Lump Sum Payments

Lump sums (paid through Workflow Additional Pay in HRS) can be paid through three types of transactions in Workday: Temporary Work Allowance (TWA), One-Time Payment (OTP), or Period Activity Pay (PAP). Note, some business processes depend on whether the employee has a standard job description (SJD) or not.

The table in this document outlines when to use each type of payment.

Type of Payment
Allowance Plan	One-Time Payment (OTP)	Period Activity Pay (PAP)
What is an Allowance Plan? Supplemental and recurring payments at a set amount and frequency that are part of the worker's compensation. Paid on existing job/position Single or multiple payments If duration spans more than one biweekly pay period, paid evenly on all biweekly pay periods	What is an OTP? Used to give an employee a one-time lump sum payment for a special circumstance or activity. Paid on existing job/position Single payment Paid on one biweekly pay period	What is a PAP? A method of paying employees a lump sum for activities completed over a fixed-term time period. Paid on existing job/position OR new job may need to be created via Add Job Single or multiple payments If duration spans more than one biweekly pay period, paid evenly on all biweekly pay periods. Payments can be customized if required.
Workday KnowledgeBase Job Aid Job Change (with SJD) Compensation Change (no SJD) Temporary Change in Responsibilities	Workday KnowledgeBase Job Aid One-Time Payment (OTP)	Workday KnowledgeBase Job Aid New Job & PAP Job Requisition (when adding new job) Adding PAP to Existing Job Period Activity Pay (PAP) Managing Multiple PAP Assignments Adjusting or Ending PAP Adjusting or Ending PAP
Reasons to Use Allowance Plan Basic Sciences Faculty Incentive Program (SMPH) Car Allowance Craftworker Leads, Managers, Sups Housing Allowance Shoe Allowance Student Hourly Differential Student Hourly Differential Exam and Summer Supplemental Night Differential Supplemental Weekend Differential Temporary Change in Responsibilities * Uniform Allowance Vilas Pension Payment *Paid as Temporary Base Adjustment (TBA) in HRS	Reasons to Use OTP Child Care Stabilization Program Faculty Staff Award Gen Wage Pay Plan Lump Hiring Bonus Moving Expenses/Post-Hire Performance Bonus Referral Bonus Retention Bonus Supplemental Wages (Athletics - No WRS) Supplemental Wages (Athletics - WRS)	Reasons to Use PAP Camp Committee Participation Continuing Education (CE) Course Coverage Course/Curriculum Development Event Speaker Lecture Mentoring Lecture (Not for Credit) Service Related Payment Service Related Payment (Overload) Residence Hall House Fellow Standby Stipend (Fellow/Trainee) Summer Session Summer Service If overload payment falls under multiple categories, always use "Service Related Payment (Overload)" as the reason

Additional Resources

Additional Pay Components: HR Policy UW-5026
Hiring Bonus Program
Lump-Sum Pay Basis Appointments: HR Policy UW-5004
Overload: HR Policy UW-5031
Overload Forms (routed and approved prior to entering in Workday)
- Faculty Teaching Overload Form
- Inter-Institutional Overload Form
Payment for Additional Temporary One-Time Work
Referral Bonus Program

Questions?

Contact compensation@ohr.wisc.edu.

Updated: Mar. 31, 2025
Source URL: https://hr.wisc.edu/hr-guides/for-hr-professionals/lump-sum-payments/

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Lump Sum Payments

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