Invoices are a type of payment for goods and services purchased by the departments on behalf of the university.
There are certain guidelines to follow when processing invoices for payment. Please see below for guidance.
The university will pay for materials or services upon receipt of all goods and services and receipt of an original, itemized invoice. An appropriate invoice has the following characteristics.
- An original invoice is required for all purchases of materials and services. If an original invoice cannot be obtained, a photocopy, facsimile, or certified copy can be used for payment provided an explanation is written on the invoice or an attached memo.
- Invoices must be itemized to identify the quantity and price for all items purchased.
- All invoices must be billed to the University of Tennessee.
- Invoices written in pencil will not be accepted by the university.
Preparing Invoices for Approval and Payment:
- Upon receipt of the invoice, the date received (month, day, year) should be written or stamped on the invoice
- Confirm receipt of all items purchased. If there was a purchase order, the number must appear on the invoice. If not preprinted on the invoice, the department may write the purchase order number on the invoice.
- Confirm calculation of the invoice is correct. If not, contact the vendor for a revised invoice. If receive verbal authorization to correct/revise the invoice, write the name of person from the vendor approving the correction on the invoice.
- UT is tax exempt. Therefore, sales tax should be deducted from the invoice. A Tennessee sales tax exemption form can be found on the Treasurer's Office web site.
- The cost center/WBS element(s), appropriate general ledger (G/L) account(s) to be charged, and the department head or designee approval signature must be on the invoice with total amount due. It may be written or a stamp may be used. All invoices must have department head or designee approval.
- Please note if the vendor has never been paid by the University, the vendor will have to be set-up in IRIS as a new vendor. In order to complete this process, the following will need to be completed:
If you have any questions about the forms listed above, please contact Joy in FIO for assistance.
- Once the invoice is properly coded and signed by the department head or designee(s) and if necessary all of the forms have been completed for a new vendor, it should be sent to FIO for processing.
Special Requirements for Invoices:
- For movable equipment and sensitive minor equipment, an asset record must first be created in IRIS. Any purchases should be coordinated with Debbie Crowder in TIS, so an asset number can be assigned for the equipment purchased.
- Entertainment event payments require the following approvals:
- $0 to $1,000.00 - Department Heads/Directors approve charges.
- $1,000.01 to $9,999.99 - paid by invoice or petty cash do not require prior approval, but the CBO will add his approval either electronic or manual as part of the process.
- $1,000.01 to $9,999.99 - paid by procurement card requires prior entertainment approval. For your convenience, here's a link to the Entertainment Prior Approval form.
- $10,000.00 + - Charges at this level require a contract or purchase order.
- If $100 per person cost is exceeded, CBO prior approval is required no matter the payment method.
- Entertainment expense payments should contain the following information on the invoice:
- Purpose of the function
- Date of the function
- Number of individuals being entertained
- The number of individuals and date of function are not required on invoices related to items maintained for guests and visitors, e.g., coffee, soft drinks, and bottled water.
- For groups less than 15, the names of attendees should be listed. For large groups the estimated number of attendees may be used if the actual number is unknown.
- Average price per person, including beverages and tips. For large groups the estimated number may be used for this calculation if the actual number is not known.*
*When alcoholic beverages are part of entertainment events (events include any meal reimbursement other than the standard per diem claim), the cost, including tax, of alcoholic beverages must always be separately identifiable on the receipts and supporting documentation and charged to an appropriate restricted account. Costs of alcoholic beverages are not permitted on federally sponsored grants and contracts.
- Total amount due
- Any entertainment expenses incurring while in travel status should be filed via Travel Reimbursement.
Invoices Processed Centrally to the Treasurer's Office:
The following invoices should be prepared and sent to FIO for processing:
- Invoices with the amount to be paid shown in a foreign currency. The cost associated with converting the currency to U.S. dollars will be billed to the cost center/WBS element charged for the transactions.
- Invoices for personal services contracts, regardless of who is providing the service.
- Invoices for payment of travel expenses paid directly to a vendor.
- Invoices to non-resident aliens, even if the amount is in U.S. dollars. A completed I-94 must accompany the invoice or request for payment.
- Credit memos when a check is requested from the vendor instead of a credit.
- FORM T-27 for request for special payment.
Note: For invoices processed centrally, the vendor's federal identification number must appear on the face of the invoice. If this number is not preprinted on the invoice, the vendor should be contacted and the department should ask for the federal identification number or social security number and write it on the front of the invoice. A social security number or federal identification number is required for all invoices when the payee is an individual.
For more information about Invoices, please visit the UT Policy & Procedures Web Page.
If you still need assistance or have questions, please contact Joy or Vickie.
Financial Information Office ~ 453 Haslam Business Building ~ Knoxville, TN ~ 37996 - 4140
Phone: (865) 974-1770 ~ Fax: (865) 974-3663 ~ (865) 974-4237