Published June 24, 2025, via Research News
The Uniform Guidance was updated for new awards and incremental/supplemental funding awards made on or after October 1, 2024. Under the revisions, accrued time paid out at termination is no longer chargeable to federal grants. As a result, these payments will be included in the university’s fringe rate in future years. The payments include Vacation Payout on Termination (VAP) and IL Paid Time Off Payout (TIMEOFFPO).
Accrued time paid out at termination incurred between October 1, 2024 and July 1, 2025, Payroll Accounting Adjustments have been / will be completed to move the applicable expense off federal grants to the fringe cost pool. No further action is required on the part of departments.
Effective July 1, 2025, all such payments will be charged directly to the fringe cost pool and the costs will be incorporated into the fringe recovery rate.
For questions regarding the Uniform Guidance requirements, please contact the Office of the Vice Chancellor for Research or Sponsored Projects Accounting.