Honorariums and Awards

Honorariums

An honorarium is a payment to present to someone to express respect, esteem or admiration for receipt of their time and effort. Honorariums can be given when a contract is not involved. Expense reimbursements can be given in conjunction with an Honorarium.

"Honorarium" is often used incorrectly when processing payments. An honorarium should be sent to a person for someone's time and effort when there is not a contract. Consider it like a speaking fee or a consulting payment.

Examples of Honorariums

• Speaking fees
• Consulting payment

NOT Considered Honorariums

• Teaching a class
• Paying a contract for a speaking engagement
• Payment to a company

Processing an Honorarium

To process an honorarium for payment, it will require a W-9, Conflict of Interest form, Direct Payment Request from and Contracted Services form. (The Contracted Services form is used to process the payment of the honorarium and honorariums should be given when no contracts are in place.)

Prizes and Awards

Awards or prizes are payments given for an achievement, merit, or to a contest winner. Vendor File Management will need a W9, Conflict of Interest form, and a letter or announcement indicating the award to the recipient to process the award payment. Accounts Payable will need just the announcement letter. The Award Payment Processing Guide can be used to help with this process.

Stipends

Stipends are payments provided to individuals in lieu of reimbursing for specific expenses. Vendor File Management will need a W9, Conflict of Interest form, and a letter indicating a stipend is given to the recipient to process this type of payment. Accounts Payable will need just the announcement letter.