Processing Student Stipends
Many departments offer an additional source of funding to students in the form of stipends. Stipends to students may be awarded after the completion of some service, (e.g. participation in a mentorship program), or they may be based on other criteria established by the department, (e.g. academic merit). Stipends paid to students are subject to tax laws that must be accommodated in the payment process.
Departments are responsible for verifying the following:
- Payroll Status Verify that students have NOT been on the State of New York (NYS), City of New York (NYC) or City University of New York (CUNY) payrolls within the past 2 years. Only students who have NOT been on NYS/NYC/CUNY payrolls within the past 2 years can receive stipends via tax levy funds. If students are found to be on the above referenced payrolls within the past 2 years, contact Human Resources/Payroll to process these payments.
- Service Requirement If awarding of the stipend is contingent upon completion of a service requirement or participation in a program, the stipend is subject to 1099 tax reporting to the Internal Revenue Service (IRS). Student stipends that DO NOT include or require a service assignment are non-taxable and are excluded from 1099 reporting.
- Citizenship Status Non-U.S. citizens and non-resident aliens cannot receive student stipends via tax levy funds. Contact Human Resources/Payroll to process these payments through the GLACIER Online Tax Compliance System.
After performing the above verifications, departments must complete the CCNY Request for Student Stipend for EACH qualified student, (refer to the CUNYfirst Chartfield Structure Lookup Tool for form completion). Attach documentation that CONFIRMS completion of any service requirements, as applicable, and forward the completed documentation to Accounts Payable (AP) located in Wingate Hall, room 112.
In the case of stipends that have a service requirement, departments must also contact Accounts Payable to arrange the confidential communication of student personal information necessary for 1099 reporting. AP will contact CUNY Vendor Management to add the student to the Non-State Employee Vendor file (CTYNS).
The Accounts Payable department reviews ALL request for stipends to ensure that they contain sufficient and appropriate evidence to support voucher certification to the NYS Comptroller. If approved, AP will submit a payment voucher through CUNYfirst for bulk-load electronic transmission to the Statewide Financial System (SFS).
Please email firstname.lastname@example.org , subject line "STIPENDS" with any questions or inquiries.