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Operations Manual The University of Iowa


PART III. HUMAN RESOURCES
DIVISION III COMPENSATION AND BENEFITS


CHAPTER 17: COMPENSATION

(Amended 9/93; 3/02; 5/04; 10/04; 8/05; 12/05; 1/06; 4/06; 7/06; 1/07; 3/07; 7/07; 7/08; 3/10; 6/10; 10/31/11; 3/12; 11/12; 1/13; 9/13)

17.1 Payroll Dates
17.2 Hours, Overtime, Call Back, and Standby (On Call) Status
17.3 Direct Deposit of Payroll Checks
17.4 Cashing Payroll Checks
17.5 Salary Advances
17.6 Computation of Salary for Academic-Year Faculty
17.7 Compensation of Teaching and Research Assistants
17.8 Summer and Winter Session Salaries
17.9 Definition of the Academic Year
17.10 Computation of Salary in the Event of Absence
17.11 Compensation for Jury Service
17.12 Compensation for Military Leave of Absence
17.13 Extra Compensation for Participants in University-Sponsored Short Courses and Conferences
17.14 Penalties for Delinquent Reporting of Grades
17.15 Staff Remuneration for Materials: Gratuities
17.16 Extra Compensation for University Faculty and Staff
17.17 Supplemental Activities And Extra Compensation
17.18 Withholding From Payroll Checks

(See also III-17.17 Supplemental Activities and Extra Compensation.)

17.1 PAYROLL DATES
(Finance Committee 11/21/45; 9/24/60; amended 3/02; 10/04; 4/06)

The payroll period for all staff members budgeted on a monthly or annual basis shall be from the first to the last day of the month inclusive. Salary checks are distributed on the first workday of the following month. Days not included as workdays are Saturday and Sunday, plus any day recognized as a federal holiday.

With the exception of the academic year pay plan as described in III-17.6, there are no salary checks issued in advance of the scheduled period of service.

Persons employed on an hourly basis are paid on a biweekly payroll. Hours to be paid are reported via the Self-Service Center, due in the Payroll Department by 8:00 a.m. on the Tuesday following the close of the biweekly pay period. Departments that submit this information electronically transmit the data to Payroll according to a predetermined schedule. Checks are issued on the following Tuesday. If Tuesday is a recognized federal holiday, checks will be issued on the first workday following Tuesday.

Please check the following web link to determine if a day is recognized as a federal holiday: www.opm.gov/fedhol/index.asp.

All recommendations for placing an individual on the payroll, including hourly vouchers, special vouchers and any adjustment in the regular payroll, must be in the Payroll Department by the close of business on the fifth working day before the end of the month. Inasmuch as recommendations for appointments or changes in status may require considerable time for processing before they can be reported to Information Management--Human Resources (IMHR), such recommendations must necessarily be originated by the departmental executive officer well in advance of the deadline.

In case of the death of a regular staff member, the payment of final salary includes one full month following the date of death, in addition to salary for accumulated vacation. For faculty appointed on an academic year basis this payment upon death is one ninth of their academic pay regardless of pay basis selected.
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17.2 HOURS, OVERTIME, CALL BACK, AND STANDBY (ON CALL) STATUS.
(Amended 3/02; 10/04; 4/06)

The following policies apply to staff members subject to the Fair Labor Standards Act (FLSA). This includes all merit staff, as well as non-exempt professional and scientific staff. Faculty and exempt professional and scientific staff members are excluded. Those covered by an existing collective bargaining agreement should refer to their specific contract provisions.

17.3 DIRECT DEPOSIT OF PAYROLL CHECKS.
(Amended 9/98; 5/00; 3/02; 9/02; 1/07; 7/08)

All employees hired on or after July 1, 2006, are required to be paid by direct deposit. All student and non-student employees may have their monthly/biweekly pay deposited into an account at any financial institution participating in the National Automated Clearing House Association (NACHA) deposit program. If direct deposit is not requested by employees hired prior to July 1, 2006, the net pay will be issued via a payroll check and sent to the employee's work address. It is the responsibility of each employee to notify the Payroll Office of direct deposit and/or address changes.

Employees may access their earnings statements via the Web Self Service Application available on the Human Resources home page.
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17.4 CASHING PAYROLL CHECKS.
The University Business Office does not cash staff members' payroll checks or personal checks unless such checks are used in payments of amounts due the University.
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17.5 SALARY ADVANCES.
(President 10/7/60, 6/3/76; 2/92; 9/98; 5/00)

The Payroll Office is not authorized to give salary or wage advances. However, if an employee is not paid or not paid correctly due to an error or lack of timely payment authorization, the employee can request to have a check prepared and issued. This can be done in one of two ways:

17.6 COMPUTATION OF SALARY FOR ACADEMIC-YEAR FACULTY.
(Regents 4/13/43; amended 8/99; 3/02)

Faculty members appointed on an academic-year basis are paid on a twelve-payment basis. The twelve payments will be paid in twelve equal installments beginning with a payment on August 1 and ending with a payment on the following July 1 of each fiscal year.

