Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What is a Lump Sum?

lump shr
0
Posted

What is a Lump Sum?

0

Lump sum payments are paid for teaching additional courses or for other special projects or assignments after the service is performed. Guidelines Lump sum payments are designated for specific duties outside the regular responsibilities and are not intended for payment in lieu of a base increase to the salary, and should not be confused with other duties as assigned. Note: Normally, special projects are outside the home org. Examples of Acceptable Lump Sums • Payment to an employee for teaching an additional class • Payment to an employee for serving as a translator for international programs, or assisting international visitors on campus • Payment to an employee for performing at a commencement ceremony or other special occasion Examples of Unacceptable Lump sums • Payment to an employee who has been performing duties at a higher level or FTE with the intent for the higher level or increased FTE to continue on a permanent basis prior to all necessary approvals being obtained such as O

0

A lump sum, in general, is a single payment which satisfies all of the benefits owed to the recipient. Lump sum payments are often seen in cases of corporate retirement packages, lottery winnings and court-ordered financial settlements. Insurance companies commonly offer lump sum payments to beneficiaries of life insurance policies. In some financial situations, such as lottery winnings or retirement benefits, the recipient may have a choice between a smaller lump sum payment and a fixed payment issued over time (annuity). Investment experts are divided on the issue of lump sum distribution over annuities. A lump sum payout of a company retirement plan can offer the retiree enough money to make lucrative investments which will support him or her comfortably through retirement. The problem with a lump sum payment, however, is once it’s gone it stays gone. Retirees with large personal debts may have to use much of the lump sum payment to become financially solvent. A fixed annuity paymen

Related Questions

Thanksgiving questions

*Sadly, we had to bring back ads too. Hopefully more targeted.