Late Pay on Training Grant

[Heidi Huff]

This is an anonymous post via RCO:

After the termination notice was sent for a trainee, a SRF accountant informed the department that this student on the training grant was underpaid.  The time frame for the training is from over a year to two years ago.  The student needs to be paid the portion that they were underpaid.  What steps need to be taken?  What is the best way to pay this student for the underpayment? The department's thought was to pay the student a lump sum now as a back payment, but was unsure if that was the correct way to do it. 

[Sheila Lem]

Many departments have supplemental pay for the trainee on non-sponsored funding because the traineeship stipend is less than their graduate student required level of pay.  If that's the case the underpayment can easily be resolved through a retro.  You just need to move an amount equal to the underpayment onto the training grant during the training period.  Otherwise I would agree with processing a lump sum payment for the back pay owed.  I always recommend playing it safe and overpaying vs. underpaying.  You can always move a small overpayment amount onto non-sponsored funds to be in compliance.  It's easy and doesn't impact the student.  It can be difficult to process back pay if the individual is no longer a student.