According to UW-Madison Vacation Policy (UW-5052) employees retiring from or terminating employment (in certain circumstances) may extend their termination date beyond the last day worked by using their banked vacation hours. These hours may have accumulated over several years or across different jobs. During the period of extended leave following the last day worked, the employee is not expected to work.

In the Employee Compensation Compliance (ECC) system, the Principal Investigator (PI) certifies payroll charges for federally sponsored projects. This certification ensures that payroll expenses are reasonable in relation to the work performed. If an employee uses banked vacation or other available accrued leave to extend their termination beyond their last working day, they are not expected to work during the extended leave period. Consequently, any salary paid during this time should not be charged to sponsored projects. Instead, the salary should be allocated to non-sponsored funds.

For additional information related to payroll certification and effort, see https://rsp.wisc.edu/effort/ For questions related to salary allocations, please contact your departmental Chair or Designee.

Cc: College/School Research Administrators
Compensation Compliance Coordinators