Purchases of the above items are permitted only for medical necessity or disability.  Employees must obtain prior approval for purchase of the above items through Yale’s Accommodations Program and attach the approval to the applicable expense report.  If approved, all equipment and furniture items purchased with University funds are the property of the University and must ultimately be returned to Yale. There are two common options for reimbursing employees for cell phones. To support a tax-free reimbursement program, employers should leverage data that accounts for each individual’s regionally-specific costs. What's more, we suspect there was sometimes inconsistency in the manner expenses from different employees were reimbursed. For questions and assistance interpreting these guidelines and appropriate limits, Lead Administrators should contact the Controller’s Office. A remote work policy can create cohesion and eliminate confusion or frustration for employees. Remote employees will also receive [$100] per month as a remote-working allowance to cover office-related costs (e.g. Remote work arrangements raise various policy issues, including reassignment of official worksite, pay, and reimbursement for travel. remote employees freelance work from home week work from home.  Under IRS Reg. Filed to: remote employees. Absent such a requirement, expense reimbursement may be necessary to satisfy the FLSA minimum wage and overtime requirements for non-exempt employees. However, with everyone working from home now and for the forseable future, we are considering moving to a stipend based plan. purchase costs or maintenance/repair expenses associated with employee-owned items or related services. ... they may in certain states be eligible for reimbursement for cell phone, internet or equipment used in furtherance of the employer’s business. Step 1: Update the policy to address WFH expenses. Several states, including California, Minnesota and South Dakota, have laws that require work-related expense reimbursements. The Company may reimburse a portion of homeowners’ insurance coverage when required by the Company to protect equipment. Some states have laws requiring the reimbursement of some or all expenses incurred by your employees. If purchasing items through Workday/SciQuest is impracticable, employees may utilize one of the following alternative methods: Purchased items that require shipment (e.g., from an online order) may be shipped directly to the employee’s home (or other applicable remote work location). Rightful termination is typically addressed in most company policies, but Rozwell emphasized its importance in a remote work policy. For employees working from home, the University will not reimburse mileage between the employee’s home and their Yale University work location. If an employer pays a fixed amount in the form of a stipend, the employer's policy should allow employees to submit expenses for reimbursement if the employees believe the stipend was insufficient to cover their work-related expenses. Expense reimbursement policies detail when and how employees will be repaid for company expenses, and they generally outline the proper procedure for reimbursement. This means involving both HR and legal. § 1.262-1(b)(5), costs of commuting to the place of business or employment are personal expenses.  In general, this also applies to travel between multiple work locations…. In most cases, under the FLSA, any work-related expense incurred by an employee that would bring their pay below the minimum wage (or cut into overtime pay) must be reimbursed. Many employees are still working from home and some of them will likely never return to their physical offices although they will continue working remotely. employee won't qualify as a WCFB unless the employee is required to: (1) use it for a specific or prearranged undertaking which is deductible under the Code, (2) verify that the payment actually is … Motus provides reimbursement rates for mobile devices, internet and home office expenses unique to each employee… Information about the Accounts Payable Now & Tomorrow newsletter or purchase an annual newsletter membership here. All staff who can work at home should continue to do so. “In-office workers who travel are usually provided with laptops, so it stands to reason an organization would do the same for remote workers,” says Hastings. As more companies turn to remote work, they're finding it difficult to support their off-site team with the same level of care as their on-site team. An exception might be made if the worker only teleworks due to adverse weather or a personal appointment (waiting for a plumber, for example). These are the most commonly provided items, with laptops/MacBooks more popular than clunky desktop computers that can’t be taken offsite or into the office if needed. Include your policy in your employee handbook so employees have easy access. The policy should clearly delineate which expenses are reimbursable, but also provide an avenue for employees to submit reimbursement requests for additional necessary business expenses, even if those expenses are not delineated in the policy. 26. (E.g., for every $100 of taxable stipend, $38 is lost to taxes employee and employer.) What follows is a plan for best practice organizations to use to achieve that goal. The employer may then consider whether to offer additional reimbursement or to decline the employee's claim. 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