Business Expense Policy - 06. Business Entertainment Expenses
Business entertainment includes events that are held with guests, business colleagues, donors, students, employees, and/or prospective employees that are directly related to a university business purpose. Entertainment expenses may not be charged to sponsored projects. Payment of entertainment expenses in excess of $500 requires supplemental approval. The business justification and guest list are required with the submission of expense reports for all business entertain expenses.
The following should be considered before incurring any business entertainment expense:
- The “front page test” – will it seem appropriate to others (such as donors or taxpayers) that the university, a tax-exempt non-profit organization, pays for this event?
- Budgetary constraints
- Fair and consistent application across employees
See also Funding Employee Gatherings.
Celebration of Business-Related Accomplishments
These events celebrate business related accomplishments by an employee or group of employees. Departments may consider group celebrations for such occasions, as long as expenses are within reason and subject to budgetary constraints. Departmental funds may be expended for food, drinks and activities depending upon the nature of the event.
Allowable entertainment expenses for business related occasions include welcoming a new hire to the university, retirement, event or performance opening, and recognition of a departmental business achievement or goal.
Celebration of Personal Occasions
The university strongly suggests that employees consider funding the celebration of personal occasions with their own contributions. In some instances, departments may choose to celebrate personal occasions as a group, such as the departmental celebration of a holiday or collective celebrations of birthdays. University funds may not be used to cover the cost of celebrating individual personal occasions such as showers for the birth or adoption of a baby, engagements, weddings, or anniversaries, individual birthday celebrations or other individual achievements.
Return to Business Expense Policy.