Policy for claims (pdf, 156 kb) - University of West London

2.8 Any attempt to submit a false claim will be treated as a seriousdisciplinary offence and may result in the University taking disciplinaryaction.3. Authorisers3.1 The principal control over reasonableness of expense claims rests withapproved authorised signatories. Authorisers must not approveexpenses where compliance with the overriding policy is in doubt butshould refer the matter to the Executive Director of Finance.3.2 The authoriser certifies that to the best of his/her knowledge and beliefthe expenditure has been incurred wholly, exclusively and necessarily inthe performance of the claimant’s duties as a member of the University,is considered reasonable and is in line with the expense policy. Wherethis is not the case the claim must be rejected by the authoriser andreturned to the claimant unapproved with an explanation for nonapproval.3.3 Authorisers must act reasonably to ensure all members of the Universityare reimbursed promptly and are not left “out of pocket”.3.4 Authorisation must be made by the Budget Holder or his/her nominateddelegate or in the case of Budget Holders by their direct line manager.3.5 No member of the University may authorise the payment of an expenseclaim to be made to themselves or to a member of their family. Selfauthorisation is never permitted e.g. authorisation of an expense claimwhere costs relating to the authoriser are included.3.6 Expenditure of up to £8,000 may be claimed relating to relocationexpenses when such an agreement is made during recruitment. Suchclaims require the prior approval of the claimants ultimate Budget Holderand the approval of the Director of Human Resources.3.7 Claims received by Finance that are considered unusual or inconsistentwith this policy will be returned to authorisers.3.8 All expense claims may be subject to detailed review and audit. Thisreview in no way overrides the responsibility of authorisers to ensurecompliance with this policy.University of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 4

4. Expenditure which may be claimed4.1 Reasonable ExpenditureEmployees will be reimbursed for expenditure incurred whollyexclusively and necessarily in the performance of their duties while onUniversity business. Employees must exercise prudence anddiscretion in their expenditure and consider the business need andreasonableness of any expense. Whenever possible, alternativesolutions to business travel must be used e.g. video or telephoneconferencing. If there is any doubt about the reasonableness ofexpenditure then the claimant must seek the written approval of theirmanager before incurring the expenditure.4.2 Courses and ConferencesAll members of the University may from time to time need to attendcourses or conferences to enable them to carry out their duties for theUniversity more effectively. The University will bear the reasonable costof a member of the University’s attendance at such an event providingthat:i) The course or conference will lead to the acquisition of knowledgeor skills which are necessary for the duties of the member or aredirectly related to increasing effectiveness in their performance ofpresent or prospective dutiesii) The member’s attendance at the course or conference has beenapproved in advance by the Staff Development Manager.iii) The costs of attending the course or conference are met from theHR staff development Budget and prior approval for the cost mustbe given by the Staff Development Manager. Travel costs will bemet from the claimant’s own department and prior approval fortravel costs must be given by the claimants own departmentBudget Holder.4.3 Traveli) All air, car or rail travel for a single or return trip over £100requires the prior written approval of the Executive Director ofFinance.ii) Travel should be made using the lowest cost option, which maybe by car, train or low cost airline. However, the claimant maychoose to travel by another option, in which case the lowest costpractical option only is claimable.iii) Authorisers are responsible for ensuring that the lowest costoption only is approved.University of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 5

Ealing to Reading £15.30 £27.40Reading to Ealing £15.30 £27.40Brentford to Reading £13.10 £13.50Reading to Brentford £13.10 £25.00* Fares at August 2012Amounts that canbe claimed(based on peakrail fare*)40 p per mileSingle Return Miles Single Return36 £14.40 £28.8035 £14.00 £28.004.6 Hotelsi) Every effort must be made to ensure that the cost of arrangementsfor overnight accommodation is as economical as possible.Accommodation should therefore be obtained in a two or three starhotel of reasonable quality. Any exception will require the priorwritten approval of the Vice-Chancellor.ii) Reasonable meal charges and incidental expenses, will bereimbursed The receipt from the hotel must be attached to theexpense claim. Credit card vouchers are not sufficient and if aclaimant loses the hotel receipt a copy should be obtained.iii) When claiming hotel bills, pay TV and videos, newspapers andclaims for alcohol and other items listed in section 5 below will notbe reimbursed.4.7 TaxisTaxis should only be used where there is a clear business need, forhealth and safety reasons or it is efficient compared with otherarrangements. Waiting time must be kept to a minimum.4.8 Parking & Congestion ChargesEmployees will be reimbursed for the purchase of the congestion chargepermit and for costs incurred for parking at stations and airports, whileon University business. Fines for parking or speeding while onUniversity business are never paid, see paragraph 5.1.4.9 Own vehiclesAll members of the University who use their private vehicles onUniversity business must ensure that their insurance policy covers suchusage. The University accepts no liability. A copy of the insurancedocument must be supplied to the Finance department. The mileageclaimable is the excess over the normal mileage from home to normalplace of work.University of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 7

