Business Expense Policy Highlights

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					Brown University Business Expenses
April, 2006

                            Business Expense Policy Highlights
                                       Please see full policy for details

   I.   TRAVEL


        Use coach class fares for travel within
        U.S. Business class airfare is allowed
        for international travel where the
                                                                      Use standard room accommodations.
        destination is four time zones (or more)
                                                                      Stay within Annual Spending Guidelines
        away or more than eight hours direct,
                                                                      where practical. Personal expenses
        uninterrupted flight time. First class air
                                                                      must be deducted from the amount
        travel is not permitted unless an
                                                                      requested for reimbursement, see
        exception is approved in advance of
                                                                      Reimbursable - Non reimbursable
        travel by the President, Executive Vice
                                                                      expense listing.
        President for Finance and
        Administration, or the Provost. Special
        restrictions on grant funded airfare
                                                                      Meals while Traveling
        expense – see policy.

        Auto Rental                                                   Use reasonable, standard class
                                                                      restaurants. Stay within Annual
                                                                      Spending Guidelines. Per diems are
        Rent at midsize class or less, unless
                                                                      permissible using Federal guidelines if
        exception authorized. Traveler should
                                                                      applied consistently throughout trip.
        decline all insurance if renting in the
        U.S., accept insurance if in foreign
        country. Corporate Agreements, for
                                                                      Alcoholic Beverages
        discounted rates, are in place with
        National and Enterprise rental agencies.
                                                                      The cost of alcoholic beverages while
        Train                                                         on Brown travel is not a reimbursable
                                                                      travel expense. However, see Business
        Use lowest fare which offers reserved                         Meals & Hospitality Policy for application
        seating; however business class fare is                       to business functions and events.
        allowable when service is less than
        normal coach airfare.                                         Receipts

        Personal Auto                                                 Original receipts are required for
                                                                      expenses of $50 or greater. E-ticket
        Actual mileage reimbursed at $.485 per                        receipts are acceptable in lieu of paper
        mile for calendar year 2007. Rate                             tickets and boarding passes.
        changes each January in accordance
        with IRS guidelines and includes gas,                         Business Purpose
        oil, towing charges, repairs, insurance
        and damages.                                                  Brown travel must have clear business
                                                                      purpose stated on request for payment
        Taxis, Limos, Shuttles                                        or reimbursement. Include sufficient
                                                                      detail and documentation such that a
        Use auto services which balance lowest                        reader will understand University
        cost to the University with convenience                       purpose.
        and scheduling. Use of limousine
        services should be under exceptional

Controllers Office
Brown University Business Expenses
April, 2006

       List of Reimbursable / Non-                     clothing or toiletry items
       reimbursable Expenses                           credit card annual fees,
                                                        delinquency fees, or finance
       Reimbursable Expenses                            charges
                                                       frequent flyer tickets
       Travelers will be reimbursed for the            hotel safety deposit box (safe)
       following miscellaneous expenses                insurance - rental vehicle for
       incurred while on University business            domestic travel
       travel:                                         loss or theft of cash advance
             baggage handling/storage                  money or airline tickets
             business office expenses (fax,           loss or theft of personal funds
                copy services, telegram/telex,          or property
                internet, etc.)                        lost baggage
             business phone calls                     luggage or briefcases
             currency conversion fees                 medical expenses while
             gasoline for rental cars                  traveling
             inoculations required for                membership fees for any travel
                international travel                    "cost-reduction" programs
             laundry (if duration of the trip         movies and video games
                exceeds 5 days)                        "no-show" charges for hotel or
             maps                                      car service
             overnight delivery/postage               optional flight, travel, or
             parking and tolls                         baggage insurance
             phone call home (once per                over-the-counter medication
                day)                                   parking ticket or traffic
             prescription medication                   violations
                required for international travel      personal automobile routine
                (not personal meds)                     maintenance/tune-ups
             tips                                     personal entertainment,
             traveler check fees                       including sporting events
             visa/passport/consulate fees             personal property insurance
                                                       pet care
       Non-Reimbursable Expenses                       reading materials including
                                                        magazines, newspapers and
       Travelers will not be reimbursed for             books
       personal expenses, including:                   saunas or massages
            airline club membership dues              shoeshine
            alcoholic beverages                       souvenirs or personal gifts
            auto repairs                              spouse/dependent travel
            barbers and hairdressers
            child care services
            vacation - expenses related to
                personal days before, during or
                after a business trip

Controllers Office
Brown University Business Expenses
April, 2006

                           Business Expense Policy Highlights
                         Please see full policy on Controller’s website for details


       Business Purpose                                             Donations to Other Charitable
       All expenses permissible under this
       policy require clearly stated University                     Generally not allowable unless
       business purpose, must be reasonable                         approved at the senior officer level.
       and prudent in nature, and adhere to                         Requests for payments must included
       any restrictions applied to federal or                       documentation explaining nature of gift
       other restricted funds. Expenses for                         and relationship or the donee to the
       personal events, (i.e. birthdays,                            University.
       weddings, showers, etc.) are not
                                                                    Business Functions

