Policy 5     Expenditure Control

Section 5.3          Entertainment

Foundation funds may be used for payment to vendors or reimbursement to individuals for expenses related to entertainment incurred while conducting official University business.  An Entertainment Form (see Appendix) must be completed and submitted with each separate entertainment request.

Fund Administrators are responsible for determining whether expenses are appropriate, moderate, and in support of furthering institutional goals and programs. 

The following instances are applicable for entertainment reimbursements:

  • Business meals that include a donor, prospect, or other business related non-employee are reimbursed as entertainment.  Business meals consumed while not away from home are not normally considered reimbursable by the IRS, with the following exceptions:
  • Faculty/staff has a meal with a prospective donor or job candidate.
  • Faculty/staff has a meal with a representative of an external business-related organization to discuss matters of benefit to the University.
  • Faculty/staff has a meeting scheduled for the purpose of conducting business related to University matters, or as an official function of the University. 
  • Original itemized receipts must be submitted with all reimbursement requests.
  • Business meals should include tips with a reasonable amount, generally, not more than 20%.
  • Solo (individual employee) meals will not be approved through the Foundation.  Individual meals should only be reimbursed if on official University business with the employee’s state travel reimbursement.  Meals reimbursed through state travel should not be submitted as a reimbursement request to the Foundation.
  • All requests for entertainment expenditures must include an explanation of the business purpose, list of attendees, and relationship of those attending, plus date and location.  If a University employee’s spouse attends, an explanation of the necessity of his/her attendance should be attached.  The required Entertainment Form will document this information accordingly.   
  • Reimbursement may be made for the judicious use of alcohol while entertaining and must comply with the University’s alcohol policy.  Alcohol must not be served to underage individuals:  https://ung.edu/police/campus-safety-information/alcoholic-beverages.php