Payment Reason Guidelines | Finance & Budget

Payment Reasons on the Disbursement Voucher (DV) in UAccess Financials serve multiple purposes including ensuring designated business rules programmed within the system are met, routing requirements are met based on the business needs of central administration unit, and supporting the University of Arizona reporting requirements. The following information has been created to assist users with identifying the correct Payment Reason, based on the expenditure, when creating a Disbursement Voucher. Additionally, this document provides criteria that Accounts Payable staff reviews to approve the expenditure. This information should be utilized as a reference tool only, as it is not inclusive of all scenarios that occur on the University campus, nor does it replace University of Arizona expenditure policy.

NOTE: The University Business Purpose should always be indicated in the 'Explanation field of the Disbursement Voucher' as this will expedite the review and approval of the transaction.

Code	Payment Reason	Payment Reason Description	Supporting Documentation required and Helpful Tips to support the expenditure:
A	Award / Prize	Payments made for Prizes and Awards must be made to Non-employees only. Awards may not include personal services, scholarships, or fellowship payments. For payments of Prizes and Awards to University Employees, please contact University Payroll.	Description of contest or event promoting the distribution process of the award and the selection criteria used to support the University business purpose for the award. If award/prize exceeds $50.00 recipient is required to provide their SSN number to create the payee vendor record. If payee is a non-US Citizen, additional documentation and withholding may be required. Please visit FPM 6.4 Payments to Nonresident Aliens. Recommended Object Code - 5780
E	Expense Reimbursement	Reimbursement for out of pocket expenses to University employees and individuals who incur University business related expenses. This payment reason may not be used in lieu of the procurement process.	Original, itemized receipt(s) should include description of purchase(s), amount, date of purchase and name of establishment purchase was made. Proof of payment may be required Employee approval is required on the DV by Adhoc routing to employee or digital signature on DV Cover Sheet or Expense Reimbursement Form. Packing slips or order forms alone are not acceptable documentation for a reimbursement
F	Foreign Visitor Payment	Payments made directly or on behalf of nonresident aliens/individuals who are other than U.S. citizens or Permanent Residents (green card holders). This payment reason can include business related expenses, fees for services including honorarium, royalty, etc.	Payments to a foreign company Payments made to individuals who are Non-US Citizens Payments made to third party vendors on behalf of a foreign individual
I	Independent Contractors	Compensation for services performed by Non-employees only. Some common object codes would include 3150, 3230, 3490. An Independent Contractor (ICON) is form required.	Payment to individuals performing services whereas the employment process is not appropriate. Digital signed ICON form is required Invoice billing OR digital itemized receipts if reimbursements requested, should be attached to the DV. Suggested Object Codes = 3150, 3230, 3490
H	Interview Expenses	Expenses incurred to recruit a prospective employee, including airfare, transportation, lodging, meals and other necessary expenses related to the job interview or recruitment process.	University Talent requisition number is required to be documented on the DV Digital itemized receipts Home mailing address. Object code suggestions - 5570, 5571
M	Moving Expenses	Transportation of University business equipment only, such as laboratory equipment or office furniture when moving a department. Please see FPM 6.8 Relocation Policy for Employees for handling employee moving expenses.	Invoice from moving company Suggested Object Codes = 5580 or 5581.
X	Other	Miscellaneous payments, etc.	Miscellaneous payments (IE: Vendor payments, Operational Advance, Change Fund, Petty Cash, etc.)
Y	Prepaid Travel Expense	Prepaid travel expenses for lodging, airfare, conference registration and car rental paid to vendors on behalf of employees and non-employees on University business.	Payment directly to a third-party vendor to prepay hotel expenses or other travel expenses to avoid out of pocket expenditures on behalf of employee, students or non-employee.
B	Refund	Refund(s) to employee, individuals, vendors, or sponsoring agencies based on monies received by the University.	Purpose for the refund must be documented Reference to original Cash Receipt or deposit of funds being refunded. Original account whereas the monies reside should be the account utilized for the refund.
P	Royalty/Permission Fees	Royalties or permission fees paid for the use of or the right to use intellectual property or physical assets. Use object level code LIC for royalty/permission fees.	Royalty statement or permission contract should be provided to support expenditure. Reportable income to the payee Suggested Object Code = 4660
N	Stipend	Scholarships/Fellowship payments and participant support for Non-employees and Non-University students.	Object code suggestions = 3250
V	Travel Advance	Travel advances may be issued to active University employees or graduate students.	Original Travel Authorization form along with employee promissory note signature. Object Code requirement = 8315
T	Travel Expense	Travel expense reimbursements for University employees, students and affiliates traveling for University business purposes.	Expenditures for traveling on University business by employees, students and affiliates. Suggested Object Codes: 6140-6342
K	Utility/Freight	Payment for freight and utilities such as telephone service, internet service, etc. Use object level codes UTIL, COMM, COS and MISC for utility and freight object codes.	Payments made directly to a freight and utility company. All pages of the freight and utilities invoice are required to initiate payment. Only 'current charges' can be paid on Utility/freight invoices. Utility and freight invoices should be attached to the DV. Suggested Object Codes: 4510 – Electric 4520 – Gas 4550 – Water/Sewer 3860 – Long Distance 3840 – Communication equipment 3950 – Communication Plans

This list should be utilized as a training tool and is not an exhaustive list due to the unique circumstances within each department. Please consult your Financial Management fund accountant or an Accounts Payable Specialist for additional assistance.

A receipt should contain the following:

An itemized list of what was purchased
The amount of the purchase
The date of the purchase
The name of the vendor

Alcohol and related tax & tip is non-reimbursable with University funds (please see your fund accountant).

Please contact Accounts Payable at 520-621-9097 or FNSV-Accounts-Payable@arizona.edu if clarification is needed or for guidance on the proper selection of a Payment Reason in UAccess Financials.