Disbursement Policies and Procedures

There are many policies and procedures related to disbursement at Clemson University. We have included a comprehensive list of topics to review regarding the process for handling disbursements or payments in your department. If you have questions about these policies or procedures, please use Ask Procurement to reach out to our office.

The policy of the University relative to payment of goods and services is that payment will not be made until after goods have been received or services have been rendered unless the vendor requires payment at the time of order. Exceptions can be made when registration for events such as educational or business-related conferences is practical.

Guidance for Purchasing and Serving Alcohol at Events Hosted by Clemson University.

Updated March 1, 2024 - Previous guidance dated August 31, 2023

The approval of an invoice constitutes certification of the following:

1. The merchandise or service covered by the invoice has been received in acceptable condition and conformity with specifications.
2. The bill to address on the invoice must be in the name of Clemson University and should include the department name and department address. Example:  Clemson University / Dept of Education / 101 Tillman Hall / Clemson, SC 29634-1234.
3. In most cases, supplier invoices agree with the purchase order terms and conditions and do not exceed the original PO amount.
4. The invoice is original or electronic, and the merchandise has not been paid for previously. The University does not pay from statements.
5. The price is fair and reasonable.
6. There is adequate documentation* to support the transaction.
7. The extensions and totals on the invoice are correct.
8. The chart field string(s) to be charged are proper within State and University guidelines, and funds are available for payment of the merchandise.

*Adequate Documentation is defined as:

1. Original or electronic invoice to correct department and campus address
2. PO #, if applicable, is included on vendor invoice (may be handwritten if not included)
3. Two (2) separate authorized signatures maintained by the department either on invoice/receipt or a pre-approval purchase form (one of these is the department head’s, or designee’s, signature approving the purchase, and the second is the acknowledgment that the goods or services have been received).

update March 2012

Refer to the “Payments to Students” section of these guidelines for additional assistance.

An award is not for services performed and may be paid on a direct purchase voucher. If payment is for services performed, contact the University Payroll Department to determine if a Special Pay is required.

For a meal to be considered a business meal, it should meet the following criteria:

• There must be at least two persons present
• At least one of those present should not be a University employee
• University business must be discussed
• There must be an expectation of a business benefit (i.e., lunch with a professional candidate or with a potential donor)
• There should be no “substantial distractions” (i.e., sporting events, theaters or nightclubs)
• Business documentation should include the amount of the meal. Date and place of the meal, reason for the meal, nature of business discussed and names and the business relationship to Clemson University of the outside parties at the meal

The Business Meal Documentation Form may adequately document the required information.

Business Meals may be reimbursed in the following manner:

• Within 10 miles of office or residence
• Non-employee meals are allowed on unrestricted funds up to the per diem allowance.
• Non-employee meals in excess of per diem are allowed with self-generated funds if program-related or paid directly with Foundation funds.
• Employee meals may be paid with self-generated funds if program-related or paid directly with Foundation funds.
• Greater than 10 miles beyond the office or residence may be reimbursed with unrestricted funds up to the State per diem allowance. Any excess over the per diem allowance should be paid from self-generated funds if program-related or directly paid with Foundation funds.

Refer to the disbursement grid for further assistance.

The State Ethics Act should be used as a guide in determining if certain expenses are allowable.

Updated March 2012

The University has contracted with ARAMARK Corporation Campus Services to be the University’s exclusive food services provider.  The scope of this contract includes the procurement, preparation, and service of all food, food products, and beverages on campus, and it also specifically includes on-campus catering of facilities and grounds.  Clemson Catering is routinely inspected by representatives of the South Carolina Department of Health and Environmental Control (DHEC) and complies with University contract requirements for all insurance coverage. Clemson Catering offers a wide array of catering services to meet your needs and expectations for your next special event.  Service capabilities range from the simplest coffee breaks to catered events for student functions to elegantly prepared and served receptions and dinners.

ARAMARK’s contract is exclusively with Clemson University. Outside caterers are not permitted without a signed waiver from the ARAMARK Catering Director, an ARAMARK Food Service Director, or the ARAMARK Resident District Manager, except for catering events that amount to less than $1,000. Please see details on Small Catering Engagements here.

