Disbursements
Find the tools, guidance, and resources you need to submit invoices, manage supplier information, and access payment services.
For Suppliers
Overview
The Disbursements team processes invoices and issues non-payroll payments to University vendors and other individuals, including foreign nationals, students, faculty, staff, and independent contractors.
We also manage payment voids and reissues. Payments are issued against approved purchase orders (POs) or through the Penn Marketplace (PME) using the electronic SP and Non-PO Payment Request forms. The Non-PO Payment Request form is used when a purchase order cannot be issued.
Need Help?
Penn employees:
Log in to the BEN Helps Support Portal to search articles or submit requests for:
You can also submit a ticket for other inquiries.
Penn Suppliers or Payees:
Use Penn Marketplace to:
- View POs
- View invoices
- Check payment status
- Enroll in electronic payments
For those that don’t have Penn Marketplace access, the appropriate Penn buyer or local business office representative may request an invitation.
For additional inquiries, use the Penn Supplier Submission Form.
Processing Invoices and Payments
Payments to suppliers are based on the invoice date. Once an invoice is received by Accounts Payable, the standard processing time is 3–5 business days. All invoices must include a valid Purchase Order (PO) number to be processed and paid. Payment terms are determined by the selected payment method.
Suppliers and payees who are individuals are paid on immediate payment terms.
To help expedite processing, suppliers are encouraged to submit invoices electronically through the Penn Marketplace (cXML or PO Flip) or by emailing invoices to the Accounts Payable inbox.
Submitting Invoices
Once a supplier has been issued a purchase order, invoices may be submitted using one of the following methods:
Penn Marketplace Supplier Portal:
- cXML
- Flat file
- Create an invoice in the system (PO Flip)
Send invoices via email to POINV@upenn.edu
Invoice Requirements:
- Submit invoices in PDF format only
- Include one invoice per file (multiple files may be attached to a single email)
- Include the PO number on the invoice (not in the email subject line or body)
- Do not send Excel spreadsheets or other attachment formats, as they will be rejected
- This email address is for invoice submission only. Suppliers should not send inquiries or promotional materials.
Benefits of Electronic Invoicing:
Submitting invoices through the Penn Marketplace or by email offers several benefits:
- Real-time processing through Penn Marketplace
- Reduced paper and postage costs
- Faster invoice processing by routing invoices directly to Accounts Payable
- Reduced paper waste
PO Flips
Suppliers registered in Penn Marketplace can use PO Flips to convert an existing purchase order into an invoice.
With PO Flips:
- The supplier must be registered in the Penn Marketplace to use the PO Flip functionality to submit an invoice corresponding to the PO.
- Suppliers select their specific PO and then turn that PO into an invoice. The invoice will reflect the same information as the PO and may be adjusted by the supplier before it is submitted.
- This functionality eliminates the need for the supplier to create an invoice and email it to AP to be manually keyed in and paid.
If the supplier is not registered in Penn Marketplace, the appropriate Penn buyer may request an invitation.
Please note: Suppliers should verify shipping locations with the appropriate School or Center. Accounts Payable does not accept deliveries, and any packages received will be returned.
Honoraria Payments
An honorarium is a one-time payment made to an individual in recognition of participation in a usual academic activity for which no fee is legally required. It is provided as a token of appreciation rather than as payment for services rendered under a contractual agreement.
Usual academic activities include lecturing, teaching, consulting, conducting research, attending meetings, symposia, or seminars, and other activities that involve sharing knowledge. Public readings and performances may also qualify when they are open to students or the public without charge.
Please note: Under IRS regulations, honoraria are considered taxable income. Recipients may not transfer an honorarium directly to another organization or individual. If a recipient wishes to donate the payment, they must first receive the funds and then make the donation.
Does the Payment Qualify as an Honorarium?
If you answer Yes to any of the following questions, the payment does not qualify as an honorarium:
- Is the recipient a business, corporation, or partnership?
- Was the payment amount negotiated between the University and the individual?
- Is there a contractual agreement?
- Are services recurring?
- Is the recipient a Penn employee or student employee?
- Did the recipient determine the payment amount?
Taxability
U.S. income tax will not be withheld from U.S. citizens and/or permanent residents. However, at the applicable tax rate, taxes may be withheld from payments to Non-Resident Aliens from non-tax treaty countries and also tax-exempted countries unless a properly completed IRS Form 8233 (Exemption From Withholding on Compensation for Independent Personal Services of a Nonresident Alien Individual) and the applicable statement under IRS Revenue Procedure 87-9 is submitted, along with the payment request.
NOTE: Tax treaty benefits are not automatic. Determination of eligible treaty benefits are processed by the Corporate Tax, Compliance, and Payroll office. Non-Resident Aliens who may be eligible to receive a tax treaty exemption will be provided with IRS Form 8233 and applicable statement by the Tax Department. The Foreign National must submit a signed Form 8233 to the department initiating the request for payment in order to ensure that U.S. income tax will not be withheld from the payment.
The University is obligated to report to the Internal Revenue Service (IRS) on Form 1099 all U.S. Citizens and Resident Aliens receiving cumulative remuneration greater than the annual threshold amount of $2,000.
The University will report to the Internal Revenue Service (IRS) on Form 1042-S all Non-Resident Aliens receiving cumulative remuneration.
Guest Travel Reimbursements
The Guest Travel Reimbursement form is used to support travel expense reimbursement for Penn guests (governed by Penn’s Accountable Plan/Policy) and must be attached to the Non-PO Payment Request form on the Penn Marketplace. Penn guests receiving an honoraria or award (both tax-reportable and reported on the Non-PO Payment Request form) would also use this worksheet for any travel reimbursements.
Compensated individuals that are not employees and are identified as Independent Service Providers (ISPs) or Limited Engagement that receive “reimbursement” payments from Penn in connection with services provided should not use the GTR worksheet for any agreed upon expense reimbursements. These should be reflected within their fee structure. All such payments should be coded to the appropriate tax-reportable object codes and will be reported on their 1099.
Travel expenses or other reimbursements to individuals other than guests, employees, and students (i.e., independent contractors) are not governed by Penn’s accountable plan/policy. Accordingly, this worksheet cannot be used to support these payments.
1099-MISC and 1099-NEC
As of January 1, 2026, a Form 1099-MISC is sent to individuals who receive at least $10 in royalties or broker payments in lieu of dividends or tax-exempt interest and/or to individuals who received at least $2,000 in rents, prizes and awards, and other income payments. Form 1099-MISC must be furnished to the recipient by January 31. For more information, refer to the IRS website.
As of January 1, 2026, a Form 1099-NEC is sent to individuals who receive at least $2,000 for services performed by someone who is not an employee and for payments to attorneys. Form 1099-MISC must be furnished to the recipient by January 31. For more information, refer to the IRS website.
For 1099 Inquiries:
Penn employees/students can log into the BEN Helps Support Portal and use the 1099 Inquiry/Request Form.
Penn Suppliers/Payees can use the Supplier/Payee Submission Form.