Back to Top
Business and Financial Policies and Procedures

4.3.2 Process Payments for Employment-Related Agreements

Policy Statement

Employment-related agreements are executed under limited circumstances according to various university policies. These agreements provide for payment where:

  • The payment is not related to services provided, or
  • Services are provided for a year or longer.

Only fully-executed agreements, bearing the appropriate approvals, are processed by University Payroll and Benefits (UPB). All such payments are subject to federal, state, and Medicare (where applicable), but not SURS withholding.

Procedure

To process a payment for an employment-related agreement:

  1. At least one week before the payment due date, fax a copy of the fully-executed agreement to UPB at 217-239-6909.
  2. Submit an adjustment to UPB, using the Banner PZAADJT form.
    • Use the Primary Job record to create the adjustment. Do not create an additional job in Banner.
    • In the Comments, refer to the written agreement and any specific instructions or requests (for example, charging a specific FOAPAL).
    • If you do not follow these steps, Payroll will not process the transaction.
  3. When Payroll receives the fully-executed agreement and Banner adjustment, it applies the Earn Code SAP to exempt the payment from SURS withholding. Payroll ensures that all appropriate deductions required by law are withheld.

Related Policies and Procedures

4.3.1 Adjust an Employee's Pay (Underpayments)

Last Updated: June 30, 2011 | Approved: Senior Associate Vice President for Business and Finance | Effective: March 2010

Give us feedback about this page Submit Feedback