SUBJECT: GIFTS AND HONORARIUMS               

APPLICABILITY: TOTAL UNIVERSITY 

Gifts, which include tips, flowers, and other items for personal use or of a personal nature, can be purchased or reimbursed only from unrestricted gift funds.

Honorariums are, by definition, gifts to an individual. The payment of an honorarium is in violation of Article 3, Section 51 of the Constitution of the State of Texas and as such is not payable by the University, except from unrestricted gift funds.

Gift certificates in any amount are considered income and will be reported on employee’s W2 Per Policy 1.6.6: Gifts and awards in cash may only be approved by the President or designate and may only be granted on a University-wide basis. All cash gifts and awards are considered supplemental compensation by the IRS; therefore, they must be paid through Payroll and will be subject to all payroll taxes. See 1.6.6.1 “Tax Rules for Employee Gifts and Awards.”.