1001 PR.01 Compensation Above Salary

Revision Date: 
January 25, 2016


1. Overview

2. Compensation Above Salary

3. Approval Requirements

4. Roles and Responsibilities

5. Payment Request Approved

6. Payment Request Denied

7. Schedule Labor at the Element Level

1. Overview

This procedure describes and specifies the required University approval and payment process for compensation above institutional base salary.

2. Compensation Above Salary

Compensation above salary is a payment over and above an individual’s institutional base salary or wages and benefits, whether one-time or on-going.  Compensation above salary is paid for services rendered or other salary supplements, e.g., additional jobs, work at a higher level, management of additional work units, bonuses, recognition awards and non-base building merit increases.  Departments should not offer compensation above salary to employees until all required approvals have been obtained.

3. Approval Requirements


There are certain activities that, with prior approval from the cognizant member of the Provost’s Office, will qualify for an exception to the policy prohibiting compensation above salary during the academic year. See section XVIII.C – “Other Compensation from University-administered Funds” – of the Faculty Handbook

Other circumstances which may allow compensation above salary for faculty include:

  • Clinical bonuses and incentive payments if not processed during the annual merit pay process
  • Sign on and retention bonuses
  • Affiliated hospital pay, on-call pay, shift pay
  • Compensation above salary for benefit equalization (e.g., one-time payment for newly recruited faculty member who is not eligible for child scholarship benefit)
  • Compensation above salary for interim duties (e.g., interim Department Chair)

Clinical or research supplements are considered part of regular earnings and are maintained and updated as part of the regular salary administration process.

Supplements for administrative duties (other than interim assignments) are also considered part of regular earnings and are maintained and updated as part of the regular salary administration process.

Federal regulations and University policy consider faculty intra-University consulting to be undertaken as a University obligation requiring, with rare exception, no compensation in addition to an individual’s institutional base salary.

Employee category

How to request

Information to include


Submission of written request to Provost or Provost’s designee.

Form 1001 FR.01 Request for Pre-Approval for Faculty Extra Compensation

  • Faculty name, rank and department
  • Amount requested or recommended
  • Explanation for how amount was determined
  • Description of duties or activities for which compensation above salary is requested
  • The services and scope of work for which compensation is being sought must be clearly detailed in the relevant sponsored project proposal
  • If compensation is to be charged to a sponsored award, confirmation of review by GCA or FMRS is required
  • Anticipated start and end dates of the work

YSM Faculty

Submission of Departmental Compensation Plan and Submission of payment request through Workday

  • Requests for non-recurring fixed performance bonus payments, incentive payments, defined additional compensation payments over $10,000 and/or extra compensation payments will be submitted in Workday to the Dean’s Office Medical level for review and processing.
  • Departments with defined additional compensation (e.g., on-call schedules/rates) must submit the pay schedules/rates with their department faculty compensation plan. 
  • Incentive payments will not be approved unless the department has an approved incentive plan on file in the Faculty Affairs Office and in the Finance Office

All Employees (including faculty)

Sponsored Projects

  • Extra compensation must be indicated in proposals as extra compensation.  In situations where an extra compensation situation occurs during the course of an award (not related to summer salary of faculty with academic year appointments), GCA must be contacted to determine sponsor requirements

Managerial and Professional

Employee category

How to request

Information to include

Send requests to:

Managerial & Professional

Initiate business process Request One-Time Payment (http://workday.yale.edu/training-materials/manage-compensation-non-academic)

Initiate business process Request Compensation Change to add or update an Allowance (Ongoing Extra Services) (http://workday.yale.edu/training-materials/manage-compensation-non-academic)

  • amount requested or recommended
  • description of duties or activities for which compensation above salary is requested
  • explanation of why compensation above salary is warranted:
  • why is the special work assignment necessary?
  • in what way is the work outside of the employee’s normal duties?
  • number of hours per week for non-exempt staff, or effort required for M&P staff
  • anticipated start and end dates of work for which the compensation above salary is requested
  • authorization signatures (home department lead administrator or designee)
  • Initiate in Workday

Clerical and Technical

C&T Hours

Labor Schedule

How to process

Send request to:

Additional straight time or overtime hours worked  in own job at regular rate of pay

Same as primary



Work at a higher level

Same as primary

Request Compensation Change in Workday.  See Manage Compensation (Non-Academic) Training Guide for detailed information.


Business Administrator

Human Resources

Second job in home department. Straight or overtime hours paid at different hourly rate

Labor schedule change as needed


Hiring supervisor

Employee’s supervisor

Human Resources

Second job outside home department. Straight or overtime hours paid at regular or different hourly rate

Hiring department Business Manager


Hiring supervisor

Employee’s supervisor

Business manager in hiring department

Human Resources

** Provost Office

Information is entered in Workday by entering the proper code

* If overtime, must use weighted average rate calculation provided by Human Resources

** If the additional job involves teaching duties, additional approval by the Provost Office or the           Academic/Faculty Affairs Office (YSM) is required.

Note: Other bargaining units, please contact your HR Business Partner for assistance.

Sponsor Approval

Yale University is committed to ensuring that all charges to sponsored projects are allowable and transacted in accordance with sponsor terms and conditions, regulations, and University policy. Any proposed compensation above salary to be charged to a federal award must be approved by both the Cognizant Provost and by the sponsor before the activity occurs. All potential requests for compensation above salary to be charged to sponsored projects should first be reviewed by the Office of Grant and Contract Administration to determine whether the proposed payment is allowable.

