Vacation Leave Payout
Funding for sick and annual leave payouts is provided from the State Leave Payout Fund when faculty or staff retire or are retirement eligible at the time of separation. Using a similar method, funding for the payout of vacation leave will be paid from a central funding source for fiscal year faculty or staff who resign, terminate employment, or are not retirement eligible at the time of separation. The University Vacation Leave Payout Fund will alleviate the drain on departmental and grant budgets for improved budgetary efficiency.
Resigning or terminating fiscal year faculty, academic staff, unclassified professional and university support staff members who are not retirement eligible and who are appointed to regular positions with a balance of vacation leave to be paid.
Vacation leave balances will be paid from the University Vacation Leave Payout Fund for resigning or terminating fiscal year faculty, academic staff, unclassified professional and university support staff members who are not retirement eligible and who are appointed to regular positions at the time of separation. The payout will occur on the off-cycle payroll and be in a separate check.
Campus departments will be assessed (from their positions’ funding sources) a percentage based employer fringe rate with each on- and off-cycle calculation to fund the University’s Vacation Leave Payout Fund. Fringe rates will be assessed on gross pay for all positions. The Vice Provost for Finance will have the responsibility to reevaluate the fringe rate on a periodic basis.
Sick leave payout does not occur when a faculty or staff member resigns or terminates and is not retirement eligible. Faculty and academic staff appointed on an academic year basis and temporary employees, including student employees, do not accrue vacation leave and are therefore not eligible for the pay out. The maximum vacation leave paid is subject to the rules applicable to an employee’s appointment.
Financial Services - Payroll
State Leave Payout Fund: statewide employer fringe expense from which retirement eligible sick and vacation leave balances are funded when employee leave State service.
02/17/2023: Updated contact section.
04/16/2021: Updated Contact and owning unit from Comptroller to Financial Services.
12/16/2014: Replaced old link to Vacation Leave Payout charts with new link to HRM's Vacation Leave overview page (which includes Vacation Leave Payout charts).
08/25/2014: Updated to correct link to Vacation Leave Payout charts and fix minor formatting details.