Clemson Catering is showcased in buyWays, and only ordering is available. Click here for Clemson Catering.

Catering Update 9.21.2020

If you have questions about hosting a catered event on campus, please call the Clemson Catering Director at 864-656-7851 or the Food Service Director at 864-656-7475.

Updated September 2020

Clemson University offers a taxable allowance for personal communication services (i.e., cell phone or wireless device) to employees whose duties and responsibilities require them to maintain such services. This policy eliminates the University paying for unused minutes on high minute plans and simplifies the administration and management of cell phone bill payments and reimbursements.

Human Resources maintains this policy. Click here for the Personal Communication Services Knowledge Center.

The Division of Technology Operations (DTO) awarded State Term Contracts to AT&T, HTC, Sprint, T-Mobile and Verizon.  Details and company contact names are listed on the State DTO Website.

For Additional Benefits Information, Click here

Updated March 2020

Effective April 1, 2012 

Credit memos will only be accepted from eInvoice suppliers. These suppliers transmit credit memos electronically to buyWays. No paper credit memos will be processed in buyWays. In the occurrence of an overpayment or return of damaged goods, a refund check must be obtained from the supplier and deposited to Clemson University following the Cash and Treasury deposit procedures.

Based on the SC Code of Laws, State funds may be used for “employee plaques, certificates and other events, including meals and similar types of recognition to reward innovations or improvements by individual employees or employee teams that enhance the quality of work or productivity or as a part of employee development programs of their agency or institution.  Awards shall be limited to fifty dollars for each individual.” A description of the item purchased, name of recipient and reason for purchase should appear on the voucher.

Section 8-1-180 of the South Carolina Code of Laws

Food and nonalcoholic beverages purchased for receptions for students at graduation, Honors and Awards Day, after guest speakers or other official events can be paid from State funds when the purpose is to benefit the students.

Expenses relating to campus entertainment, such as drop-ins, open houses, receptions, etc., held solely for business purposes of introducing new employees, guest speakers or new facilities are allowed to be paid from self-generated funds if program-related or paid directly with Foundation funds.

Food or beverage expenses related to employee staff meetings and/or training should be paid directly with Foundation funds or with self-generated funds if related specifically to the program.

Entertainment of a strictly social nature among peers should be paid from personal funds.

Updated April 2012

Contact Pablo Unda (punda@clemson.edu; 864-656-5591) in the Office of International Programs and Services for assistance on payments made either directly to a foreign vendor or a vendor, US or foreign, on behalf of a foreign national for:

• Fees as a consultant, speaker, lecturer, artist, athlete or performer in the USA
• Prizes or cash awards
• Royalties
• Rent

Restricted monies residing in fund code 21, scholarships, fund code 22 endowed related programs and fund code 23, gifts and other restricted, must be used for expenditures in accordance with State guidelines and, if applicable, must comply with any donor restrictions. These funds should be used in the same manner as the use of appropriated funds. These funds are generally available to help supplement the purchase of items for which unrestricted budgeted funds are insufficient. Expenditures that do not meet State guidelines may be allowable when paid with Foundation funds on a voucher that complies with CUF Policy.

In general, the purchase of supplemental heaters, fans, and dehumidifiers is discouraged as they can inadvertently create electrical system overloads, code violations, and fire hazards, as well as negatively impact air quality for individuals with sensitivity to ozone. University Facilities and the Fire Marshal are charged with the responsibility of ensuring life safety, fire codes, and energy conservation. Therefore, prior to the purchase of heaters, fans, dehumidifiers and other appliances for the purpose of office comfort, University Facilities shall be contacted by calling 656-2186 to create a work order to investigate the specific request. In the case of heaters, University Facilities and the Fire Marshal will determine if conditions warrant the purchase is necessary. If conditions warrant the purchase, the purchase will be approved. University Facilities will purchase the appropriate appliance(s) and then charge the appropriate departmental budget back.

An honorarium is a one-time payment to show a speaker or guest lecturer appreciation. The honorarium is generally not a negotiated fee or price established between the parties. Honorariums may not be paid to employees of Clemson University. Expenses of this nature should be paid using account 7306. The voucher should state the nature of the speaking engagement or lecture. Honorarium amounts are taxable and reported based on IRS 1099 - Misc Reporting law. If the honorarium is for more than $2,500, it must be requisitioned through buyWays and follow the State Procurement code. Travel expenses reimbursed to the speaker or guest lecturer should be recorded in account 7039.

