University travel


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  • Welcome, introductions, thanks for opportunity to provide serviceHave open on desktop sample forms and websites to reference:Request for Out of State Travel form Travel Expense Voucher form travel website: travel policy
  • (slides timed)In this short session, we will: provide a brief overview of the university travel process, as notedoverview should address many of the questions submitted in advance regarding authorizations and reimbursementsdiscuss frequently asked questions or travel “issues”Feel free to ask questions throughout.
  • (click) If not authorized, university is not obligated to reimburse.(click) All individuals includes faculty, staff, students and third parties traveling in the official service of the university, e.g. consultants. State regulation definition—”individuals who are not [university] employees, but who are traveling on official business for the [university], or who represent the [university] at the direction or request of a [university] official…”
  • Purpose must be for official university business—name of the event, benefit to the university, e.g. SunGard Summit conference for professional development related to financial systems.For the benefit of the approver, attach information regarding the event such as registration information or meeting agenda.(click) Approved forms matched up with vouchers when submitted.
  • Without the authorization, the university is not obligated by policy to reimburse any expenses incurred. (click) Note that a traveler cannot approve his/her own request, even if he/she is the department head/financial manager. Supervisory approval ensures consideration of coverage/delegation of regularly assigned duties during the professional leave to travel.(click) Financial manager(s)—may be the traveler’s supervisor in many instances, or may be the traveler him/herself. In some instances travel may be funded by several budgets—department, college, grant, etc. Each funding source must authorize traveler to incur expenses, not only for budgetary consideration, but in the case of grants for allowability.Requires at least two different authorizing signatures.If required authorization is not obtained in advance…
  • Authorization similar to out of state and Canadian travel, with additional authorization at Provost/VP for Admin level, and inform President’s office.(click) Reimbursements different—will discuss more in the Travel Reimbursement section, but important to for traveler to understand differences BEFORE traveling to ensure appropriate documentation of expenses for reimbursement.
  • Traveler doesn’t necessarily need a pro-card, especially if traveling infrequently; a department administrator’s card can be used to prepay most expenses, and in many instances can be used to pay lodging with appropriate authorization forms from hotel.(click) University should front as much of the expense for the traveler as possible to limit the out of pocket requirement.(click) Caveat to employees who may want to pay their own expenses in advance (credit card rewards programs, etc.)—there are carrying costs until travel is complete. Most travel services/airlines/hotels allow the purchaser to provide the traveler’s frequent flyer/member/rewards number on the reservation.
  • (slides timed) We will review each item to discuss various types of expenses related to these basic categories.State travel regulations require economy, budgetary constraints require economy, common sense or “headline” factor demands prudence, i.e. first-class travel, luxury car rentals, upgraded accommodations, etc.
  • Planes, trains and automobiles…Airlines21 day advance fares, when possibledirect routesplan expenses as you would personal travel—economicallyagency fees—Expedia, Travelocity, travel agent, directly through airlinebaggage fees—most airlines charge, pay online with pro-card with advance check-in(click) Taxi/shuttle service-reasonable and necessary—not to/from meals or social events-receipts—often blank-appropriate gratuity-cash out-of-pocket(click) Rental cars-justification not just because you want to travel around during official business-university contracts with Enterprise and National-cost of rental vs. personal mileage-daily/weekly rates, usage-direct expense for fuel for rental car
  • Mileage reimbursement rate includes all direct and indirect expenses(click) Calculations using online directions(click) Mileage vs. commercial transportation—mileage reimbursement limited to the most economical conveyance, e.g. flying vs. driving to Florida, reimbursement limited to cost of 21 day advance economy class flight
  • Commuting mileage is personal expenseDirect expenses include fuel, maintenance, insurance, repairs(click) Shared transportation—another traveler’s expense or expense shared with another traveler, ask for 2 receipts (e.g. taxi/shuttle) or one traveler claims expense, other note on voucher traveled with _____ in rental car or personal vehicle(click) Parking/tolls—parking may be included in hotel folio, receipts if over $10(click) Travel time—enough time to arrive and depart with full attendance at event, e.g. day before, day after. Personal days added to the front or back of university travel are at traveler's cost. University does not fund your vacation travel! (common sense/prudence)
  • Optional events—banquet meals, social outingsIncluded meals—receptions are not considered meals(click) Agenda/schedules provide dates and location of event for purposes of booking necessary transportation, lodging
  • Taxes related to lodging are reimbursableParking allowable if authorized; internet access if required for business purposes(click) Shared—separate folios for shared room, shared cost.(click) No-cost—may be shared room where other lodger is paying full cost or staying with friends/family; must indicate where lodged during travel to be eligible for meal per diem. Indicate in Purpose: line or in Other Expenses/Prepaid Items section.(click) Incidental expenses are usually personal and not reimbursable, e.g. in room movies, room service/mini-bar/bar/restaurant meals, dry cleaning, long distance phone charges, etc. Do not use pro-card for incidentals. Provide personal credit card upon check-in to separate room and tax charges from incidental expenses. Some of these expenses may be reimbursable, but not at the full amount, e.g. meal expense allowable to per diem not a full actual cost. Save from having to reimburse these back to the university (and from having to answer to the pro-card administrator).
