Financial Policies

You can find a complete list of offices and programs who have their business affairs handled by our team. 

Policies regarding employment and compensation are available on the University Policies Human Resources page. The following documents provide guidelines and details to supplement the policies. Adobe Reader is required to view the PDF files; a free download.

An updated review of approval responsibility for empployment actions has recently been completed for areas reporting to the Provost. As a result, employment actions outlined in the attached list will require the prior approval of the Vice Provost for Faculty Affairs. Please direct these requests to Vice Provost Peter Hollenbeck ( Requests requiring approval by the Executive Vice President for Research and Partneships or the Dean of the Graduate School should be directed to their respective offices. This revises the list issued in February 2014.

If you have any questions concerning the specifics of this information, please contact your Directory of Financial Affairs or Human Resources.

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In some situations it has been determined that the use of an administrative supplement is an appropriate way to recognize a specific assignment for a faculty or exempt staff member. This mechanism allows a salary adjustment for increased or temporary duties to be tied to the specific appointment or assignment. When the faculty or exempt staff member completes or relinquishes the appointment or assignment, the administrative supplement is removed.

An administrative supplement may be considered in the following cases:

  • When a person assumes a position with an increased level of responsibility, but maintains the right or understanding that he or she can or will return to a prior position. This would be more common with faculty, for example, where a faculty member becomes a department head, but can return to the faculty at some future time.
  • When a person assumes additional responsibilities over and above those of his or her current position. Often these are associated with an interim or temporary appointment.

Please note faculty and exempt staff members are eligible for administrative supplements. Contact the Human Resource Compensation Analyst assigned to your area for information on payment options for non-exempt staff taking on additional responsibilities.

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Issued November 2015
Effective January 2016 


Office of the Provost

Discretionary Allocation:

The full allocation will be made available while in pay status regardless of FTE for all Provost Funded Distinguished Professor Allocations. It is recommended that Unit Funded Distinguished and Named Professor Allocations follow this same guideline.

Salary Supplement from Discretionary Allocation (regardless of the source of funds):

The approved salary supplement will be paid on a monthly basis and prorated based on the FTE appointment for each pay period.

Distinguished Professor PRF Stipend:

The full stipend will be paid for any semester in pay status regardless of the FTE. Individuals on VEPR will receive payment for both semester regardless of pay status.

The full stipend will be paid for any semester in paid sabbatical leave status regardless of the FTE.

The full stipend will be paid for the initial semester when the date of the BOT approval of the appointment precedes the processing date of the stipend payment; no payment will be made when the BOT approval follows the processing date of the stipend payment.

The stipend will be prorated for the semester of termination or separation based on the days in pay status for the semester. If notification of a retirement or separation is received after the processing date, no adjustments will be made to the stipend payment.

No payment will be made when in unpaid status for the full semester except in the case of VEPR.

No payments will be made for post-retirement appointments or appointments as emeritus.

Balances at Separation:

Any unexpended balances from the discretionary allocations at separation will be returned to the Provost's Distinguished Professorship Reserve. Consideration will be given to requests to retain balances for appropriate purposes.

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Basic Guidelines for the Use of Funds Held at Purdue Research Foundation

(Supersedes January 31, 2000 Guidelines)

West Lafayette Campus November 1, 2003

Background: School Discretionary and Institutional Program (SDIP) funds are unrestricted charitable contributions made by alumni, friends, corporations, staff, and faculty. These contributions are donated to fund expenditures that will enhance program and departmental missions, goals and objectives.

Philosophy: Good stewardship of funds includes expending funds in support of the purpose for which they were given. The unrestricted nature of SDIP funds does not absolve the University and foundation of their stewardship responsibilities. A good test for the appropriate use of gift funds is: Would you ask a donor to contribute money for this purpose?

Procedures: SDIP funds should be expended through the Purdue Research Foundation (PRF) for expenditures that are unallowable on University funds. Any expenditure which benefits the authorizer personally or which might represent a conflict of interest based on relationship to the authorizer is unallowable. SDIP funds will be transferred to the University when expenditures are allowable on University funds. These transfers will be recognized as gift income to the University. When requesting SDIP funding, departments should describe the business reason for the expenditure, in addition to providing proper backup documentation; including original receipts. If original receipts are not available, an explanation must be attached to the request. Requests for reimbursements must be within 12 months of the event.

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The following table is to assist staff in determining the source of funds for purchases within the Office of the Provost

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Effective Summer of 2018, the guidelines for summer session support will be at the discretion of the Dean or Vice Provost. Provost approval will no longer be required for any summer session appointments, unless the appointment is outside University Policy C-26 or its replacement.

The following points are provided for your consideration in determining the management of summer session support in your college or unit:

  • Caps on summer support may be defined by the source of funds or the assignment.
  • Sponsor or program guidelines may limit the amount of allowable summer support.
  • Summer support in excess of 10 weeks allows AY faculty/staff to earn greater than the equivalent FY salary.
  • AY faculty/staff working greater than 10 weeks can be viewed as giving up vacation time.
  • Summer Intensive Instructional Activities and Non-Continuing Education Overload Activities will continue to be managed by the terms of Executive Memorandum C-40.

This communication will supersede the GUIDELINES FOR SUMMER SESSION SUPPORT issued April 2014 by the Office of the Provost

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