Portland State University may provide a taxable communication allowance included in employee’s monthly pay. This allowance is given to the employee with the understanding that he/she will be available outside of working hours/location. The employee provides the communication device and or service and therefore, there can be unlimited personal use of this equipment/service. Employees wanting to enhance the equipment or the rate plan for personal use may do so at their own expense. The allowance is taxable because this option provides for unlimited personal use and the equipment belongs to the employee, not to the University. The allowance is not intended to cover the total cost of the service plan or device because it is understood that there will be personal use. In the event that the employee no longer works for PSU, the equipment/service remains the property of the employee and the allowance is discontinued.
For more information, please see the procedures manual.