REQUEST FOR PAYMENT OVERVIEW

Spring - Summer 2010

What are We Doing?

The Institute has developed a web-based, self-service Request for Payment (RFP) form with a direct link to MIT’s SAP financial system.

This will allow community members to request, submit, and manage reimbursements and payments on-line.

Benefits of the New Process

Improved speed and accuracy of processing with built-in help and error checking

Reduced costs associated with data entry, document filing and mail processing – scanned receipts now linked to RFP

Certificate based authorization will reduce errors based on invalid approvals

Direct deposit will reduce time, risk and costs associated with printing checks

Increased convenience – can work from remote locations, work-flow automated electronically

Timely reporting on current and past RFPs Track an RFP through the process Track all current and past RFP’s

Business Rules

Rules for reimbursements and payments have not changed, only the means for requesting, approving and routing. The following rules continue to apply.

A Request for Payment may be used ONLY when use of Procurement Card or Purchase Order is not possible

Appropriate uses of a Request for Payment include: Paying for honoraria, guest lectures/speakers Reimbursement for out of pocket expenses when use of Procurement

Card is not possible (receipts must accompany) For example, local restaurants, mileage, taxi fare, and other places

where petty cash may have been used in the past Payment for local registration fees, dues, subscriptions where

Procurement Card not accepted Payment of H1-B Visa processing fees

Business Rules continued

A Request for Payment is required When reimbursing for computers or servers valued under $1,000 For human subject payments

A Request for Payment should NOT be used To pay for computers over $1,000 or server equipment over $3,000 To pay for taxable goods and services greater than $500 e.g.,

consultants and subcontractors To pay for a business trip involving an airline and/or an overnight stay

(use Travel Expense Voucher instead) To request a Travel Advance (use Travel Advance Form instead)

Business Rules continued

Approvers must be authorized by their departments to approve RFPs

Continue to route your RFP’s to your current approver You may not approve your own RFP Lunch and dinner meetings require justification specifying date,

topic of discussion, list of attendees, and agenda

Sensitive Data

Be extremely careful handling sensitive PIRN data such as Social Security numbers, bank account and routing numbers, credit card numbers and driver license numbers.

Massachusetts law requires that notification be sent to affected individuals and the Attorney General’s Office in the case of compromised PIRN data (PIRN = personal information requiring notification).

To comply and be safe: Don’t keep it if you don’t need it – or keep it safe (locked, encrypted) When sending backup documentation redact (cut out or hide) PIRN data Securely destroy paper and electronic documents containing PIRN data Keep informed: get to know MIT’s WISP (Written Information Security

Program see: http://web.mit.edu/infoprotect/wisp.html) Ask questions by emailing to: infoprotect@mit.edu

System Overview

Who Can use this System? Individual Submitter

seek a reimbursement (a payee) Departmental Submitter/Reviewer

create RFPs for reimbursements or payments review and create for self or others (for some Cost Objects)

Approver approve RFPs (for some Cost Objects)

Payees May be MIT or non-MIT

Contact

For questions regarding Request for Payment policies or procedures use the following.

Web: http://vpf.mit.edu/site/accounts_payable/policies_procedures/requests_for_payment/policies

Call: 617-253-2750

Email: accounts-payable@mit.edu

WISP - Written Information Security Policy see:http://web.mit.edu/infoprotect/wisp.html