  • Per diem in many/most cases does not cover the full cost of eating, (University pays us salary which is intended to cover cost of food, shelter, clothing, etc.) but does offset the incremental costs of eating away from home.(click) Receipts required for international travel meals(click) time/distance(click) meals in registration fees
  • (click) rates include…
  • (slides timed)Substantiation—discuss rules of an accountable plan as described in IRS Pub 463 Travel, Entertainment, Gift and Car Expenses Including all expenses, whether or not there are any amounts remaining due to the traveler, substantiates travel If the supporting documentation does not satisfy the rules of an accountable plan, the amount becomes taxable income to the traveler, whether paid out of pocket by the traveler or prepaid by the university. Must be substantiated in the same manner if deducting the expenses personally on itemized tax return, subject to limitation of 2% of AGI.Claimant’s signature certifies that expenses claimed are proper reimbursable expenses, not reimbursed from any other source; Supervisor’s signature verifies same. Financial Manager’s signature authorizes the expense to be charged to the indicated budget(s). Financial Manager and Supervisor or Traveler may be the same. Claimant and supervisor must be different, even if the claimant is the financial manager.
  • (click) traveler info(click) FOAPAL infoOpen sample voucher form
  • One line for each dateExample three days traveling from Richmond to San Francisco for Summit:03/01/10 left 6:00 am From: Richmond, KY To: San Francisco, CA Purpose: Travel to attend SunGard Summit conference03/02/10 (no left/returned time) From/To: San Francisco, CA Purpose: To attend SunGard Summit conference03/03/10 returned 10:00 pm From: San Francisco, CA To: Richmond, KY Purpose: Return travel from SunGard Summit conferenceExample one day trip to Frankfort for meeting:03/01/10 Left: 7:00 am Returned: 1:30 pm From: Richmond, KY To: Frankfort, KY Purpose: To testify to Council on Postsecondary Education on tuition increases(click) reimbursable expenses
  • Amounts on additional pages will carry forward to front page of voucher.(click) Other out of pocket expenses include airfare paid by the traveler, baggage fees, baggage handling tips, shuttle service, taxi fare (not to go to meals, but to/from hotel/event venue to airport), goods purchased, e.g. publications, etc.(click) Include all prepaid/pro-card paid items related to the trip, e.g. registration fees, airfare paid by the university, etc.; these amounts will be deducted from the reimbursable expenses.(click) Amounts on Other Expenses/Prepaid items summarized in reconciliation on front page
  • Explain source for amounts carried forward to different calculated fields on voucher(click) Total paid upper right corner, list all budgets charged with authorization; total for each org/account must equal Total Amount Paid.(click) amounts calculated on additional pages carry forward to reconciliation portion on bottom right of front page
  • (slides timed)
  • Reference websites provided at back of PPT; print out mileage document(click) Receipts—reference Table 5-1 How to Prove Certain Business from IRS Pub 463 Airfare does not need boarding passes, itinerary with amount suffices(click) registration fees(click) lodging(click) other misc(click) copies of prepaid/pro-card receipts (originals kept with pro-card documentation; out of pocket expenses, original receipt required.(click) small receipts for parking, fuel, tolls, taxis—careful when taping down receipts not to obscure information—especially thermal paper, highlighters and tape obliterates printing
  • (slide timed)Gives us the most difficulty… provide example of Summit programSubstantiation of expense does not require detail to the session level or proof of presentation; however, may be required of department, college or grant
  • Meals not paid by per diem—must obtain receipts(click) Exchange rates for time period traveled; charges paid by pro-card/credit card will generally appear on pro-card/credit card statement in USD at exchanged rate.(click) translation—receipts generally understandable, but assistance always appreciated