Refer to the “Foreign Vendors” section if payment is to a foreign vendor. Refer to the “Professional Fees” section for assistance distinguishing between Honorariums and Professional Fees.

Updated February 2019

Clemson can pay expenses for approved visitors, guests and recruits directly to a hotel or motel, provided a representative of Clemson makes reservations for their accommodations. A purchase order must be issued if total lodging for an event exceeds $2500. Documentation for the expense should include an invoice listing the daily-itemized room rates and taxes applicable. If more than one person is involved, each individual should be listed on the invoice and identified as a visitor, guest or recruit. The visitor, guest or recruit may pay for their own hotel and present the invoice for reimbursement.

All daily meal expenses are subject to the in-state meal rates applicable to Clemson employees. Dates and times of arrival and departure should be on the voucher. If meal costs exceed the limitations stated above, the excess should be paid from self-generated funds if program-related or directly with Foundation Funds. Charges for movies, bar bills, laundry, room service, safe deposit, etc., are the responsibility of the individual and are not allowed. This list is not all-inclusive.

Account 7039 should be used for travel reimbursements for non-employees or non-students, such as speakers, consultants, guests or recruits.

Account 7341 should be used for business meals with outside guests during business discussions, such as recruiting or job interviews.

Account 7004 should be used if paying the visitor or guest for any services.

When creating an invoice in buyWays, do not change chart field strings or approved monies where the approval has already been obtained. Failure to comply may result in an unauthorized procurement.

Payment for expenditures should be made within thirty (30) workdays from the receipt of the goods and/or services.

Any late charges submitted by a vendor on an invoice should be deleted. However, every courtesy should be extended to the vendor in resolving any misunderstandings.

If the agency determines a late payment charge is owed to the vendor, a voucher should be submitted for payment. This charge should not exceed 6.25% per annum (.000171232% per day). The expenditure account code 7309 – Late Payment Charges would be used to pay the charge.

Exemption to this policy: Invoices submitted for gas, electricity, telephone, water and sewer services provided by public utilities subject to rate regulation by the Public Service Commission are exempt from late payment charges as outlined here. These entities are allowed to charge late fees as approved by the Commission, and Clemson is responsible for paying those fees as invoiced.

Updated July 2022

Overnight accommodations within 50 miles of an employee’s residence or headquarters when deemed necessary and reasonable in the employee’s normal course of business are reimbursable from self-generated funds if program-related or paid directly with Foundation funds. State funds may not be used to reimburse these expenditures.

State agencies and institutions are prohibited from paying or reimbursing professional dues payments for individuals to the American Bar Association.

Memberships, dues and related expenses for civic, University, professional or other organizations must relate specifically to the job or function of the individual. Individual memberships are only allowed when the organization does not permit agency memberships, or it is less costly to the University to have an individual membership.

Memberships and dues should generally be charged to accounts 7026 or 7027. Even though the University pays the dues, any personal use of such clubs should be paid with personal funds.

Departments should review membership options before submitting a voucher. The membership rates for firms or groups are often lower than for individual memberships.

Review courses and seminars to prepare employees for licenses and examinations are allowed. However, professional license and examination fees will not be paid. No payment will be allowed for professional licenses or dues required by state regulatory agencies.

Payments to students for scholarships or other forms of aid are administered through the Financial Aid office in Sikes Hall. Payments for these types of expenditures are not made through Procurement Services.

The CUBS system can make Payments for medallions, awards, etc., associated with Honors and Awards Day. Still, they should be reviewed by Financial Aid prior to their submission for payment.

Refer to the “Awards to Students” section of these guidelines for more information.

Reimbursements to students should follow the “Reimbursements to Individuals” guidelines section.

Occasionally, individuals who receive an honorarium or payment for services ask that their payment be made to another vendor in the individual’s name. An example would be a speaker coming to Clemson and asking that the check be made payable to a charity in the individual’s name instead of taking the honorarium.

