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Payments with Gift Cards

Gift cards should be used when making payment for prizes or awards and for making one-time human subject payments under $500. Human subject payments greater than $500 or instances where an individual will receive multiple payments for participation in a single study should be made through the prepaid card system.

Gift cards cannot be used as payment for services under any circumstances. Payment for services tied to an individual's employment must be processed through payroll (whether as a secondary assignment or payment on an element). Payment for non-employment services (i.e., an approved independent contractor) should be processed through Mountaineer Marketplace. See Employee or Independent Contractor for guidance on determining the appropriate classification of payment for services.

Gift cards cannot be used to make payments to employees unless the prize or award was open to the general public and current or former employment was not a condition of eligibility for the prize or award. Prizes and awards that are only available to employees should be processed through the winning employee's payroll assignment. Prizes and awards to students are potentially considered additional gift aid to the student. See the Stipend Determination Guidelines for additional information.

If an individual receives more than $500 in payments from a department in a calendar year, the department must collect and retain IRS Form W-9, Request for Taxpayer Identification Number and Certification [PDF], for United States citizens and lawful permanent residents or IRS Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals) [PDF], for foreign nationals. The $500 threshold applies even in situations where a department is making multiple payments throughout the year of less than $500 (but that cumulatively exceed the threshold) and even when payments are split between the prepaid card system and gift cards.

Because the information contained on Form W-9/W-8BEN is personal, sensitive information including the individual's Social Security number it is vital that the payor Department/Unit secure the information. Completed W-9/W-8BEN forms should be scanned and saved to a University secure drive (such as the N Drive) and the original paper forms securely shredded once scanned.