|Activity:||Mobile and Device Allowance - BC* to be discontinued on June 30th 2020|
|Forms:||Annual Mobile Use Attestation Form|
- To download the form, go to Related Forms in policy Mobile Plan and Device Allowance, FIN-ACC-480.
Allowances are to be made to employees via the payroll system using the Additional Pay edoc with Earnings Code DVA.
Go to One.IU to (search for HRMS and make it your Favorite)
|Things To Know:||4/27/2020 Update|
IU Ending Mobile Plan and Device Allowances FY21
Like many universities and businesses across the nation, Indiana University has directed that FY21 budgets be reduced in base funding to help address the negative financial impact of the COVID-19 crisis. As such, the university is looking for areas of cost savings across the organization in order to help preserve jobs, services, and activities most directly related to the core mission of education and research.
As part of FY21 budgeting, Indiana University will end all stipends for cell phones or home internet connections on June 30th 2020 (unless required by law, external compliance or contract).
The elimination of these stipends will help save over $2M that are needed to support the core mission of education and research. Additionally, the current IU policy governing these reimbursements was developed in 2005. Since that time, personal cell phone ownership and home internet have become nearly ubiquitous for adults, in percentages similar to those of other basic utilities. This change in policy recognizes that evolution of technology and personal adoption and aligns IU policy to it for everyone.
This change in policy will help the university achieve its essential budget reductions during this difficult time.
The mobile allowance will now be NON-TAXABLE to the employee. Selection of the code “DVA” on the eDoc places the amount in a non-taxable earn code and the allowance will no longer be reported on the employee’s W-2 as compensation. Gross-up of taxes for the employee’s mobile allowance is no longer necessary.
Employees may be reimbursed $50, $100, or $150 at the department’s discretion. The reimbursement should be commensurate with the employee’s business use of his or her personal cell phone plan and the cost of the device(s) purchased. (For FY17, we will not require changes to eDocs that have already been processed).
Users of mobile devices under policy Mobile Plan and Device Allowance, FIN-ACC-480 must comply with the university policy IT-12.1 Mobile Device Security Standard. Devices that have been lost or damaged are the responsibility of the employee to replace.
Employees may have multiple devices, however, the amount may not exceed the maximum monthly amount.
"Internet access for business purposes while traveling will be reimbursed for these charges through the standard Travel reimbursement process so long as such charges are for short-term internet services and are submitted as part of a lodging receipt. The University will not reimburse employees for roaming charges. To avoid roaming charges, employees should add international calling plans before beginning international business travel." - Excerpt from the Mobile Plan and Device Allowance, FIN-ACC-480 policy.
Shared devices are covered by this policy. Please consult with your Fiscal Officer.
IU Foundation accounts may not be used to pay for mobile or other electronic devices.