Consult with L&S Human Resources:

• L&S Human Resources/Payroll Office Department Contacts
• L&S Staff Human Resources at hrstaff@ls.wisc.edu

Whenever it is possible to establish an FTE or track hours worked, individuals should be paid on an hourly or annual pay basis. See L&S Recruitment of Non-STS Academic Staff, University Staff and TE Appointments

1. Lump sum basis position

1. 1. An appropriate title must be identified based on the duties being performed, and the amount of payment must be appropriate based on the salary minimum (and maximum if applicable) of the title and the expected amount of work to be performed.
   2. The hours worked (or counted as working under the ACA) are not to exceed an average of 30 hours per week or 130 hours per month.
   3. Divisions must report hours worked by employees paid on a lump sum pay basis appointment monthly using either a timesheet or a method determined by division to track and record hours in HRS.
   4. Appointments expected to exceed 30 hours per week or 130 hours per month must be reviewed for conversion to an annual (A) basis appointment with an established FTE or hourly (H) pay basis appointment.
   5. The appointment letter or signed employment agreement must include specific information for the period for which the payment represents (i.e., the earnings beginning and end dates), and the anticipated hours required to complete the work (see: L&S lump sum appointment letter template).
      
      
2. Determining Compensation
   
   
   1. The amount of a lump sum payment must be determined by approximating the number of hours the job will take to complete multiplied by an hourly rate.
   2. The rate of pay should be in line with the chosen role’s salary grade based on job title.  Exceptions may be granted by L&S Human Resources.

3. Overload Payments

1. Payments for additional work that is not part of the employee's normal job responsibilities may be appropriate.
2. Overload payments may be made on the employee’s current job if the overload duties are an extension of the employee’s current role and the duties are being performed for the same department.
3. An overload for work done outside the core responsibilities described in an employee’s job description and/or done outside of the department should be paid using a new job title and hire event.
4. As part of the overload request, email a draft overload letter to your HR Manager.
5. UW-Madison Overload Policy
   

4. Lump-sum salary adjustments

1. 1. Award
      1. A one-time payment to an employee for outstanding achievement or merit for a specified contest or recognition opportunity.
      2. A lump sum for an award should be paid on the employee’s current employee record, regardless of the reason for the award.

2. Hiring Bonus

1. A hiring bonus can be offered as a mechanism to attract candidates to an open position.
2. A hiring bonus must be approved by L&S Human Resources before it can be listed as part of an open recruitment.
3. A request for a hiring bonus made at time of offer and not listed in the recruitment materials must be approved by L&S Human Resources before it can be offered to the candidate.
4. L&S Hiring Bonus Program

3. Performance bonus (lump sum)

1. A performance bonus can be awarded to an employee for the successful completion of an assignment and/or project, and/or for above-and-beyond sustained performance.
2. Employees may receive no more than 10% of their salary in performance bonuses in any given fiscal year.
3. To be eligible for a performance bonus, an employee must:
1. Complete their probationary or evaluation period
2. Complete Cybersecurity training (once every 365 days)
3. Preventing Sexual Harassment/Sexual Violence training (once every four years)
4. Have a completed PMDP evaluation within the current or prior fiscal year.
4. Salary Adjustments Policy  

5. Non-Service Lump Sum Payments to UW Students

1. L&S Lump Sum Payments to UW Students Guide

6. Student Hourly Lump Sum Payments

1. All Student Hourly employees shall be paid on an hourly basis and hours of service shall be tracked accordingly in HRS. Any exceptions must be approved by the division Human Resources representative.
2. All Student Hourly employees must average below 30 hours per week (they can work 40 hours one week and 20 the next if the overall average is not greater than 30 hours per week). Overtime hours are counted toward the total hour calculation. For ACA purposes, the Universities of Wisconsin is a single employer. Therefore, the restricted hours pertain to any hours worked at all UW–Madison divisions or any other UW System institution statewide. If an employee works for multiple divisions or at another institution, all hours worked/reported must be combined and stay below the 30-hour weekly average.
3. Student employees paid on a lump sum basis are non-hourly employees for purposes of the ACA. UW System uses one of two methods to track hours for non-hourly employees: (1) actual hours: (2) days-worked equivalency (each workday of service – 8 hours credited). Failure to identify the expected hours worked will result in application of the days-worked equivalency method for the period they are paid which may result in fines for failure to offer the individual health insurance. If services are compensated on a lump sum basis, the hiring unit must document the hours spent working on the assignment or the Student employee will be credited with eight (8) hours of service (for ACA purposes) for each day the lump sum is paid in the HR/payroll system.
4. Divisions must report hours worked by student employees on a lump sum pay basis appointment using either a timesheet or a method determined by division to track and record hours in HRS.
5. Hours credited due to a Federal Work Study program do not count toward the calculation of hours of service earned for purposes of the ACA.

Related UW-Madison Policies:

Salary Adjustments

Lump Sum Pay Basis Appts

Overload

Relocation

Student Hourly