//www.googletagmanager.com/ns.html?id=GTM-KZGK
Finance Division

Cash and Treasury Services

INCENTIVE PROCEDURE
Effective: 1/1/14
Revised: 7/1/14

Related Policy
Related Process

A. GENERAL PROCEDURE
Incentive cards must be purchased through Buyways from the National Gift Card Company (NGC). (Exemptions may be available in situations in which external funding pre-dated this policy or required purchases cannot be accommodated by the NGC). The Responsible Employee or Researcher must first request access to order in Buyways by sending an email to cubuyways@clemson.edu. You will receive an email notifying you that you have been granted access to order incentive cards in Buways.

Advance planning by the responsible person is necessary to assure that no more than a ninety (90) day card supply should be ordered. If the project continues beyond that time frame, multiple incentive requests must be made to provide for a reasonable and timely accounting of funds. Accountability for the cards will be required by providing a list of recipients or research subjects within a ninety (90) day period.
Unused incentives cannot be returned to the supplier. The Responsible Individual should contact their Business Officer to discuss the best method for disposal/reassignment of any remaining cards left over at the end of the project.

B. RESEARCH SUBJECT INCENTIVE PROCEDURE

1. Research Subject Incentive Request
Once granted access in Buyways, the following items are required to be included as an internal attachment to the Buyways requisition to successfully place an incentive card order. An authorized approver must sign all forms submitted. Their signature indicates the appropriate business officer is aware of the request and that documentation has been provided to them:

To allow time for shipping, cards should be ordered 3-4 business days before they are needed. The appropriate account code to use for research incentives on most sponsored research projects is 7312 (Incentive Cards). In cases where projects have participant support costs (PARTSP) specifically budgeted for research participants, the account code
is 7550 (Part Supp Incentive Cards). If you are unsure of which account code to use, please check with your college Post-Award contact.

2. Research Subject Incentive Restrictions
Clemson University has established certain restrictions as to the use of research subject incentives.

    • Under no circumstances are incentives to be used for a purpose other than paying research subjects participating in an approved study outlined in the IRB approval letter.
    • An employee working for the same department that is conducting the research is not allowed to receive incentive cards for research incentive participation.
    • Incentive cards should be given as an incentive as opposed to other cash- like instruments.
    • Incentive cards are not returnable to the supplier. All sales are final.
    • Incentive cards are not to be used to make routine purchases for business needs.

3. Research Subject Participant Payment
A Research Participant Incentive Distribution Log must be maintained by the department for which the study was performed. A copy of the completed distribution log must also be attached to the requisition/PO in Buyways. When necessary, the log will maintain subject confidentiality by the use of identifiers. When no supporting documentation exists and the funds were not distributed to participants with a list, a memo of justification is required detailing why this documentation is not available and how the funds were spent. This memo must be included as an internal attachment to the original requisition/PO in Buyways or no later than January 15th if the study exceeds one calendar year. Due to the nature of the data collected on the Incentive Distribution Log, it must be treated as confidential information. Failure to provide adequate documentation and adhere to this policy will jeopardize the researcher’s ability to use incentives in the future as part of their research projects.

C. NON-RESEARCH SUBJECT INCENTIVE PROCEDURE

1. Non-Research Subject Incentive Request
Once granted access in Buyways, the following items are required to be included as an internal attachment to the Buyways requisition to successfully place an incentive card order. An authorized approver must sign all forms submitted. Their signature indicates the appropriate business officer is aware of the request and that documentation has been provided to them:

Non-Research Incentive Card Statement of Responsibility

To allow time for shipping, incentive cards should be ordered 3-4 business days before they are needed. The appropriate account code to use for non-research incentive cards is 7312.

2. Non-Research Incentive Restrictions

Clemson University has established certain restrictions as to the use of incentive cards.

    • Incentive cards should be given as an incentive as opposed to other cash-like instruments.
    • Incentive cards must not be used in place of bonuses or awards for employees.
    • Incentive cards are not returnable. All sales are final.

Incentive cards are not to be used to make routine purchases for business needs.

3. Non-Research Participant Payment
A Non-Research Participant Incentive Distribution Log along with all supporting documents must be maintained by the department that disbursed the incentive cards. A copy of the completed distribution log must also be attached to the requisition in Buyways no later than January 15th if the activity exceeds one calendar year. When no supporting documentation exists and the funds were not distributed to participants with a list, a memo of justification is required detailing why this documentation is not available and how the funds were spent. This memo must be included as an internal attachment to the original requisition/PO in Buyways no later than January 15th if the event extends to the following calendar year. Due to the nature of the data collected on the Incentive Distribution Log, it must be treated as confidential information. Failure to provide adequate documentation and adhere to this policy will jeopardize the requestor’s ability to use incentives in the future.

D. TAX REPORTING

1. University Employee
The IRS considers incentive cards to be tax reportable as compensation when issued or awarded to the recipient, regardless of value. The value of the incentive cards will be included on the employee’s annual W-2 in taxable income. (Note – this may not apply if the employee is participating in research dissimilar to their normal job functions or do not meet the $600 threshold). It is the Responsible Employee’s duty to make the employee aware of the tax implications of the incentive.
2. Non-Employee
For participants who receive incentive cards over $600 on a single or cumulative basis during a single calendar year, the total of the cards will be reported to the IRS via Form 1099. The subject’s name, address, social security number, date of payment, and payment amount must be sent to University Disbursements, ASB, 108 Perimeter Rd. no later than January 15th of the subsequent calendar year. All personal identifying information should be kept secure and should not be emailed or sent via interoffice mail.

E. INVENTORY
Responsible personnel holding more than one card must perform physical inventory on cards yet to be distributed, at least on a weekly basis. Incentive cards remaining after ninety (90) days must continue to be inventoried on a weekly basis. In addition, the inventory log must be sent electronically to Cash and Treasury on a monthly basis until all incentive cards have been fully disbursed. Inventory must be performed by someone other than the Responsible Employee but in the presence of the Responsible Employee. Both employees must sign off on the inventory log each month before it is sent to Cash and Treasury. Any discrepancies must be reported immediately to Cash and Treasury. Reports of remaining incentive card inventories will be subject to review by Internal Audit.

Utility Links

Search

Text Only Options

Top of page


Text Only Options

Open the original version of this page.

Usablenet Assistive is a UsableNet product. Usablenet Assistive Main Page.