Please use the following guidelines when making a determination whether an honorarium, an independent contract agreement, or hiring/employment paperwork is appropriate to arrange payment to individuals for services rendered. We hope the following information will be helpful to you. Please contact me when you need help to decide which is the more appropriate method for a particular situation.

Martha Smith
Vice President for Human Resources

HONORARIA:

An honorarium is a gift, not a form of payment for services. If a person is deemed to be "earning" and/or "expecting" payment, then an honorarium is not appropriate. In situations where an honorarium is appropriate, e.g. to express gratitude to a guest speaker who has not requested payment, submit a Check Request to Accounts Payable. If the amount of the honorarium exceeds $500, prior approval must be obtained from the Vice President for Finance (and the Vice President for Academic Affairs if a school is making the request).

INDEPENDENT CONTRACT AGREEMENTS

Before preparing a contract, please determine whether the individual should be an employee of Regent University, or an independent contractor, using the following prerequisites for an independent contractor: The University controls or directs merely the end to be accomplished, not the means and methods for accomplishing it; the work or project is a "one time thing" not to be periodically continued throughout the academic year; the individual develops and/or performs the service in their own time schedule, and does not spend most or all of his or her time serving the University; the University does not furnish tools or normal workplace to the individual; and the individual holds him or herself out as available to perform similar services for the general public or other organizations similar to Regent University.

Services that do not meet the above criteria should be arranged as employment, using a New Employee Form and other required paperwork (I-9 Form, state and federal tax forms, etc.).

Accounts Payable will automatically process payments as scheduled in an executed contract unless they are informed of changes due to incomplete or unsatisfactory work or for any other reason. Alternatively, the contracting department may reserve the option to prepare a Check Request for each payment due according to the contract.

Independent Contractor Agreement Template

Please submit all independent contractor agreements for review and approval to the Vice President for Human Resources prior to their becoming effective. Independent contract agreements are not maintained in the Human Resources Department. Once approved and signed, they are sent back to the department, and then must be taken to Accounts Payable for processing.

Independent Contractor or Employee? The IRS 20-Question Test