  • Traveler(click) Supervisor(click) Financial Manager
  • Correctly completed voucher usually the problem. Items often missing—reference list(click) review(click) in-process indicator $0.01(click) increased processing times—submit voucher timely; don’t plan on saving travel reimbursements for holiday shopping money…  or financial managers saving until end to be sure funds are available—can use “not to exceed” provision to limit total reimbursement to pre-authorized amount
  • University travel

    1. 1. University TravelDivision of Accounting & Financial Services Accounts Payable
    2. 2. Objectives• Travel Authorizations• Travel Arrangements and Reservations• Reimbursement of Travel Expenses – Applicable Policy and Regulations – Processing Timeline – Additional Guidance 2
    3. 3. Travel Authorization• Request for Out of State Travel – Form available at – Documents authorization to incur travel expenses – For all individuals traveling out of state on official university business, including students 3
    4. 4. Travel Authorization• Request for Out of State Travel—continued – Document estimated expenses of travel • Support estimates with available documentation to aid approvers in decision making – Describe university business purpose of the trip – Submit to Accounts Payable at least five (5) business days prior to travel – Accounts Payable keeps approved forms on file• Travel to Canada follows same procedures 4
    5. 5. Travel Authorization• Request for Out of State Travel signed by: – Traveler—to request authorization to travel and incur expenses – Supervisor—to document approval for traveler to travel and incur expenses for university business – Financial Manager of funding department(s)—to authorize commitment of funds to support travel expenses 5
    6. 6. Travel Authorization• International Travel – Additional authorization required from Provost, VP for Administration, President – Reimbursements • Actual meal expenses, receipts required • Document of exchange rates 6
    7. 7. Travel Arrangements & Reservations• Travel pro-card• Prepay expenses – Registration fees – Commercial transportation – Lodging deposits• Expenses prepaid by traveler are reimbursed after travel is complete 7
    8. 8. Reimbursable Travel Expenses• Transportation• Registration fees• Lodging• Meal per diem• Other expenses• Expenses must be as economical as feasible 8
    9. 9. Transportation• Commercial transportation – Airline • Travel agency fees • Baggage fees – Taxi or shuttle service – Rental car • Business purpose justification • University contract includes insurance • Direct fuel costs 9
    10. 10. Transportation• Personal vehicle mileage – Rate set by state policy quarterly – Point to point and vicinity mileage • Use online calculator: – Rand McNally – Google maps – MapQuest – Mileage vs. commercial transportation—most economical conveyance 10
    11. 11. Transportation• Personal vehicle mileage—continued – Shorter of home or workstation to destination – No commuting mileage – No direct vehicle expenses• Shared transportation• Parking and tolls• Travel time 11
    12. 12. Registration Fees• Conference registrations – Optional events – Included meals• Meeting agenda, schedule at-a-glance 12
    13. 13. Lodging• Hotels, motels, state parks, campgrounds, etc. – Single room rate • Room and tax • Parking • Internet access• Shared accommodations• No-cost accommodations• Non-reimbursable incidental expenses 13
    14. 14. Meal Per Diem• Defrays the additional cost of eating away from home• No receipts required for travel in US/Canada• Must meet distance and time requirements – More than 40 miles from workstation and home – During established mealtime hours• Meals included in registration fees may not also be claimed as per diem 14
    15. 15. Per Diem Rates• High and low rates – All Kentucky at low rate – High rate areas set by state policy FAP 120-17-03 • Link to policy – Rates on Travel Expense Voucher form• Rates include: – Applicable tips – Transportation to and from meals 15
    16. 16. Travel Reimbursements• Travel Expense Voucher – Form available at – Substantiates travel expenses under IRS regulations for an accountable plan – Includes all expenses related to travel, including those prepaid by the university 16
