Guidance for Additional Pay on Sponsored Funds
Responsible Offices: Sponsored Projects Accounting/Office of Sponsored Research Services
Effective Date: January 2017
PDF version: Guidance for Additional Pay on Sponsored Funds
In general, compensation for work completed on a sponsored project should be represented as the appropriate proportion of an individual’s regular base salary and should not require additional compensation. It is recommended that Human Resources and Sponsored Projects Accounting should be consulted whenever additional pay is being considered on sponsored funds. In unusual circumstances, some additional compensation may be allowable if the appropriate sponsor approval has been obtained. All additional compensation payments should first and foremost follow University policy see Compensation Program – Base Salary and Additional Pay Administration.
Intra-University Consulting All Sponsors
The University’s Procurement of Consultant Services for Sponsored Projects policy should be followed for any consulting that is charged to sponsored funds. Below is a key excerpt from section IV.,A:
It is the general practice of the Washington University faculty, as well as the nonacademic staff, to participate in intra-university activities of sponsored projects as an employment obligation requiring no compensation in addition to full time base salary. Normally, financial arrangements are made between the collaborating schools/departments to have an appropriate share of the base salary of such employees charged to the personnel budget of the sponsored project. Should unusual circumstances indicate the need in a specific case to depart from this accepted practice, advice should be sought from the appropriate dean(s) and department chairpersons and from the Associate Vice Chancellor for Research.
The full policy may be found here.
Intra-University Consulting- Federal Awards/Contracts Faculty
If the intra-university consulting is to be charged to a federal fund the consulting payments must be processed via HRMS on the additional pay tab. There are two types of consulting arrangements: the first utilizes the expertise for which the faculty member is employed by the University; and the second utilize a skillset or expertise outside of his or her University appointment. When it is the former, approval and written documentation must be sought from the sponsoring agency, see Appendix A for specific agency guidance. In the event of the latter such payments/arrangements must follow the University’s consultant policy and the form must be completed. Earnings code utilization in HRMS for these payments should be as follows:
Consultant Fees (CON)
- Skillset outside of faculty member’s appointment with the University
- Consultant form must be completed
- Faculty is employed by the University for the same area of expertise
- Written Approval by the sponsoring agency
- Review and approval by SPA
Project Pay (PRO)
Extra Service Pay/Premium/Overtime:
- Faculty: Individuals with faculty appointments may not receive Premium or Overtime payments on federal funds and should review individual non-federal guidelines for entity specific policies with regards to additional compensation in excess of institutional base salary (IBS).
- Staff: Individuals with staff/non-faculty appointments may receive additional compensation or overtime so long as the charges made to sponsored funds follows the University guidelines for additional compensation.
Uniform Guidance – 2CFR 200.430(h)(1)(ii) (ii) Incidental activities. Incidental activities for which supplemental compensation is allowable under written institutional policy (at a rate not to exceed institutional base salary) need not be included in the records described in paragraph (h)(9) of this section to directly charge payments of incidental activities, such activities must either be specifically provided for in the Federal award budget or receive prior written approval by the Federal awarding agency. Additional information or questions regarding earnings codes and additional pay payments on sponsored funds should be directed to:
Responsible Office Contact
Joseph M. Gindhart
Associate Vice Chancellor for Finance & Sponsored Projects Accounting