Generally, the nature of the reward is less important than the gesture of recognizing the employee. Recognition should take into account what is meaningful to the person being recognized. Every employee has a responsibility to ensure that actions that merit recognition are brought to the attention of a supervisor. Recognition of any type must be fairly and equitably spread throughout an organization. Both team and individual recognition are important.
Some awards have tax implications as described in the following sections.
Taxing Awards Monetary awards are subject to taxes in accordance with IRS tax regulations. Non-monetary awards also may be subject to tax. The University shall not add monetary awards to an employee's base pay. All monetary awards, regardless of amount, are considered income for the employee and taxed accordingly. The University cannot increase award totals by the amount of payroll taxes normally deducted from employees' pay.