Additional Pay (formerly Extra Compensation)
Additional pay includes allowances, one-time payments, period activity pay, and temporary increases to hourly rates/salaries.
Because it is not always clear which additional pay plan should be added to a staff member’s compensation package, and when, Business Partners should contact Human Resources for guidance before submitting any requests in Workday.
Schools and Centers may use their additional pay programs, balancing the ability to fund programs with the needs to recognize productive employee behavior and to ensure that staff members are equitably rewarded. The addition of certain compensation plans to employees on salary or hourly compensation plans requires consultation with, and approval by, Human Resources before work begins and before any additional pay amount is communicated to a staff member.
With few exceptions, additional pay is not part of a staff member’s base salary/hourly compensation plan; it is a supplement to that plan and therefore is not included in the University’s Retirement Savings Plans. Additional pay in the form of an allowance for a monthly-paid acting rate, a one-time payment for a weekly-paid acting rate, period activity pay, or an additional weekly-paid part-time position is part of base pay and, therefore, is included in the University’s Retirement Savings Plans.
Additional pay may not be used to compensate weekly-paid staff members on hourly compensation plans (i.e., staff members in non-exempt positions) in lieu of overtime pay for all time worked over 40 hours in a workweek. Staff members in non-exempt positions are covered by the pay provisions of the federal Fair Labor Standards Act (FLSA), which require that all non-discretionary pay be included in the computation of overtime. Staff members in non-exempt positions must be paid at one and one-half times their regular rates of pay for all time worked over 40 hours in a workweek (See Overtime Pay and/or Compensatory Time - Policy 302). Monthly-paid staff members on salary compensation plans (i.e., staff members in exempt positions) are not eligible for overtime pay.
305.1 ACTING RATE EXEMPT ALLOWANCE (formerly Monthly-Paid Acting Rate) and ONE-TIME PAYMENT (formerly Weekly-Paid Acting Rate)
Additional pay may be awarded to a staff member who is temporarily performing or has temporarily assumed major responsibility for the duties of a vacant position in a job level that is higher than that of their current position. Such assumed responsibility
is usually in addition to their primary job responsibilities.
The additional pay amount is determined by Human Resources in accordance with the extra duties performed; however, it may not exceed 10% of the staff member’s current
annual salary/hourly rate. Exceptions require review and approval by the Executive Director of Compensation and the Vice President of Human Resources.
Additional pay ends when the vacant position is filled or when the staff member is no longer performing the additional responsibilities, whichever is first. The additional pay period should be no longer than six months, and may not extend beyond the end of the current fiscal year. Business Partners should contact Human Resources if they need to extend the additional pay period into the following fiscal year.
(Former) Monthly-Paid Acting Rate:
The Workday business process is Request Compensation Change>Add Allowance Plan>Acting Rate Exempt.
For example: A monthly-paid staff member on a salary compensation plan (i.e., in an exempt position) will perform their supervisor's duties in addition to their own while the supervisor is on leave for three months, and will be paid an extra 10% of their salary (entered into Workday as a flat dollar amount) each month for the next three months.
(Former) Weekly-Paid Acting Rate:
The Workday business process is Request One-Time Payment > Acting Rate Non-Exempt. A copy of the One-time Payment-Acting Rate memo should be attached to the request in Workday.
Such additional pay is included in the calculation of the regular rate of pay for overtime purposes.
For example: A weekly-paid staff member on an hourly compensation plan (i.e., in a non-exempt position) will perform their supervisor's duties in addition to their own while the supervisor is on leave for three months. The staff member will be paid an additional flat dollar amount each week.
305.2 ALLOWANCE
A compensation plan that is paid as a flat dollar amount; it is paid on an ongoing basis and it has a start date and an end date.
The Workday business process is Request Compensation Change > Allowance.
For example: A staff member receives
a communication device (cell phone) allowance each month.
305.3 ONE-TIME PAYMENT
A compensation plan that provides an ad-hoc one-time flat-dollar-amount payment.
The Workday business process is Request a One-Time Payment.
One-time payments for monthly-paid exempt staff are provided for the completion of work that is outside the scope of the staff member’s job profile, is not performed on a continuing basis, is not performed during a staff member’s regular work schedule; and, typically, is not for the staff member’s supervisor or home department.
