Gift Card Policy

Purpose

This policy addresses gift card usage for the purpose of incentives, awards, door prizes, gifts, and compensation. This policy ensures compliance with IRS tax reporting requirements for employee compensation and “cash equivalent” payments.

Policy and Procedures

Gift card distribution, as a form of payment to faculty, staff, and students, is prohibited for most purposes, including:

• Incentives
• Awards
• Door prizes
• Gifts for personal accomplishments, (birthdays, retirements)
• Holiday or graduation gifts
• Compensation

This policy applies to both direct payment using OneCard and personal reimbursement for the purchase of gift cards, using all funding sources through Vanderbilt University.

With preapproval by the Office of Finance and Administration, gift card distribution is allowable for a narrow class of research purposes, specifically for:

• IRB-approved research participants, including employees who participate in sponsored research activities for which confidentiality is integral to the research design
• Students who participate in student surveys or activities, including student employees

The total value of any gift card issued must be below $600. Use of an appropriate funding source is required, and gift card distribution should be used only when it is the most economical and efficient payment method.

For approved use of gift cards, the required information listed below should be logged in each case upon distribution:

• Tax ID number
• Name of Recipient
• Permanent Mailing Address
• Date of Distribution
• Gift Card Amount

The College of Arts and Science adheres to Vanderbilt’s established Travel & Business Expense Policy and Procurement Card Policy. In cases where college guidelines differ from university policy, it is expected that the more restrictive policy take precedence.