Due to Internal Revenue Service regulations, Clemson University is not allowed to make payments to a third party. This action would put the University in a third-party relationship with this donation and the individual who performed the services initially. Therefore, Clemson University will not make payments to third parties. Payments will be processed to the individual performing the services for Clemson, who may then donate the funds as they see fit.

Based on the SC Code of Laws, State funds may be used for “employee plaques, certificates and other events, including meals and similar types of recognition to reward innovations or improvements by individual employees or employee teams that enhance the quality of work or productivity or as a part of employee development programs of their agency or institution.  Awards shall be limited to fifty dollars for each individual.” A description of the item purchased, name of recipient and reason for purchase should appear on the voucher.

If the expenditure does not meet the conditions noted above, the expenditure may be allowable if program-related and paid by self-generated funds or directly with Foundation Funds. Examples where Foundation Funds would be more appropriate would be flowers sent to an employee who is sick or hospitalized, flowers at the death of an employee or others, retirement.

Disbursements made prior to the end of the fiscal year for advance payment of delivery of goods and the performance of services in the next fiscal year are reported as prepaid expenses. Paid expenses include rent, insurance, subscriptions, airline tickets, registrations and maintenance agreements.

A payment should be prorated between fiscal years if it meets the following criteria:

• Payment is for services (contract and agreements) that exceed more than one year and
• Services straddle the fiscal year-end and
• The charge is incurred during the last two months of the fiscal year (May and June) and
• The total charge is greater than $25,000
• Then, the charge should be prorated between fiscal years.

Example: A five-year maintenance agreement with an annual payment is due May 1 for $36,000. The charge should be prorated to the 2/12 maintenance agreement expense of $6,000 and the 10/12 prepaid expense of $30,000.

Individual payments, regardless of the amount, except annual contractual payments, for services paid in advance for the next fiscal year should be recorded as a prepaid expense. Example: A registration fee is paid, and an airline ticket is purchased in June for a conference in July.

A good or service consumed during the current fiscal year (even though it is for a program that will generate revenues in the next fiscal year) and the charge that cannot be refunded should not be considered a prepaid expense. An example would be the printing and postage expenses incurred in June for a continuing education meeting to be presented in July.

The expenses would occur in one fiscal year, and the related revenues would occur in another. Expenses would negatively impact the current year’s budget, and the later revenues (with no offsetting expenses in that year) would benefit the next fiscal year’s budget performance.

Updated April 2012

Professional fees are payments to speakers, consultants, experts, etc., made payable to the individual or the company for performing such services. If the professional fee plus expenses are more than $10,000, a requisition must be processed in buyWays. Account 7004 should be used for the professional fee, and account 7039 should be used for travel expenses, with appropriate supporting documentation.

Refer to the “Foreign Vendors” section if payment is for a foreign vendor. Refer to the “Honorariums” section for assistance distinguishing between professional fees and honorariums.

Vendors/Individuals requesting a refund should select “Not a Supplier - One-time payment for reimbursement or refund only “in the Relationship with Clemson University field.

If the Vendor/Individual exists, the buyWays Direct Payment Form or CUBS vouchers should be used with account code 7325.

Updated April 2012

Registrations are the fees to attend conferences, workshops or seminars. The amount paid under this category should only be the amount necessary to qualify the employee to attend the conference, workshop or seminar. Charges for meals, hotels, etc., can be paid in advance by the employee, and reimbursement will be made upon trip completion.

Documentation supporting expenditures with the authorizing signatures should be kept at the department or business office level. Business Officers for a college or division will determine where documents are kept. Documentation must be retained in accordance with University retention schedules and be readily accessible for future reviews - buyWays requisitions have stored approval which does not need to be printed in order to be in compliance with this policy.

Required for Payment Request Form or DPV:

Payment Request Forms and/or Direct Payment Form limit is $2500 unless the expenditure is on the Exemption List (Exceptions to the $2500 rule). See: Exemption List

updated January 2016

Effective, September 2011

1. The vendor payment method selection upon registration determines the wire transfer of funds.
2. Departments need to enter the invoice in buyWays without subsequent attachments requesting a wire transfer.
3. Any supplier not registered and selected wire transfer as the payment method will receive a check at Net 30 terms.