4.10 Staying with friends or familyWhen away on University business, the traveller may chose to stay withfriends or family in which case it may be appropriate to make a payment.Up to £25 per night may be claimed unreceipted. The cost of meals orgifts may not be claimed.4.11 University purchasing credit cardsi) University card holders must use such cards strictly in accordancewith the rules issued to them when the card was provided.ii) Card holders must retain receipts and other supportingdocumentation for any expenditure. Failure to comply with the rulesand requirements governing the corporate card may result in thewithdrawal of the card and may result in the University takingdisciplinary and/or other appropriate action.iii) The rules regarding the use of procurement cards and procedurefor providing receipts is set out at:http://www.uwl.ac.uk/the_university/how_the_university_works/Finance.jsp4.12 Entertaining and hospitalityi) Claims for entertaining third parties may be made in the furtheranceof the University’s relationship with the individual or entity. Thebusiness need for such entertaining must be specified on the claimform and the names of all individuals present stated and the namesof any external organisations involved stated. This identification isrequired to comply with HMRC regulations..ii) Wherever possible during term time the University’s student trainingrestaurants must be used for corporate hospitality to promote theiii)University and its students and minimise such expenses.Expenses for entertainment and/or corporate hospitality will notnormally be reimbursed where all of the persons present wereemployees.iv) The number of employees present at corporate hospitality eventswhere expenses are claimed should not normally exceed thenumber of visitors.4.13 GratuitiesWhen a service charge has not already been included on the bills,gratuities for meals etc. should be made at an appropriate level: e.g. theguidelines for UK gratuities is 10%.4.14 Subscriptions to associationsSubscriptions to professional bodies will not be reimbursed. Studentfees for employees actively studying may be claimed with the approvalof the Budget Holder. Annual professional subscriptions not reclaimableUniversity of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 8

under this policy might be deductible for tax under the self-assessmentprocess. Employees should approach HRMC directly on this matter.4.15 Mobile phones and Blackberry devicesi) University mobile phones and Blackberry’s are issued for businesspurposes and use for personal calls, texts and internet browsingshould be kept to a minimum. Personal usage must be repaid bythe individual. Mobile phone and Blackberry holders will be issuedwith a monthly on-line statement enabling them to identify personaluse. The amount identified will be automatically advised to payrolland a deduction made against net pay.ii)Where staff need to make University-related calls using their ownmobile phone (e.g. University calls while on holiday) they mayreclaim the cost through an expenses claim. A copy of the phonebill with the claimed calls highlighted is required.iii) Mobile phone top up cards are never claimable, see section 5below.4.16 Business travel combined with holidays or personal travelThe combination of University funded business travel with holidays(including weekends) must be pre-approved by the Vice-Chancellor. Theaccompaniment of family and friends on University funded travel alsorequires pre-approval by the Vice-Chancellor. There is no Universityinsurance cover for those who are not members of the University.5. Expenditure which may NOT be claimed5.1 Expenses that are private, normally incurred outside work, not workrelated or are considered excessive and unreasonable are notreimbursable.5.2 Refreshments supplied during meetings.i) The University’s catering service provider is the sole provider ofrefreshments for meetings within the University and all suchservices must therefore be obtained from them. This is acontractual arrangement and should not be breached. The costswill be charged directly to the department and not to the individual.ii) The only exception to this, specifically excluded within the cateringcontract, are the University’s student teaching restaurants whichmay from time to time supply refreshments for certain meetings withpermission of the Budget Holder. These costs may then bereclaimed.University of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 9

