Guide to the Folger Institute Payment Process
This page is currently a work in progress. Please check back later once we have updated it with the most accurate information.
If you have been awarded money for participation in a Folger Institute program, please consult this page for details about required paperwork, how to receive your award, the tax implications of the award, etc. Please note, if you are an employee or independent contractor for the Library, this information will not apply to you. Please get in touch with Human Resources, the Business Office, and/or your Folger point of contact for more information about your payment. If you are unsure if you are an employee or independent contractor, consult the IRS definitions below.
IRS Definitions:
Employee: Under common-law rules, anyone who performs services for the business is the business’s employee if the business can control what will be done and how it will be done. This is so even when the business gives the employee freedom of action. What matters is that the business has the right to control the details of how the services are performed.
Independent Contractor: The general rule is that an individual is an independent contractor if the payer has the right to control or direct only the result of the work and not what will be done and how it will be done. The earnings of a person who is working as an independent contractor are subject to Self-Employment Tax.
If you meet either of these definitions, this guide is not for you.
Before You Arrive
Based on your role here, there are several types of payments you might receive for your participation in Folger Institute programming. The payment process and subsequent tax implications will vary depending on the type of payment you are receiving. Generally speaking, your letter of invitation or acceptance will detail which type you are receiving, but if you are unsure, begin by consulting the glossary below.
Glossary of Payment Types:
Fellowship Award: A lump sum payment to residential long-term or short-term fellows in support of their individual research at the Library. With few exceptions, this is never a payment for participation in a scholarly program (such as seminars, conferences, workshops, etc.).
Grant-in-aid: A
lump-sum advance payment to Institute scholarly program participants
awarded/intended to offset the travel and lodging costs incurred with
participation in the program. Only participants who applied to a
scholarly program and have been awarded a grant based on their anticipated
travel and lodging expenses receive this type of funding.
Honorarium:
Payment received for services provided to the Folger. For example, seminar
directors, program organizers and speakers, and fellowship application
selection committee members receive honoraria.
Stipend:
Travel Reimbursement:
Payment made on the basis of receipts for travel and/or lodging costs incurred to
provide services to the Folger. Examples: program speakers and application
selection committee members are reimbursed for their travel.
Payment Paperwork
If you are a U.S. tax resident…
…you will need to complete Form W-9 (Request for Taxpayer Identification Number and Certification). You can request a copy from your Folger contact. Be sure to sign the form and return it to the Folger Business Office at accountspayable@folger.edu. Do not return the form to your contact. However, please let your contact know when you’ve sent the form to the Business Office so they can follow up and ensure it was received.Please note that you must complete a new W-9 every tax year for the Folger and that a completed form is required to complete the check requisition process; if you do not submit a form, the Folger cannot pay you.
All U.S. tax residents must complete a W-9 form regardless of the type of payment they are receiving.
If you are not a U.S. tax resident…
…please contact your Folger contact to discuss what paperwork is required for your payment as it varies depending on the type of payment and its purpose.
In most circumstances, you will need to fill out a Folger-specific form called a Foreign National Information Form (FNIF). This form will be used internally to determine if your payment will be subject to tax withholding and, if so, at what rate. To find out more about tax withholding and how to reclaim the withheld money, please see the After Your Program section.
Please submit your paperwork to the Folger Business Office no later than one month before your arrival at the Library in order to receive your payment upon arrival.
Payment Options: Check vs. Electronic Wire Transfer
If you have an individual U.S. bank account…
… we can only provide a paper check for you. Currently, the Folger Shakespeare Library is not set up to transfer money directly to individual U.S. bank accounts.
If you have an international/non-U.S. bank account…
… we can offer either:
- A paper check in the currency of your choosing. Please tell your Folger contact which currency you prefer; otherwise you will receive a check in U.S. dollars, which may incur currency conversion fees from your home bank. You can also cash checks in U.S. dollars at one of the local banks .
- An electronic wire transfer to your international/non-U.S. bank account. If you select this option, you will need to send your Folger contact (and/or the Folger Business Office) the following information:
- The Name of Your Bank
- IBAN
Please note it takes approximately two weeks for the money to appear in your account, depending on your bank’s security measures. Also, the money will come from a third-party vendor, Western Union Business Solutions.
A quick note about payment: unless it is specified in your award letter that the Folger Institute will be paying for your Folger Properties rent and/or hotel bill directly, we cannot deduct your rent from your award. You must coordinate payment of your Folger Properties’ rent with the Folger Properties Manager, Jodie Pitman.
Folger Institute Contacts
If you have questions about a payment related to a Folger Institute Scholarly Program, please contact:
Owen Williams– Assistant Director for Scholarly Programs
Taylor Johnson – Program Assistant for Scholarly Programs
If you have questions about a payment related to the Folger Institute Fellowships Program, please contact:
Amanda Herbert – Assistant Director for Fellowships
Meredith Deeley – Folger Institute Program Assistant
If you have questions about a payment related to the Before Farm to Table project, please contact
Jonathan MacDonald – BFT coordinator
If you have questions about a payment related to a different type of Folger Institute Program or you are unsure which type of program you are receiving payment for, please contact institute@folger.edu.
If you have questions about how to fill out either the W-9 or the FNIF, please contact the Folger Business Office.
Reimbursements: What Can You Submit?
