Special processes are required when professional services are to be performed by individuals or sole proprietors (versus corporations or other business entities) at the University of Texas.
Independent Contractor (IC) Overview & Guidelines: http://www.utexas.edu/business/accounting/hbp/12_contractors/contractors2.html.
New Policy and Guidance
A standardized process now provides current non-employee/IC payment guidelines for campus-wide adoption beginning in fiscal year 2018-19. And, these changes are now in effect:
- Eliminating the APS/PBS form (but not for university employees)
- Services will require a purchase order (PO) or business contract (unless exempted from procurement justification process)
- Non-employee/IC payment process must adhere to current Purchasing and Contract policies
Note: In addition to non-employee independent contractors, eliminating the APS/PBS will impact how we pay current UT employees who are employed full-time and are working sporadically for another department. Beginning Nov. 1, these will be processed in Workday as additional jobs and will be subject to hour (120 hours) and payment caps ($25,000) each fiscal year. For additional information, please see the Aug. 17 IC town hall presentation here and the additional employment guidance at https://workday.utexas.edu/preparing-for-Workday . Please contact your SWS HR Consultant if you have additional questions specific to this change.
Employee/Independent Contractor Classification Checklist (EICCC): https://utdirect.utexas.edu/apps/services/eiccc/ .
Use a VP2 to process payment after work is completed.