iii) Refreshments should only be ordered in the followingcircumstances: The meeting is with external visitors. The meeting is a formal meeting of over two hoursduration and involves over six people. The meeting involves over six people and extendsthrough lunchtime.iv) The University reserves the right to refuse to meet the cost of anycatering services obtained in breach of these regulations.5.3 Claims for tea, coffee, milk etc are not acceptable.5.4 Personal costs, including:i) Gifts, for example employee leaving gifts/birthday gifts/flowers.Where departments wish to buy gifts then this should be donevia a department collection. There are occasions where it isappropriate to send gifts/flowers on behalf of the University andthis should be pre-approved by the Executive Director ofFinance.ii) Mobile phone top up cardsiii) Child-mindingiv) Diaries5.5 Travel costs such as:i) Traffic violation fines, including car parking fines, clamping andcongestion fee fines.ii) Travel/mileage from home to normal place of work.iii) Passport replacements5.6 Hotel expenses such as:i) Hotel videos and pay TVii) Laundry (unless away for over 4 nights)iii) Hairdressing and purchase of items of personal clothingiv) Toiletries, luggage, magazines and books when staying away5.7 IT equipment, including laptops, printers and minor items; software; orservices, including web-based. This applies even when the cost is grantfunded as such purchases must always be procured via the ITDepartment.5.8 Conference attendance fees, see section 4.2. (Related travel costs maybe claimed).University of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 10

5.9 Eye tests or glasses. Contact the Health and safety department who willmake the appropriate arrangements.6. Claims processing6.1 Payment is made through the payroll system with amount of the claimadded to net pay and shown separately on the payslip.6.2 Payment will be made when the Finance department have received:i) The on-line approval from the claimant’s manager; andii) The claims summary with the manager’s authorisation the receiptsattached (see para 2.1).6.3 When the on-line approval and the receipts have been received inFinance by 11 th of the month the payment will be made with the nextpayroll payment date, 25 th month or earlier working day if 25 th falls at aweekend or bank holiday. An earlier cut-off may be advised atChristmas when the payroll payment date is earlier than 25 th .7. Mileage Rates7.1 The mileage rate paid for use of the claimant’s private car is:40p for the first 80 miles of any journey25p for the remainder of the journey“Journey” refers to a round trip.7.2 Motor cycle and bicycle allowancesStaff are reimbursed for the private use of the above on Universitybusiness at the rates allowed by HMRC:Motorcycle – 24p per mileBicycle – 20p per mileUniversity of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 11

8. Tax issues8.1 This policy and procedure has been prepared to ensure compliance withrelevant UK tax legislation thereby avoiding situations where either anemployee or the University is exposed to an assessment for tax byHMRC.8.2 Where an employee is reimbursed business mileage in their own car ata rate of less than 40p per mile for the first 10,000 miles or 25p per milefor mileage over 10,000 miles, they may claim tax relief on thedifference between the amount reimbursed and the statutory rates(above). The relief, which can be claimed from HMRC, is claimed by theemployee as part of the Self Assessment tax return process. It is theresponsibility of the employee to keep mileage records and make theirown claims to HMRC.8.3 In order to pay subsistence allowances (such a flat rate daily allowancesor fixed overnight rates) an organisation is required under HMRC rulesto obtain specific agreement to the amounts within their P11Ddispensation otherwise any such payments will be treated by HMRC astaxable income of the individual and reportable on P11D’s. TheUniversity has no agreed dispensation in place for subsistenceallowances and that is why the actual costs rather than flat ratesubsistence payments must be claimed. Furthermore, claiming actualcosts allows the VAT to be reclaimed (providing a proper VAT receipt isobtained).8.4 A valid VAT invoice contains the following information:The name and address of the supplierThe VAT identification number of the supplierThe date of the transactionDescription of the transactionThe rate of VAT chargedThe amount of VAT chargedInvoices from UK suppliers for less that £250, (i.e. for fuel) arevalid if they show the name of the supplier, their VATregistration number, the date and the rate of VAT shown in theinclusive value of the transaction8.5 There will be occasions when costs which are properly incurred falloutside HMRC definitions and tax is payable on them by the employeewho incurs the cost. The University recognises that such costs may beincurred from time to time and will gross up such costs for tax andUniversity of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 12

national insurance and settle the liability on the employee’s behalf,doubling the cost to the University in most cases. Therefore, thereneeds to be a mechanism in place to capture these costs and to grossthem up for tax and national insurance purposes. For this reasonprecise details are required to support such claims e.g. numbers ofUniversity employees included, details of guests etc. The cost of thegrossing up for tax and national insurance will be charged to claimantsown departmental budget.This policy forms part of the Financial Regulations of the UniversityUniversity of West LondonPolicy for the reimbursement of travel and other expenses 2012-13 Page 13