If you have received notice from your Folger contact that you can reimburse your travel expenses, here are the types of travel costs you can submit for reimbursement:
- Plane tickets (including baggage fees)
- Train tickets
- Taxi/Uber/Lyft fares
- Metro fares
- Bus fares
- Gas for driving
Please remember that these are costs that are reimbursable only on the basis of receipts. Please hold on to your receipts to turn in to your Folger contact for payment.
Note: gas for driving is done on the basis of mileage, not gas station receipts. The Folger uses the federally-determined mileage reimbursement rate. Therefore, in place of receipts, please send documentation of how many miles you traveled (generally, a print out of the directions from your start to end location from Google Maps will suffice).
As a policy, the Folger Institute does not reimburse food costs incurred in conjunction with participation in a program. This applies to fellows, participants, speakers, directors, and members of application review committees.
Upon Arrival
When you arrive for your Folger Institute program, here is what you can expect (as far as payment):
- You will receive your check on the first day of your program/fellowship (provided you have turned in your required paperwork and/or receipts ahead of time). If you are receiving an electronic funds transfer (EFT), sometimes known as a “wire transfer,” the funds will be released from our third-party (Western Union Business Solutions) to your account on your first day here. It can take up to two weeks for those funds to appear in your bank account after our third-party vendor releases them.
- If you are a non-U.S. tax resident, please be prepared to sign a W8-BEN form (Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals)).
- Be sure to inform your Folger contact if there are any problems with your payment.
Local Banks
Local Banks
This is a list of all the banks with branches near the Library if you’d like to deposit or cash your check (only in U.S. dollars). You also might want to consider establishing an account at a nearby bank if you will be in residence long-term.
201 Pennsylvania Ave SE, Washington, DC 20003
317 Pennsylvania Ave SE, Washington, DC 20003
600 Pennsylvania Ave SE, Washington, DC 20003
316 Pennsylvania Ave SE, Washington, DC 20003
650 Pennsylvania Ave SE, Washington, DC 20003
300 Pennsylvania Ave SE, Washington, DC 20003
215 Pennsylvania Ave SE, Washington, DC 20003
After Your Program
Your time at the Folger has come and gone, you’ve received your payment, and tax season is looming. Now what?
Important Disclaimers and Logistical Reminders
We hope this section will help you understand what to expect from the Folger and how (or if) the money you received will factor into filing for your U.S. tax return.
- First, we want to make clear that the Folger Library staff members are not tax professionals and cannot legally give you any advice about how to file your taxes. If you have questions, we strongly recommend you seek out the counsel of a tax professional
- Please note that any paperwork sent to you will come from the Trustees of Amherst College, and not the Folger Shakespeare Library. Typically, tax paperwork is mailed by mid-February and you should expect to receive it within in a few weeks of mailing. If you have not received paperwork by mid-March and believe you should have, please contact your Folger contact.
- U.S. taxes are based on the (taxable) income accrued in a calendar year. If, for example, your program or fellowship was in January 2018, you will not file for taxes until April 15 of the following year (2019). If your program or fellowship spans two calendar years and you receive income in both years, you will need to file taxes twice. If you are unsure whether or not your income is considered taxable, please consult Your Payment’s Tax Implications below.
- If your address has changed since your participation in your Folger Institute program or fellowship – i.e. the address on your application and/or pre-arrival paperwork (W-9 form or FNIF) – please contact the Business Office as soon as possible and no later than January of the next calendar year after your program.
- The deadline for submission of U.S. tax returns is April 15 of each year.
Your Payment’s Tax Implications
The tax implications of your Folger Institute payment will vary depending on the type of payment, the amount of payment, and the country of which you are a tax resident. Please review the section that fits your situation.
Grant-in-aid/Fellowship for U.S. Tax Resident
If you received a fellowship or grant-in-aid award from the Folger and are a U.S. tax resident, you will not receive any paperwork from the Folger relating to this money. The Folger does not report it as taxable income, regardless of amount.
Honorarium for U.S. Tax Resident
If you received an honorarium or other payment totaling more than $600 for services provided to the Folger, you should expect to receive a 1099 form from the Trustees of Amherst College. If your honorarium or other consulting fees totaled less than $600, you will not receive any paperwork from us. Please note that money received for travel reimbursements are not taxable.
Stipend
Grant-in-aid/Fellowship/Honorarium for Non-U.S. Tax Resident
If you received a grant-in-aid, fellowship award, or honorarium from the Folger Institute and are not a U.S. tax resident, your payment may have been subject to tax withholding. Depending on whether or not you had an Individual Taxpayer Identification Number (ITIN) at the time of your Folger payment, and/or the nature of the tax treaties in place with your country of citizenship at the time of your Folger payment, your tax withholding was probably either 0%, 14%, or 30% of the award. You can file to get any withheld money back at the filing date in the year after you received your payment.
You will receive a 1042-S (Foreign Person’s U.S. Source Income Subject to Withholding) from the Trustees of Amherst College which you will need to fill out a 1040NR (U.S. Nonresident Alien Income Tax Return). Please follow the link to find out more about filing for your tax return.
If you would like to obtain an ITIN, you can find out more about that application process here.
Travel Reimbursement for All Tax Residents
Travel reimbursements are not considered taxable income. You will not receive any paperwork for reimbursements, regardless of the amount received or the country for which you are a tax resident.
If you have questions or concerns, please reach out to your Folger contact, but remember we cannot legally give you advice about completing or filing your taxes.
Have
questions? Consult the IRS website.