Newly appointed academic-year faculty members will not be paid on August 1 the first year. Instead, they will receive a payment on September 1 for two-twelfths of their salary, with the ten remaining installments paid monthly ending on July 1.

Partial academic year payments are calculated using the total number of academic-year working days as the denominator with the numerator being the actual number of academic days worked. This fraction is applied to the academic rate of pay to determine the earnings.
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17.7 COMPENSATION OF TEACHING AND RESEARCH ASSISTANTS.
All student teaching and research assistants and fellowships appointed on an academic year basis will be paid on the ten payment basis.
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17.8 SUMMER AND WINTER SESSION SALARIES.
(Finance Committee 1/24/63; amended 9/98; 9/01; 10/04; 1/06)

17.8(1) Summer Session Salaries.
Regular faculty members appointed on an academic year basis, who also serve on the summer session staff, receive salaries for the entire summer session which are based on their salary schedules for the year immediately preceding. The rate for teaching one course is one-ninth the previous year's salary for a three-semester-hour course.

Payments for the six- and eight-week summer sessions are made in two equal installments on July 1 and August 1. Payments to faculty members for other periods of service during the summer are made in accordance with the provisions of III-17.1.

17.8(2) Winter Session Salaries.
Regular faculty members appointed on an academic year basis, who also serve on the winter session staff, receive salaries for the winter session which are based on their salary schedules for the current year. The rate for teaching one course is one-ninth the current year's salary for a three-semester-hour course.

Payments for the winter session are made on February 1.
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17.9 DEFINITION OF THE ACADEMIC YEAR.
(President 8/15/72; 2/92)

The academic year commences three working days before the beginning of classes in the fall semester and ends on the spring commencement day of the College calendar. Academic year appointees are expected to be available throughout this period when classes are in session or when other scheduled events require their presence on campus. They are also expected to render appropriate services such as advising students, training teaching assistants, preparing class materials, evaluating student performance and submitting grades, and preparing reports for the academic year.
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17.10 COMPUTATION OF SALARY IN THE EVENT OF ABSENCE.
(President 8/15/72)

17.11 COMPENSATION FOR JURY SERVICE.
When in obedience to the subpoena or direction by proper authority, a staff member appears as a witness or serves as a member of a jury in any public or private litigation, that staff member is entitled to his or her regular compensation provided that any pay received for such service, other than reimbursement for travel or personal expenses, is surrendered to the University (see www.uiowa.edu/hr/payroll/faqs.html#jury). For failure to observe this requirement, the Business Office may deduct from the payroll check of such a person the amount collected for jury service.

(See also IAC [681]3.146(19A).)
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17.12 COMPENSATION FOR MILITARY LEAVE OF ABSENCE.
(Amended 7/07)

All staff members of the University, other than staff employed temporarily for six months or less, who are members of the National Guard, organized reserves, or any component part of the military, naval, air forces, or nurse corps of this state or nation or who are inducted into the military service of this state or of the United States, shall when ordered by proper authority to active state or federal service, be entitled to a leave of absence from the University for the period of such active state or federal service, without loss of status or efficiency rating, and without loss of pay during the first thirty calendar days in a calendar year. This provision shall also apply to a leave of absence by a member of the national disaster medical system of the United States when activated for federal service with the system.

Compensation for such leave will be paid only after Human Resources is presented a statement signed by the staff member's commanding officer indicating that the staff member has been ordered to active duty and that the staff member has in fact reported for active duty.

(IC 29A.28, Atty. Gen. #74-2-10; see also IAC [681]3.144(19A).)
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17.13 EXTRA COMPENSATION FOR PARTICIPANTS IN UNIVERSITY-SPONSORED SHORT COURSES AND CONFERENCES.
(Board of Deans 7/11/56; 2/93; 11/04)

The basic policy with regard to extra compensation for faculty members who participate in University sponsored conferences or short courses (on-campus or off-campus) authorizes each college or other educational unit to establish its own regulations for such extra compensation within the following general framework of rules:

17.14 PENALTIES FOR DELINQUENT REPORTING OF FINAL GRADES.
(Board of Deans and President 1/49; 3/72; 12/05)

17.15 STAFF REMUNERATION FOR MATERIALS: GRATUITIES.

17.16 EXTRA COMPENSATION FOR UNIVERSITY FACULTY AND STAFF.
(President 6/19/73; 1/21/75; 2/93; 7/1/99; 9/13)

Note: Effective September 2013, this policy has been revised. For the most current version without redlining, return to III-17.16.

