Setup a Stipend Processing Element for an Employee

Steps to add a stipend to an employee for payroll processing. This is a fully custom solution. 

  1. Before adding a stipend to an employee, ensure the custom User Defined Table (UDT) contains the stipend you wish to add along with the proper rate. This table contains each stipend name and hourly dollar amount.

    Percentage stipends can be set by including _PERCENT in the stipend name, in this case whole numbers are converted to a percentage. 5 in the table will process as 5%.

    Navigation: Setup and Maintenance -> User-Defined Tables -> Search “LHC_Stipends”

    The first screen will display the stipend Squence, the name in the column titled “Exact”, and the effective dates. These dates will control the stipend at an organization level, effective dates at an employee level can be set at the Element Entry in step 2.

    Note: The name in the Exact column must exactly match what is entered in step 2.


Click Next in the upper right corner, the second screen is where you will input values for each row.


2. Add the custom Stipend Processing Element to an employee’s Element Entry.

Navigation: My Client Groups -> Payroll -> Element Entries -> Add or Edit “Stipend Processing” element

Add the needed stipends in the code fields, you can use the dropdown arrow to ensure the name is input properly.

There are three effective date fields to be considered. First is the Effective Start Date of the Stipend Processing element. Stipends will be processed for the entire pay period that the start date is effective under.

To prorate stipends, use the custom Effective1 field. Effective5 is an optional end date.
The below example is using 12/04/2023 as a start date. This falls in the middle of the 25 2023 Biweekly pay period from 11/25/2023 to 12/08/2023, so the Effective1 field needs to be set in order for the stipends to prorate and not be counted in the first week of the pay period.

Proration will consider all stipends for an employee, we cannot prorate individual stipends.

Note: Stipend processing is a fully custom solution, as such there are no built-in safeguards and logic can easily be broken if dates or values are input incorrectly. A value of 100 on a percent stipend will double an employee’s earnings. It is recommended to review employee earnings the first time they are eligible for a stipend.

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