NOTICE: The Finance Policies and Procedures Manual, along with the previous manual, is undergoing changes. These sites are continually updated to reflect changes in business processes. If you cannot find the information you are seeking in these policies, email for more information.
Policies and Procedures

Procedure 1123.1 – Reporting gifts, prizes and awards given to employees

May 7, 2010
Last Updated
September 18, 2017
Last Reviewed
November 5, 2015
Responsible University Officer
Director of Financial Reporting and Management Services
Responsible Unit
Financial Reporting and Management Services

Procedure Statement

Prior to processing or requesting awards, please consult Policy 1123 to confirm eligibility and taxation status.

Cash Gifts, Prizes and Awards

Departments should process cash given to employees as gifts, prizes and awards (excluding gift certificates and gift cards) through ConnectCarolina’s HR/Payroll module for SHRA and EHRA employees.

EHRA and SHRA employees require a Lump Sum Payment Request with the Payment Type of “Award Amount.”

Gift Certificates and Gift Cards

Gift certificates or gift cards through Benefits Services are considered to be “cash equivalents” and are treated the same as gifts of cash per the Internal Revenue Service’s “de minimus fringe benefits-Gift Certificates” regulation.

  • A campus voucher should be created for purchasing gift certificates or gift cards using account 113920.
  • Campus vouchers for this purpose must be payable to a departmental administrator for a cash advance (see Policy 307- Cash Advance).
  • All gift certificates and gift cards provided to employees require a Gift/Prize/Award Documentation Form to be completed and submitted to Payroll Services, which will include them as taxable items on the employee’s Form W-2 along with a deduction of the applicable FICA amount.
  • All cash advances require a Cash Advance Settlement Form and a completed copy of the Gift/Prize/Award Documentation Form submitted to Accounting Services.

Non-Cash Gifts, Prizes and Awards

  • A campus voucher or P-Card can be used to purchase non-cash items to be given to employees for gifts, prizes and awards.
  • Use account 558924 for all non-cash gifts, prizes and awards to employees.
  • A Gift/Prize/Award Documentation Form is required for all non-cash gifts, prizes and awards in excess of the “de minimis” amount described in Policy 1123.
  • The Gift/Prize/Award Documentation Form is submitted to Payroll Services.

Gifts, prizes and awards in excess of the “de minimis” amount are reported to Payroll Services as taxable items.

Forms and Instructions

1123.1.1f - Gift/Prize/Award Documentation Form

307.1.1rd - Cash Advance Settlement Cover Sheet

Related Data

Office of Human Resources Work-Life Programs - Rewards and Recognition


September 18, 2017: Updated account number from 58410 to 112920 for creating vouchers to purchase gift certificates and gift cards.
April 6, 2016: Creation of new form 1123.1.1f, additional info and links.
October 1, 2014: Updated references to ConnectCarolina.
July 26, 2010