Payments
Policy
FIACCT 05-07_00 Payments – Payment of meeting compensation (per diem) to boards
Effective: July 1, 1994
Revised: January 11, 2024
Reviewed: January 11, 2024
Purpose
This defines the policy of the Division of Finance regarding the payment of meeting compensation (per diem) to policy boards, advisory boards, councils, or committees within state government.
Policy
Each member of a board, etc. shall receive taxable meeting compensation (per diem) not to exceed $135 for each official meeting attended that lasts up to four hours and taxable meeting compensation (per diem) not to exceed $200 for each official meeting that is longer than four hours. Travel expenses shall also be paid to board members in accordance with the State Division of Finance travel policies. Members may decline to receive meeting compensation (per diem) and/or travel expenses for their services.
Full time state employees serving on boards, etc. shall not be eligible for extra compensation (per diem) to attend board meetings held during normal working hours. State employee board members attending meetings held at a time other than normal working hours will be compensated at the normal taxable rate not to exceed $135 or $200. Travel expenses shall be paid in either case in accordance with the State Division of Finance travel policies.
Board members must be paid their taxable meeting compensation (per diem) through the Payroll System in order to calculate and withhold the appropriate taxes.
Procedures
Responsibility
Action
Board Members Who Are Not Employees of Another State Agency
Department
Prepare appropriate personnel and payroll documents to establish board members on the payroll and personnel systems.
Division of Finance/Department of Human Resource Management
Process documents to establish the board members on the payroll and personnel systems.
Department
- Have the board member prepare and sign an FI 51E to document the board meeting(s) and related travel expenses for which they are requesting payment. Pre-audit the listed expenses and have the appropriate individual(s) approve the form. Enter the meeting compensation (per diem) amount into payroll following the instructions in number 2 below. Enter travel expense reimbursement either as a GAX in FINET or in the State Payroll Travel module.
- Record the taxable meeting compensation (per diem) on the Time Entry Screen of the Time Management System. Use Wage Type 1133 and the applicable rate not to exceed $135 or $200.
- The taxable meeting compensation (per diem) is paid through the payroll system. The reimbursement is either sent by EFT or mailed to the board member’s address.
Board Members Who Are Employees of Another State Agency
Department
- Have the board member prepare and sign an FI 51E to document the board meeting(s) and related travel expenses for which they are requesting payment. Pre-audit the listed expenses and have the appropriate individual(s) approve the form. Follow the directions outlined in number 2 below to pay meeting compensation (per diem). Enter travel expense reimbursement either as a GAX in FINET or in the State Payroll Travel module.
- If the board member is an employee of the State in another agency, notify the Finance Payroll Section to enter the taxable meeting compensation (per diem). Finance will need the name of the employee, the Employee Identification Number, the amount, and the FINET charging information
Division of Finance
- Enter the taxable meeting compensation (per diem) in the Time Entry Screen of the Time Management System.
- The taxable meeting compensation (per diem) is paid by the payroll system and
is disbursed as either an EFT or by warrant mailed to the board member’s
address.