Paying People

Payroll Gross-Up Calculator

The IRS requires withholding on most payments, but your department may have promised an individual a specific payment regardless of taxes. In this case, your department must request that University Payroll & Benefits (UPB) "gross-up" the payment.

Please note that your department will incur the charges for the full amount submitted to University Payroll & Benefits (UPB).

Recipient Amount

Calculate amount your department will pay on a gross-up payment.

Recipient amount: $

Employee/Student Award Options

If the employee is a student, the award tax rate will only be used if the award is related to the student's employment. Student awards not related to employment should be processed through Accounts Payable.

Employees Subject to Medicare*
Employee awards are taxed at 28.4% if the employee is subject to Medicare tax.

Employees NOT Subject to Medicare*
Employee awards are taxed at 26.95% if the employee is not subject to Medicare tax.

PAYMENTS TO FOREIGN NATIONALS

Scholarship and fellowships to Foreign Nationals holding F, J, or M visas are taxed at 14%. If the Foreign National holds a different type of visa, the scholarship or fellowship will be taxed as "All other Foreign National Payments" at 30%. Scholarships and fellowships to U.S. citizens are not taxed by the University.

Foreign National scholarship or fellowship to F, J, or M visa holder
Foreign National scholarship or fellowship to F, J, or M visa holder are taxed at 14%.

All other Foreign National Payments:
(including student awards for foreign nationals) are taxed at 30%.

OTHER EMPLOYEE PAYMENTS
CAN BE USED FOR CELL PHONE/DATA/INTERNET STIPEND

Federal, State and Medicare*
Taxed at 28.4% if the employee is subject to Medicare tax.

Federal and State
Taxed at 26.95% if the employee is not subject to Medicare tax.

Federal, State, SURS and Medicare*

(NOT APPLICABLE TO CELL PHONE/DATA/INTERNET STIPENDS)

Federal, State, Social Security and Medicare*

(NOT APPLICABLE TO CELL PHONE/DATA/INTERNET STIPENDS)
Taxed at 34.6% if the employee is subject to Medicare tax.

Your department will be charged: $

*if you are unsure if the employee is subject to Medicare, contact University Payroll & Benefits (UPB) for clarification. Please note an additional 0.9% Medicare tax will apply for all wages in excess of $200,000 in a calender year.

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