Note:  Extra compensation for activities not charged to a sponsored award may affect commitments made to sponsors.  Extra compensation paid to an individual who is also devoting committed effort to sponsored awards must be carefully reviewed to determine if the commitments are reasonable, Questions regarding effort should be directed to the Office of Grant and Contract Administration and/or the Office of Grant and Contract Financial Administration.

Salary for administrative personnel that is to be supported by a sponsored project is specifically restricted.  Refer to Policy 1403 – Charging of Administrative and Clerical Salaries and Certain Other Expenses to Federal Funds for guidance. 

Departments who hire a part-time C&T employee from another department for additional casual hours must contact the business manager at the employee’s home department to provide the labor schedule information for the additional hours. Refer to Workday Time & Absence Frequently Asked Questions.

Postdoctoral Associates (PDAs) and Postdoctoral Fellows (PDFs)

Any compensation above salary requests for postdocs must be made in advance to the Office of Postdoctoral Affairs.

4. Roles and Responsibilities

The following roles and responsibilities are involved in submitting, approving and processing compensation above salary.




  • Obtains prior approval of their primary supervisor in the case of an additional assignment outside of the employee’s primary unit

Requesting Supervisor

  • Completes and submits appropriate request form for approval of compensation above salary per form instructions and submits to Lead Administrator
  • Upon approval, notifies employee of approved action and expected pay date(s)
  • Retains records as appropriate

Supervisor or departmental support staff

  • Initiates appropriate business process in Workday.

Lead Administrator

  • Approves on behalf of unit for budgetary purposes and to assure the appropriateness of the additional or higher level assignment
  • Ensures sponsored approval is obtained if required
  • Ensures appropriate paperwork and charging instructions for payroll processing is submitted or enters payment into Workday in advance of the published payroll cutoff deadline for the specific payroll associated with the extra work (e.g., work performed in October is to be paid in the applicable October payroll)
  • Reviews compensation above salary for re-approval on an annual basis

BOLT Member

  • Approves or denies request for compensation above salary for all staff in the following units: Academic Services, Athletics, FAS, Library, Museums and Galleries, Yale Health, and Professional Schools 

Human Resources Business Partner

  • Approves on behalf of Human Resources for consistency with HR policy and practice (contact Compensation for guidance if needed)
  • Notifies department of action
  • Retains records as appropriate

Cognizant member of the Provost Office or Provost Designee

  • Approves or denies request for compensation above salary for faculty
  • Notifies department of action
  • Retains records as appropriate

Medical School Dean’s Office

  • Approves or denies request for compensation above salary
  • Notifies department of action
  • Retains records as appropriate

Faculty Administrative Services

  • Reviews and approves payment information in WD for non-YSM faculty after approval from Provost Office
  • Retains records as appropriate

Postdoctoral Affairs Office

  • Approves or denies request for compensation above salary
  • Notifies department of action
  • Retains records as appropriate

Note: After submitting the request, promptly schedule labor (enter charging instructions) in Workday for the compensation above salary if needed. This ensures that when payment is approved and data is entered, the payment will be charged correctly.

5. Payment Request Approved

If the request for compensation above salary for an M&P or bargaining unit employee is approved, the manager, departmental support staff or Human Resource Business Partner initiates the appropriate business process in Workday. YSM payments are entered by the home department in Workday.  

If the request for compensation above salary for a faculty member is approved, the payment should be submitted in Workday. In addition, the OFAS Charging Instructions for Faculty Compensation form, the completed pre-approval form 3501 FR 08H and supporting documentation such as an engagement letter, should be sent to Faculty Administrative Services for final Workday processing. For PDF’s, you can also refer to Policy 3550 GD.01 for Postdoctoral Fellows: Sponsored Payments of Compensation, Augmentation of Stipends.

  • In most cases, payment forms received at least five working days prior to the posted payroll deadline will be processed for that payroll cycle.

6. Payment Request Denied

If the request for compensation above salary is denied, the Human Resource Business Partner or Provost /Medical School Dean’s Office, notifies the department of the denial and reasons.

The official version of this information will only be maintained in an on-line web format. Any and all printed copies of this material are dated as of the print date. Please make certain to review the material on-line prior to placing reliance on a dated printed version.

7. Schedule Labor at the Element Level

Workday is the mechanism to record salary expense charging instructions for faculty and certain staff (M&P, C&T, PDA, and PDF).  The labor schedule hierarchy provides a distinction between distribution for regular salary/wages and earnings above and beyond institutional base.

To appropriately distribute compensation above salary

  • Enter the charging instruction for the project receiving the benefit of the employee’s service(s) in the employee’s labor schedule at the element-level.

When an element-level labor schedule is not present for earnings above an individual’s normal recurring pay, salary charges may be incorrectly distributed. In addition, if an individual’s labor is normally allocated to a sponsored project and no element-level schedule is present, the payment may be charged to labor suspense in certain circumstances.  Either instance could result in the need for a distribution adjustment or cost transfer.

Review Procedure 3501 PR.01 Payroll Costing for complete labor scheduling instructions.

Note: The labor schedule for work outside the employee’s home department must be entered by the home department.

  • Contact the operations manager or lead administrator at the employee’s home department and provide the appropriate labor schedule information. Use Form 3501 FR.01 Payroll Costing Allocation Form for this purpose.
  • The appropriate earnings element must be used.  Confirm with Employee Services if necessary.