I am SO thrilled to see Kim and others take the time to acknowledge the contributions of Chuck to the field of research administration. I consider him a mentor, and truly appreciate his willingness to share his incredible expertise. I believe I did hear something about his retiring . . . and if this is correct . . .would hope that he would consider (please Chuck) continuing to be a part of this listserv. We can't afford to lose him!!! Jackie >>> xxxxxx@IUP.EDU 6/30/04 2:19:43 PM >>> Chuck, you are definitely THE MAN!! Thank you! Stephan On Wed, 30 Jun 2004 10:48:59 -0700 "Moreland, Kim" <xxxxxx@FHCRC.ORG> wrote: >Chuck, > >I may have told you this before, but it's worth saying again. The >profession of research administration owes you its genuine >appreciation and >gratitude. You have quietly and continually served us all by the >thoughtful >and coherent answers you provide on the listserv. > >I don't read all the exchanges on the listserv, but I always read >your >responses. The delete button is not for a Chermside email, because I >know I >will learn something, or confirm what I think I know, by looking at >your >message. You take the time, which must be considerable, to write a >response >that is cogent, applicable to the question, and that takes into >account the >need for a context in understanding an answer. > >I don't know that we have a way to appropriately honor the extent of >your >teaching prowess through the use of this volunteer medium, but I >wanted you >to know that your efforts are sincerely appreciated -- even by those >of us >who should know as much as you do. > >The rumor through the grapevine is that you are contemplating >retirement. I >hope that's only a rumor. Your expertise and nuturance would be >sorely >missed. > >Kim > >Kim Moreland, Director >Grant and Contract Administration >Fred Hutchinson Cancer Research Center >1100 Fairview Avenue, N >M/S J6-500 >Seattle, Washington 98109 >xxxxxx@fhcrc.org >206/667-4868 (voice) >206/667-6221 (fax) > > > >-----Original Message----- >From: Herbert B. Chermside [mailto:xxxxxx@VCU.EDU] >Sent: Wednesday, June 30, 2004 6:26 AM >To: xxxxxx@HRINET.ORG >Subject: Re: [RESADM-L] Can stipends be charged to R01 grants?? > > >You have the correct principles in your procedure. Your internal >mechanism >has to be tailored to the needs of your other HR and payroll systems. > Note >that payment of a traineeship or fellowship should result in a 1099 >(without withholding unless the payee requests it) for tax purposes, >while >an employee receives a W-2 (the difference between "income" and "wage >income" under tax regulations). > >A confusion is the careless way individuals speak of "fellow", >"post-doc", >etc. Be sure that your internal documentation and business practices >explicitly differentiate. For federal funds, the program >announcement and >the award make the differentiation clear. Explicitly, NIH research >grants >(R-xx) do not support fellowships/traineeships), while other grants >(e.g., >K-XX and T-xx) support fellowships/traineeships. For other external >funds, you may have to probe a little to determine the difference. > For >internal funds, you must be sure that the differentiation is quite >explicit. Note that fewer and fewer institutions have internal funds >for >fellowships/traineeships. > >Yes, there is also confusion from the fact that fellows/trainees and >employees (at the same levels) appear to perform very similar >activities. That is because, at these levels, acquisition of >knowledge and >skills for fellows/trainees is gained by performing the activities >(generally research) that an employee does. One differentiation can >be how >"success" is evaluated: did the fellow/trainee "learn" through >performance; >did the employee succeed in performance? Another is the standard for >tenure in the position: was the fellow/trainee successfully meet the >the >training goal (like a scholarship requires continued meeting of a >grade >point average, for example); does the employee do the required work >in a >satisfactory manner? What they did day-to-day may be similar, and >success >may look the same, but the underlying question was different. > >Making these differences clear in your documentation of procedures >may help >your legal staff understand. And making transition from one category >to >another, and back, simple to accomplish will help; leaving any >administrative process difficult encourages ignoring correct process, >which >can lead to major non-compliances. There are related concerns for >these >two categories in the benefits area. Health benefits -- level and >who/how >pays -- is most important to these individuals, which is why most >fellowship/traineeship awards allow health insurance as a specific >direct >cost while for employees it is buried in the benefits package. The >institution is responsible for FICA/medicare withholding and employer >payment for employees, but not for fellow/trainees. DO make the >transition >easy because often individuals move from one category to another, and >can >be in either or both during a tax period. And if possible, for >perceived >equity, make the total compensation (income and health benefits) as >similar >as possible between individuals who are at equal levels but in >different >categories. > >Chuck > > >At 07:10 PM 6/29/2004, you wrote: > >>All, >> >>At the past week's NIH regional conference, I heard NIH tell us that >>any >>trainee (postdoc or grad student) who receives a stipend instead of a >>salary should NOT be charged to NIH R01 grants. Before we >>discontinue >>this practice at our institute, I thought I'd check with each of you >>to >>see what is actually done in practice. >> >>We do what I suspect many of you do: treat postdocs on a fellowship >>as >>"non-employees receiving stipends" while treating postdocs paid from >>institutional funds as "employees receiving a salary." This ensures >>that >>the former can be paid from fellowship awards (most of which prohibit >>an >>employee-employer relationship) while the latter can be paid from R01 >>awards (which REQUIRE an employer/employee relationship, according to >>my >>interpretation of A-122 Paragraph 7a and 53, each of which use the >>word >>"employee"). Even though this drives our legal staff crazy, knowing >>that >>two groups of people who are doing the exact same thing (training) >>are >>treated differently from an employment perspective, we've persevered >>anyhow, under the assumption that is how many other >>universities/institutes do this. >> >>Do any of you have a different take? Or treat your trainees >>differently >>from us? >> >>As always, thanks in advance for your responses. >> >>Pat Kaufman >>Director of Finance >>Stowers Institute for Medical Research >>Kansas City, MO >>816-926-4027 xxxxxx@stowers-institute.org >> >>====================================================================== >>Instructions on how to use the RESADM-L Mailing List, including >>subscription information and a web-searchable archive, are available >>via >>our web site at http://www.hrinet.org (click on "Listserv Lists") >>====================================================================== > >Herbert B. Chermside, CRA >Special Asst. to VP-Research >Virginia Commonwealth University >PO BOX 980568 >Richmond, VA 23298-0568 >Voice: 804-827-6036 >Fax 804-828-2051 >e-mail xxxxxx@vcu.edu > > >====================================================================== > Instructions on how to use the RESADM-L Mailing List, including > subscription information and a web-searchable archive, are available > via our web site at http://www.hrinet.org (click on "Listserv >Lists") >====================================================================== > > >====================================================================== > Instructions on how to use the RESADM-L Mailing List, including > subscription information and a web-searchable archive, are available > via our web site at http://www.hrinet.org (click on "Listserv >Lists") >====================================================================== Stephan Schaffrath Grant Specialist IUP Research Institute Indiana University of Pennsylvania 107D Stright Hall Indiana, PA 15705 (724)357-2167 xxxxxx@iup.edu ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ====================================================================== Jacqueline Givens Director, Office of Sponsored Programs Kennesaw State University 1000 Chastain Road, #0111 Kennesaw, Georgia 30144-5591 PHONE: (770) 423-6036 FAX: (770) 499-3620 WEBSITE: http://www.kennesaw.edu/osp ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ======================================================================
