Policy
This policy covers the payment to individuals who are not part of a corporation or partnership and qualifies as an independent contractor. To determine whether an individual qualifies as an independent contractor, an Independent Contractor Questionnaire must be completed by the department requesting the service. The Controller's Office will review this questionnaire and make a final determination about the independent contractor status. The commitment to hire the independent contractor should not be made until the status is confirmed by the Controller's Office.
Honoraria or lecture fees are exceptions to the Independent Contractor Questionnaire requirement.
For a Wellesley faculty member, staff member or student, the payment must be processed through Payroll under the policies for each employee type. Please see the Payroll section for specific guidelines and deadlines.
All other payments to individuals are made through Accounts Payable. Per IRS requirements, certain supplier information must be provided before a payment may be made. If you are paying a Non Resident Alien or Foreign National, please see additional requirements under a separate policy.
All requests for payments must be approved by an authorized individual. If the request for payment is to be charged to a grant or contract provided by a sponsor external to the College, the invoice must also be approved the Associate Controller of Sponsored Research.
Original receipts are not required for expense reimbursements to independent contractors. These reimbursements are subject to 1099 reporting requirements.
Procedure
Before an independent contractor is hired, an Independent Contractor Questionnaire should be completed and forwarded to Dotti Koulalis in the Accounts Payable office. Once the independent contractor status has been confirmed, the form will be returned to you with an indpendent contractor (IC) number.
Information on new suppliers should be entered on the New Supplier Form. Please have the individual complete this form. The completed form along with the other requirements should be forwarded to the Controller for processing.
To request a payment to the individual, the authorized individual should:
- Review the invoice from the independent contractor for accuracy.
- Check to see that the invoice was not previously approved.
- Use the Controller’s Office standard stamp or label for approving invoices. Stamps may be ordered through the College's Distribution Center. The label template may be downloaded. The following information is required on the stamp or label:
- Fill in the complete FOAPAL with the required information. The FOAPAL to Worktags map will assist in translating information to the correct Worktags.
- Sign the invoice indicating approval for payment.
- For all invoices that do not have a purchase order, the authorized signer must check off one of the statements indicating the reason that a purchase order was not obtained.
- Forward to Accounts Payable for processing.
Please allow 7-10 business days for invoice processing.