Types of One-time Payments include:
- Award is used for various academic or mentorship awards. A signed letter from the school is required to be attached when entered into Workday.
- Meal Allowance-Same Day Travel is used to reimburse individuals for one-day travel where an overnight stay does not occur. Receipts are required to be attached when entered into Workday.
- On-call Pay is used for monthly-paid exempt staff members who are required to be available for emergencies, and who must respond at unusual hours outside of their regularly scheduled work hours. All on-call pay plans and rates must be reviewed and approved by the Division of Human Resources Compensation before being implemented and/or communicated to staff members.
- Incentive Payment is used in accordance with a formal, documented, and approved Incentive Plan. Incentive plans must be established in advance, developed in consultation with the Division of Human Resources Compensation, and approved by the Executive Director of Compensation and the Vice President of Human Resources. Additionally, incentive plans require the approval of the President, Provost, or EVP. Payments are based on performance, which is measured against pre-established goals for a period of time, as defined in the incentive plan. Incentive plans are only established for unique circumstances and are not prevalent at the University.
- Discretionary Bonus is used to reward special efforts and extraordinary performance on projects or special assignments. Discretionary bonuses are not prevalent at the University and must be approved by the President, Provost, or EVP. Payments are at the discretion of management to recognize high performance. It may be used to recognize unexpected, self-starting, extraordinary individual accomplishments in support of organizational performance effectiveness occurring outside the boundaries of the expected performance of the staff member’s job.
- The School/Center is responsible for ensuring and verifying that any staff member recommended for a bonus has a current performance review on file. The performance review must document the performance and contributions that warrant the bonus. The staff member must have an overall performance rating of meets expectations or higher.
- Bonuses should not be discussed with the intended recipients until all approvals have been obtained.
- Supporting documentation is required to be attached when entered into Workday.
- Bonuses for non-exempt (weekly-paid) staff must be included in the calculation of the regular rate of pay for overtime purposes.
305.4 PERIOD ACTIVITY PAY
Allows an existing monthly-paid exempt staff member to be paid for additional teaching or research for a fixed-term time period.
The Workday business process is Period Activity Pay > Staff Instruction.
For
example: A monthly-paid exempt employee in a staff position has an additional part-time semester-long academic appointment as a Lecturer in a different supervisory organization.
Period activity pay may not be used for weekly-paid non-exempt staff.
305.5 ADDITIONAL WEEKLY-PAID PART-TIME STAFF POSITIONS
A weekly-paid non-exempt staff member who has an additional part-time teaching or academic support position in a different school or center is paid by entering an additional staff job (i.e., job profile Non-Exempt Staff Academic Support) with an hourly rate on their Workday record. Refer to Dual Employment Policy.
A weekly-paid non-exempt staff member who has an additional part-time non-academic position in a different supervisory organization is paid by entering hours on their timesheet. A costing override to the supervisory organization where the additional work was performed may be processed.
A weekly-paid non-exempt staff member may not receive a one-time payment (i.e., a flat rate stipend) for an additional position, to comply with the Fair Labor Standards Act (FLSA).
305.6 FACULTY AND WORK-STUDY STUDENTS/STUDENT WORKERS
Requests for additional pay for faculty and student workers should be entered into Workday following the guidelines provided above. Faculty additional pay will be routed through the Provost’s Office, and student worker additional pay will be routed through Human Resources.
305.7 UNIVERSITY STAFF WHO ARE COVERED BY COLLECTIVE BARGAINING AGREEMENTS
University staff members covered by collective bargaining agreements should refer to the appropriate articles in their contracts.
Policy Number: 305
Effective Date: 08/25/2016
Last Reviewed: 08/10/2026
Revised Date: 02/19/2025
Supersedes Policy Number(s): 305 (09/01/1992, 04/01/2001, 01/24/2008, 02/21/2011, 08/02/2012, 07/25/2016, 08/25/2016,10/09/2019)
Applicability:
All Regular Staff Members
Cross-reference: Overtime Pay and/or Compensatory Time- Policy 302,
Dual Employment - Policy 308