Payments to People
- IRS Requirements
- Expense Reimbursements
- Moving Expenses
- State Sales Tax Exemption Certificate
- Direct Deposit (ACH) Option
- Independent Contractors
- Most Frequently Asked Questions
IRS Requirements
IRS requirements attempt to ensure all taxable income is reported. Therefore, a few points of importance which should be addressed:
- An individual on NSU's Payroll system MUST be paid for ALL SERVICES through Payroll (and taxed accordingly).
- Receipts submitted for reimbursement MUST be the original (copies must be reported as wages - in the event taxpaying individual attempts to claim it as an unreimbursed business expense).
- NSU submits Form 1099s for all independent contractors who have a filing status of Individual/Sole Proprietor or Partnership and compensation for the previous calendar year exceeding $599.
Expense Reimbursements
Expenditures incurred by NSU employees will be reimbursed by Accounts Payable if processed on a Check Request and signed by a University official authorized to approve charges to the account.
A properly executed Check Request will have the person's name, address, NSU ID or Vendor number, justification for expenditures and original receipts of items purchased.
Send the Check Request or Travel Expense Report to Accounting, Budgeting & Financial Planning (third floor, Technology Building ).
Moving Expenses
Moving expenses are reimbursable for certain newly hired NSU employees. If the employee's contract has a moving expense clause, he or she is entitled to having expenses totaling 1/12 of their annual salary associated with the move reimbursed by NSU. If the employee leaves the University after one year, 2/3 of the amount reimbursed is due back to the University. If the employee leaves the University after 2 years, 1/3 is due back to the University.
Authorized moving expenses are established by the FSEHS Employee Services department. ABFP cannot authorize any payments associated with moving expenses until a letter of authorization from FSEHS Employee Services is on file.
State Sales Tax Exemption Certificate
Accounts Payable has designed a card the size of a credit card (for easy handling and storage) with NSU's Fla. Sales Tax Exemption number. This card will enable those individuals who occasionally find themselves making purchases on behalf of the institution being able to reduce the cost of purchase by saving the sales tax amount due.
Contact Accounting, Budgeting & Financial Planning Department to obtain a card for yourself and/or others in your department.
Direct Deposit (ACH) Option
Employees receiving at least one check from NSU Accounts Payable a month for travel can have their disbursements sent as direct deposit into their checking accounts via ACH. An e-mail is sent to you notifying you of the amount deposited to your account.
Contact the ABFP department in order to sign up or download the Individual/Employee Direct Deposit Form For A/P (PDF).
Independent Contractors
Compliance with Internal Revenue regulations when making payments to individuals for services rendered have made us become extremely cautious in our practices in order to carry out this process. The IRS defines an independent contractor as someone who is conducting a service or consulting work but whose method, means, place or time in so doing, you as the "hiring agent", have minimal say in the process used in order to obtain the results.
Contact the ABFP department for a more extensive explanation in this matter. Download the Independent Contractor Agreement (PDF).
Most Frequently Asked Questions
Why do I have to submit my original receipts to the University to be reimbursed?
To ensure they will not be resubmitted for reimbursement; 2) to ensure to the IRS that they will not be submitted by the original payee as a taxable business expense.
Who is entitled to moving expenses?
Usually faculty and upper administration is entitled to moving expenses.
Do I pay for my moving and get reimbursed or will the school pay directly?
Either way is acceptable, even a combination of both. Our goal is to make a usually stressful process a little less stressful. The key is to ensure ABFP has the memo from FSEHS Employee Services department authorizing moving expenses.
If I am in a bind, can I use the NSU SunTrust VISA card for a personal matter?
No, when signing up for the card, you acknowledge the card's usage which negates personal use.
Where can I present the Fla. Sales Tax Exemption Certificate?
The certificate can be presented to any merchant in the State who would otherwise tax the purchase you are making on behalf of NSU.
How do I know if I have been reimbursed via direct deposit for an Accounts Payable disbursement?
Read your e-mail messages. An e-mail will be sent; telling you how much was deposited into your CHECKING account.
I want to hire someone to assist me in setting up a new program in my center but the individual wishes to be treated as an independent contractor and not be taxed at this time?
You can hire an individual to set up a program for you and acknowledge this person as a consultant PROVIDED this person is given an overview of what you wish to obtain, and this person only follows up with you periodically to show you progress made BUT you cannot be instrumental in the person's results, methods, provide them working location, or equipment, or instruct them on what to do.