       Business Meals                                               Certain events and functions are
                                                                    allowable business expenses if the
       Meals with business associates,                              intention is to provide hospitality to
       university guests, job applicants,                           individuals associated with the
       professional colleagues and donors                           University, as necessary and customary
       during with University business is                           in furthering University mission and
       discussed are allowable.                                     interests. Examples include receptions,
       Original receipts and Meals & Hospitality                    alumni events, and parent-student
       Form required if expense totals $50 or                       events. Preference to University
       more.                                                        departments for food and services.
       See Annual Guidelines for suggested
       dollar limits.                                               Alcoholic beverages are allowable within
                                                                    such functions. University-sponsored
                                                                    events require use of Dining Services
       Gifts to employees                                           staff (or their approved substitute). Off-
                                                                    campus locations require Responsibility
       Gifts to, or on behalf of, employee are                      for Alcoholic Beverages Form.
       permissible in case of a) retirement, b)
       illness requiring hospitalization, c) death
       of employee or immediate family                              Employee Events
       member. Memorial gifts may be in form
       of a donation to charity. See Annual                         Expenses associated with employee
       Guidelines for suggested limits.                             events which are complementary to a
                                                                    department’s mission or that foster a
       Gifts in recognition of work-related                         sense of community among faculty, staff
       achievement or years of service are                          and students are allowable. Examples
       allowable as provided by University-                         of such events are holiday parties,
       wide recognition programs. Holiday                           summer picnics, open houses,
       gifts to faculty, staff, students and                        receptions and retreats. Current
       volunteers are not allowable.                                spending guideline is $50 per employee
                                                                    per year.
       Prizes and awards in the form of cash
       and gift certificates are taxable to the
       employee and need to be reported to                          Documentation
       the Payroll Office. Prizes in the form of
       personal property are taxable if in                          In addition to receipts, primary
       excess of $100.00.                                           documentation is Business Meals &
                                                                    Hospitality Form. This form documents
                                                                    attendees, business purpose, dates,
                                                                    place and amount, in accordance with

Controllers Office
Brown University Business Expenses
April, 2006
       IRS guidance on business expense           The costs associated with personal cell
       documentation.                             phones are not allowable costs for
                                                  reimbursement by the University.

                                                  Home Internet Charges
       Exceptions to provisions in this policy
       require written approval from a senior     Generally not allowable unless a)
       officer. Memorandum or related             responsibility of position is to maintain,
       document justifying the request for        monitor, support a departmental
       exception, signed by the host’s senior     computing environment and internet
       officer, must accompany reimbursement      access is required; b) employee works
       request.                                   from home at Brown’s request and
                                                  internet access is required, or c)
                                                  employee has received grant funding
                                                  which allows for access from home
   III. COMMUNICATION DEVICES                     office location. All exceptions above
                                                  subject to department head approval.

       Cellular Telephones                        Mobile PDAs (Blackberry)

       Cellular phone may be an allowable         The purchase and use of wireless pda’s,
       expense if used for University business    such as a Blackberry, requires prior
       only, subject to approval by the           approval from a senior officer, or their
       department head. Such phones should        designee. Employee must provide
       be purchased through the Computing &       documentation for business use and
       Information Services department and        demonstrate continued need on an
       meet the requirements set forth in their   annual basis. In addition, department
       application form.                          head must approve funding source.

Controllers Office
Brown University Business Expenses
April, 2006

Annual Spending Guidelines
Effective January, 2007

                            $0.485 (2007)   Per mile (includes all operating costs - gas, oil, towing, repairs and
     Travel Mileage Rate
                                            insurance) IRS Fixed Rate

     Moving Mileage Rate    $0.20 (2007)    Per mile for mileage related to relocation moving. IRS Fixed Rate

                                            Average daily cost of a midsize rental includes all charges incurred i.e.:
     Car Rental Rates       $ 50.00
                                            mileage, gas, taxes, etc.)

     Meals - Travel         $ 50.00         Average per day including tax and tip Note: This is not per diem

                                            $10.00 breakfast

                                            $15.00 lunch

                                            $25.00 dinner

                                            Average per day for major US cities (Boston, Chicago, New York, San
                            $ 75.00         Francisco, and Washington, DC.) and major foreign cities Note: This is
                                            not per diem

                                            $15.00 breakfast

                                            $20.00 lunch

                                            $40.00 dinner

     Meals -
                            $ 20.00         Breakfast

                            $ 20.00         Lunch

                            $ 60.00         Dinner

     Hotel                  $ 150.00        Average daily rate including tax

                            $ 200.00-       Average daily rate including tax for major US cities (Boston, Chicago,
                            $250.00         San Francisco, Washington DC.)

                                            New York and foreign destinations
                            $ $250.00-

     Lodging Hospitality    $ 75.00         Maximum gift allowance (gift of appreciation should be commensurate
                                            with length of stay)

     Memorial Gift          $ 50.00

Controllers Office