17.17 SUPPLEMENTAL ACTIVITIES AND EXTRA COMPENSATION.
(Amended 9/93; 9/95; 1/09; 3/10; 2/11; 11/12; 1/13)

17.17(1) Use of University Supplies.
Other than using library materials, and, in the case of faculty, assigned office space, faculty and staff members shall not use University supplies, materials, equipment, or services for extramural activities, other than activities such as those listed in II-18.4b of the Conflict of Interest Policy, without first obtaining approval and arranging for the payment of the total cost for such use. Such prior approval is not necessary, however, when the supplies, materials, equipment, and services are generally available to University faculty or staff members upon the payment of an established fee and the fee is paid.

No faculty or staff member shall use University stationery or letterhead in connection with professional extramural activities other than activities such as those listed in II-18.4b. (See also II-33 Use of University Name.)

17.17(2) Usurpation of University Opportunities.
Situations may arise in which a faculty or staff member has the option to engage in professional extramural activities either (1) as an independent consultant or through a business organization in which the faculty or staff member has an ownership interest, or, alternatively (2) through the University. In such situations, the faculty or staff member has an obligation to give the University an opportunity to decide whether it wishes to have the activity carried on under University auspices, and only if the University rejects the opportunity, is the faculty or staff member free to undertake the activity by other means. For faculty members and other staff members within a college, a written waiver of University interest shall be obtained from the dean of the college. For other staff members, a written waiver of such interest shall be obtained from the director of the unit in which the staff member serves.

17.17(3) Royalties from Course Materials.
Faculty members should not profit financially from recommending or requiring the purchase of course materials by their students. Faculty members who would otherwise receive royalties or other remuneration from the purchase of books or materials which they recommend or require in courses they teach should either refund the money to the students or make other arrangements to avoid profiting from their students' use of the materials (such as transferring it to the University or one of its units, or to The University of Iowa Foundation).

17.17(4) Employment on Grants and Contracts Administered by the University.

17.17(5) Extension Activities.
To a limited extent, a full-time faculty member may be permitted to teach extension courses or to engage in other work for the Division of Continuing Education in addition to regular duties and to receive additional compensation for such services. All such arrangements must be recommended by the departmental executive officer and approved by the collegiate dean and the Dean of the Division of Continuing Education. The faculty member will be permitted to accept such assignments only if they do not interfere with the performance of regular responsibilities. (See also III-17.13.)

17.17(6) Extra Compensation for Teaching Academic Courses.
(1/13)

17.18 WITHHOLDING FROM PAYROLL CHECKS.
(Regents 3/9/72; amended 9/93; 7/08; 3/12)

General Guidelines. Payroll withholding programs are permitted according to the following guidelines:

17.18(1) Federal Income Tax Withholding.
(Amended 7/08)

17.18(2) State Income Tax Withholding.
As required by the Code of the State of Iowa, the Payroll Office deducts and withholds state income tax from salaries and wages of University staff members. Deductions are made on a monthly payroll basis in accordance with rules established by the State Revenue Department.

17.18(3) U.S. Savings Bonds Withholding.
(Op. Atty. Gen. 11/22/71; amended 3/07)

Employees will use the UI Employee Self Service site to initiate payroll deductions for TreasuryDirect. Deductions will begin upon receipt of the employee's TreasuryDirect account number and monthly deduction amount. This amount will be transmitted to the employee's TreasuryDirect account (www.treasurydirect.gov) on a monthly basis. Deductions may be canceled at any time by using the Employee Self Service site.

17.18(4) United Fund Withholding.
See V-9 Fund Solicitation Policy.

17.18(5) (Reserved for future use)

17.18(6) Tax Shelter Provision.
(Regents 10/12/63)

Staff members defer federal and state income taxes on contributions to TIAA and CREF or an approved substitute annuity or supplemental annuity. An individual eligible for TIAA-CREF takes a salary reduction in an amount equal to the staff member's contribution to the retirement fund. That amount, plus the University's contribution is paid by the University in the staff member's name into the retirement fund; an income tax on the total annual contribution is postponed until the time benefits from the plan are received. Internal Revenue Service regulations have maximum contribution limits under this program. Contact the University Benefits Office for further information.
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Page last updated March 2014 by Office of the Senior Vice President for Finance and Operations