    17. 17. Travel Expense Voucher Form• Use correct form for dates of travel to ensure correct mileage rate reimbursement• Provide information about the traveler – Name, EKU ID (not social security #), Department – Include contact information – Employee workstation—typically Richmond – Home address• Indicate FOAPAL to charge 17
    18. 18. Travel Expense Voucher Form• Document travel performed from origin to destination for each day of travel – Date and time of departure or arrival – Purpose or reason for travel• Enter amounts of reimbursable expenses – Mileage, parking, tolls, lodging, per diem – Expenses paid by pro-card will be summarized in the Prepaid Expenses section 18
    19. 19. Travel Expense Voucher Form• Continue onto additional pages for additional days of travel• Other Expenses/Prepaid Items – Itemize other out of pocket expenses at top – List items prepaid or paid by pro-card at bottom• Amounts carry forward to Travel Expense Reconciliation section on front page 19
    20. 20. Travel Expense Voucher Form• Totals – Travel Expense Reconciliation (front page bottom) • Grand total • Prepaid by EKU • Amount Owed to Traveler • Reimbursement LIMIT NOT TO EXCEED – Total Amount Paid (front page top) • Total of amounts by Org Code/Account(s) • Financial Manager’s Signature(s) – Additional pages (bottom of each additional page) 20
    21. 21. Travel Expense Voucher Form• Use Purpose or Other Expenses/Prepaid Expenses sections to document other information – Shared transportation paid by another – No-cost accommodations with per diem claimed 21
    22. 22. Supporting Documentation• Receipts – Transportation—include dates/times, amounts – Registration fees—lists meals included – Lodging—itemize room/tax, dates, amounts – Other miscellaneous expenses – Include prepaid or paid by pro-card receipts – Small receipts tape down to full sheet 22
    23. 23. Supporting Documentation• Conference schedule “at-a-glance” – Documents dates/times of event – Indicates Events/meals included – Full conference program “book” or presenter information not needed to substantiate travel 23
    24. 24. International Travel• Submit receipts for actual meal expenses• Obtain exchange rate for conversion of all expenses to US Dollars on travel voucher •• Provide explanatory notes to aid in review of receipts not in English 24
    25. 25. Required Signatures/Approvals• Traveler – Certifies expenses claimed were incurred for university business in compliance with regulations and not reimbursed from any other source• Supervisor – Certifies traveler’s report of expenses related to university business in compliance with regulations and not reimbursed from any other source• Financial Manager(s) – Authorizes expenditure for approved travel expenses from budget 25
    26. 26. Voucher Processing Timeline• 10 business days from receipt in Accounting – For correctly completed voucher with all required authorizations and supporting documentation – Accounts Payable Clerks review each voucher for compliance with travel regulations and accountable plan requirements – Check vendor history--$0.01 indicates the voucher is in Accounting to be processed – High volume times—end of semester, fiscal year 26
    27. 27. Voucher Processing Timeline• AP Clerks enter reviewed voucher data• Accounting Clerks verify data entry• Accountants approve voucher invoices – Grant funded—Sponsored Programs Accounting – Foundation funded—University Advancement• Direct deposits processed daily 27
    28. 28. Additional Guidance• Funding source – Travel must comply with terms of grant, agency or other restricted purpose• May claim mileage for drop off/pick up to/from airport rather than airport parking• Prepay items to minimize out of pocket expenses for traveler• Receipts not required for expenses under $10 28
    29. 29. References• University Forms •• University Travel Regulations •• State Travel Regulations •• IRS Publication 463—Travel, Entertainment, Gift, and Car Expenses • 29
    30. 30. Questions?• Contact Accounts Payable – (859) 622-1810, option 2—AP Clerks – Leave voice mail messages – Email questions to THANK YOU! 30