anticipated to be paid and/or reimbursed in connection with the move. NOTE: A list of eligible expenses is listed on the Pre-Authorization to Pay/Reimburse Employee Moving Expense form. Item 17: Item 18: Item 19: Item 20: Item 21: The maximum amount authorized to be paid for moving expenses. Signature of the requestor/primary budgetary authority on the Banner account to be charged. (This is usually the director, dean, or department head). Signature of the prospective employee. Signature of other approving authority, if required. For payments to be made out of Contracts & Grants accounts, the required signature will be Contracts & Grants personnel. Signature of appropriate Chancellor, Vice Chancellor and Budget Office. Appendix A Guidelines for Reimbursable Moving Expenses Unless prior approval is expressly obtained from the Chancellor, the following specific limitations on reimbursed moving expenses apply: Cost of Moving Personal/Household Goods Includes the cost of packing, crating, and transporting your household goods and personal effects and those of the members of your household from your former home to your new home. ( Personal effects are defined as movable personal property that the employee owns and frequently uses.) This also includes any costs of connecting or disconnecting utilities required because you are moving your household goods, appliances, or personal effects. At least two quotes must be obtained for these expenses prior to the move. Reimbursed Mileage/Moving; Reimbursed at the statutory rate for a one-way automobile trip for a maximum of two vehicles. Distance of Move The new principal place of work must be at least 50 miles farther from the employee s old residence than the old residence was from the employee s old place of work. If no old place of work, the new place must be at least 50 miles from old residence. P a g e 3 6

4 NORTH CAROLINA A&T STATE UNIVERSITY PRE-AUTHORIZATION TO PAY/REIMBURSE EMPLOYEE MOVING EXPENSE 1. Name: Date: 2. Street Address: City: 3. State: Zip: Phone: ( ) 4. SSN: Department: Fund: Acct: Tax Reportable Moving Expenses 5. Cost of Rental Truck to move household items: $ (Attach copies of at least two quotes for the move.) 6. Cost of supplies purchased to package or crate goods: $ 7. Cost of professional moving company (Attach two quotes.): $ 8. Cost of shipping household items: $ 9. Cost to store household items for a maximum of 30 days from the date of arrival: $ 10. Cost of connection or disconnection utilities due to move: $ 11. Cost to ship vehicle or $ 12. Reimbursable Mileage: State Budget rate $ 13. Cost to ship household pets: $ 14. Lodging cost for members of household during move: $ 15. Airfare for members of household: $ 16. Parking or tolls paid during move: $ 17. Total Authorized Moving Expenses: $ 18. Signature of Approving Authority: 19. Signature of Employee: 20. Signature of Budget and other Approving Authority: (For payments to be made from contract/grant accounts, approval should be given by Contracts and Grants Office) 21. Signature (Vice Chancellor or Chancellor): Note: Attach appropriate documentation of expenses (receipts, etc.) P a g e 4 6

5 NORTH CAROLINA A&T STATE UNIVERSITY MOVING EXPENSE REIMBURSEMENT CHECKLIST Employee Name: Department: Fund: Account: Please answer the following questions and submit prior to move. YES NO N/A 1. The employee listed has been employed by N.C. A&T State University. 2. The employee listed has been heavily recruited by the University and it would be in the University s best interest to pay moving expenses. 3. Employment for employee exceeds thirty-nine (39) weeks. 4. New duty station is at least fifty (50) miles farther from the employee s old residence than the employee s old residence from the old duty station. 5. Moving expenses to be reimbursed are in keeping with policy covering Moving Expense Reimbursement. Vice-Chancellor: AVC Budget & Planning/ Contracts & Grants: P a g e 5 6

6 EMPLOYEE MOVING EXPENSE WORKSHEET (For Budget and Comptroller/Payroll Office Use) This worksheet is to be used to provide nontaxable moving expense information each quarter to the Payroll Section. Payroll will key and store the information until each calendar year-end. The information will then be shown on the W-2 form as an informational item. NC A&T State University Unit Name Unit Number Signature Payroll Officer Date Employee Name Banner ID Number Taxable Moving Expense TOTAL EMPLOYEE MOVING EXPENSE REIMBURSEMENT $ P a g e 6 6