Administrative Policies and Procedures Manual - Policy 2170: Honorarium Payments

Date Originally Issued: 10-15-1995
Revised: 07-01-2004, 05-22-2006
Subject to Change Without Notice

Authorized by UNM Regents' Policy 7.4. "Purchasing"

1. General

Departments may pay an honorarium to an individual of special achievement or renown, in return for that individual's willingness to visit the University and participate in a University event of short duration (such as speaker, reviewer, seminar participant, etc.), with the understanding that the payment does not constitute compensation commensurate with the actual services provided. An honorarium check should be presented to the recipient on completion of the service. An honorarium is not intended to be a payment for services rendered by either an independent contractor or an individual working in an employment relationship. Honoraria cannot be paid to employees.

2. Payment Procedures

To request an honorarium payment, the department must complete a Direct Pay Approval (DPA) form using the Banner form FZADPEZ.  A detailed description of the purpose or function of the honorarium payment must be included on the DPA Form. The department must print the DPA Form, attach required documentation, and obtain the signature of the dean, director, or department head and send the signed DPA Form to the applicable accounting office for approval.

3. Taxability Reporting

The University must report honorarium payments on form 1099; therefore, a social security number from the recipient is required. The entire amount of the honorarium will be reported on the recipient's 1099 unless the recipient chooses to include a signed itemization of travel expenses or submit original receipts related to the service. These expenses will be deducted from the total amount of the honorarium.

3.1. Foreign Nationals

There are restrictions on honorarium payments and expense reimbursements to foreign nationals. Contact the appropriate accounting office prior to making any commitment for an honorarium payment or expense reimbursement to a foreign national.