Reimbursements to employees for out-of-pocket expenses still run through our Procurement & Payment Services department. Most employees are set up with direct deposit through Payroll, so they receive a separate notice regarding any deposits for reimbursements.

Hi Brett, We also process expense reimbursements via our ERP, Oracle through direct deposit. For non-employees e.g. speakers, visiting students, and employment candidates we reimburse via Candex.

Hi Brett, All of out out of pocket reimbursement (employees and students) are processed through our Oracle ERP (ACH or Check).

Thanks for the quick replies. When you mention Oracle ERP and direct deposit...Is the direct deposit separate from their payroll or included in their regular payroll?

Brett

Yes, all employees/students receiving reimbursements and vendors are entered into the Procurement module as suppliers and then processed through Accounts Payable.

Our reimbursements are handled in our Travel & Expense system not in Payroll, a separate payment is processed through Accounts Payable. No it is not included in their regular payroll. Payments are processed as reimbursements are received.

Hi Brett,

We process reimbursements through our Travel & Expense Management System (Chrome River) which posts to our ERP (Banner) and is paid to employees and students via direct deposit (separate from payroll direct deposit). If we have taxable transactions such as tuition reimbursement, overtime meals, etc. for which the employee needs to be taxed then those are routed in our Travel & Expense Management System to payroll (an approver step in our system) so that final payment is made by payroll in an upcoming paycheck.

Thanks,
Lynn

We process our reimbursements in our T&E system Chrome River which feeds and posts to our ERP-Banner. Employees are paid via direct deposit and it is separate from their paycheck. Payments are processed when their reimbursements are approved.

If the reimbursement goes through payroll it would be taxed I believe. Unless the travel reimbursement is for relocation, it shouldn't be considered taxable income. I would question their thinking on that...

We do the same process , except our payroll department runs the report in Concur and manually enters the reimbursement. That’s their choice. We’ve offered to automate the process. @Valerie Oneil, the reimbursement is not taxed.

We process our employee reimbursements through Accounts Payable in our T&E system, Concur, which feeds and posts to our ERP-Banner. Employees are paid via direct deposit and it is separate from their paycheck. Non-Employee reimbursements route through similarly within a different module in our T&E system and we denote them using a unique naming convention for Invoice Number to easily identify them as 1099-non-reportable.

Ahh interesting! Payroll only does our relocations, it gets added to their paycheck and is taxed as income.

University of Alaska's process is similar to most other responses here: Processed through our T&E System (Concur) and reimbursed as a part of our AP workflows. We do not reimburse through payroll (with relocation being the exception that is processed through payroll and taxed appropriately). We reimburse via direct deposit and physical check runs, though our physical check runs are only bi-monthly and we heavily encourage employees/students to sign up for direct deposit.

@Brett Paulson: What is the thought process behind reimbursing through payroll? The merits and demerits being discussed? I'm interested in hearing why your institution is considering reimbursing through payroll instead. Thanks!