Work Study Guidelines

FEDERAL WORK STUDY

The primary purpose of the Federal Work Study Program is to provide financial support through employment for students with a documented need. This program is available to both undergraduate and graduate students who qualify. The program is cooperatively funded by the federal government and the University.

Application Procedures
If you complete the (Free Application for Federal Student Aid) FAFSA on the Web, you will be considered for a work-study award as long as you answer "yes" to the question "In addition to grants, are you interested in 'work-study'?" Applications for summer Federal Work Study are generally available in mid-March and must be completed by April 15.

Eligibility

• Must complete the Free Application for Federal Student Aid (FAFSA) each year.
• Must comply with Penn State's academic progress standards.
• Must not be in default on an educational loan and must not owe a repayment on an adjusted federal grant.
• Must be enrolled in an eligible degree program.
• Must be enrolled at least half-time (6 credits for undergraduate, 5 credits for graduate) students. If male and age 18-25, must be registered for Selective Service.
• Must be a citizen or eligible non-citizen with a valid Social Security number.
• Must have a high school diploma, a GED, or a passing "ability to benefit" test result.

Payment of Wages

• The hourly wage is $6.25 for all undergraduate Federal Work-Study students and $7.75 for all America Reads, State Work-Study (administered by AES/PHEAA), and graduate Federal Work-Study students.
• Every two weeks, wages are directly deposited into the student's checking or savings account, as designated by the student.
• Students may never work more than eight hours in one day. During fall and spring semesters, students may work up to 20 hours per week. During summer, students who are not enrolled at least half-time may work up to 40 hours per week.
• The supervisor and student will receive a "critical status" letter when a student's remaining funds are $250 for undergraduate students and $300 for graduate students.
• Submitting falsified time cards is considered fraud against the University and the federal government; legal action may be taken against the employee or employer.

Employer Responsibilities

It is suggested that the supervisor and the Federal Work-Study student discuss the following items before the student begins working:

• Describe and review the student's duties.
• Explain the standard of conduct, mode of dress, and job performance standards expected from the student.
• Explain that the name "Federal Work-Study" does not imply that students should be given opportunities to study during work hours. The program is designed to provide employment to help students meet educational expenses.
• Clarify matters concerning supervisory personnel (e.g., who is the student's immediate supervisor; contact for student if the supervisor is not available; and emergency contact information for the student in case you cannot reach him or her).
• Consider the student's award amount. Both student and supervisor should understand when the student's eligibility will end (e.g. $1,000 undergraduate award, 20 hours per week, lasts approximately 8.5 weeks; a $1,200 graduate award, 20 hours per week, lasts approximately 8 weeks).
• Establish a procedure for recording hours worked. It is suggested that students keep track of the hours worked as well as the remaining balance of the award; however, supervisors are responsible for verifying the hours worked by each student.
• Explain to the student that if he or she wishes to discontinue employment he or she should notify the supervisor at least two weeks in advance.
• Employers are responsible for 10% of the wage and the fringe benefit rate on the 10%. The fringe benefit rate is currently .7%. (For example, the student is hired at $6 per hr for 15 hrs per week. The weekly rate is $90. The employer is responsible for 10% or $9.00 plus fringe benefits at .06 (.7%) for a total of $9.06 for the week.)

Additional Information

• Students cannot be required to operate a vehicle as a condition of the job.
• The University and federal government require that supervisors retain employment records for students employed in their area for five years after the student's employment period has expired.
• Wages earned through Federal Work-Study are reported as earned income on the FAFSA for the subsequent year, and are deducted as "Title IV exclusions."
• Students' aid may not exceed their financial need as determined by the FAFSA and as indicated on the award notification. A work-study award may be reduced if student financial aid exceeds financial need.
• Students who are selected for verification of FAFSA information by the Office of Student Aid must stop working until verification is complete.

Required Payroll Forms

Students must have an original Social Security card for identification purposes and must complete the following forms:

• W-4 form
• Employment Eligibility Verification (I-9) form
• Salary Deposit Request form

Failure to complete these forms will result in delayed payment of wages, which must be directly deposited to a savings or checking account at a bank of the student's choice.

SOURCE: Penn State University, Office of Student Aid

STATE WORK STUDY (PHEAA)

The State Work-Study Program (SWSP) provides Pennsylvania students with employment opportunities in high-technology and community-service fields. Through SWSP you gain career-related, on-the-job work experience while earning money to help pay for your higher education. You generally work from 10 to 15 hours per week during the academic year and up to 40 hours per week during the summer.
To qualify you must:

• Be a Pennsylvania resident.
• Be enrolled in a PHEAA-approved higher education institution as a full-time student and be in a program of study at least two years in length.
• Be a State Grant or subsidized federal loan recipient.
• Be able to benefit from a career-related work experience in a high-tech or community-service job.
• Not owe a State Grant refund or be in default on any student loan.
• Secure a career-related job with a PHEAA approved, on-campus or off-campus SWSP employer.

You and your employer must complete the SWSP Student Application/Placement form and submit it to PHEAA by the following deadlines:

Use the online SWSP job search to find available openings. If you would like to arrange a job not in the current job listing, follow these SWSP Job Tips.

If you have questions regarding the State Work-Study Program call (toll-free) 1-800-692-7392 or email matchingfunds@pheaa.org.

Employers Responsibility

1. The employer must be a business, industry, nonprofit organization, or governmental agency located in Pennsylvania.
2. The employer must develop tasks that will provide actual high tech training experience or use the student's classroom knowledge/skills in a project identified as one which assists in the economic, social, or cultural development of the community.
3. The employer must ensure that employment/work conditions comply with all federal, state and local laws.
4. The employer must accept responsibility for 100 percent of student earnings where PHEAA approval has not been received prior to the start of employment.
5. The employer may not hire students from a postsecondary institution which owns the company/organization or with which the company/organization has an indirect or direct relationship or affiliation without PHEAA approval.
6. Placement of a State Work-Study student may not displace employees in the normal work force (including those on lay-off or on strike) or impair or interfere with existing contracts. The program's intent is to create additional training opportunities for postsecondary students.
7. State Work-Study jobs may not involve any political activity.
8. Projects, assignments, activities, etc., involving lobbying are prohibited and cannot be assigned to StateWork-Study students. (Note: Businesses involved in lobbying may not be approved.),
9. The work may not involve constructing, operating, or maintaining any part of a building used for religious worship or sectarian instruction. In addition, the work assignment must be in the public interest.
10. Work is in the public interest if the work performed contributes to the general welfare of the community, rather than work performed for a particular interest or group. Work is not in the public interest if it primarily benefits the members of an organization that has membership limits, such as a credit union, a fraternal or religious order, or a cooperative. For example, a student may be employed by an organization such as a private nonprofit civic club if the student's work is for the club's community drive to aid handicapped children. If the student's work is confined to the internal interests of the club, such as a campaign for membership, the work would benefit a particular group and would not be in the public interest. As another example, a tutor at a parochial school may not use religious material to tutor children.
11. The employer must ensure that no student will be denied work or subjected to different treatment on the grounds of race, color, national origin, or sex. The employer must also be in compliance with the provisions of the Civil Rights Act of 1964.

Placement/Supervision

1. Eligible SWSP students will be placed with companies as available. The completion of the Participation Agreement does not guarantee that a student will be placed with your company.
2. A job description for each SWSP position must be developed in order to ensure that the student will be placed in a career-related high tech or community service position.
3. A full-time, paid employee must be assigned to interview potential SWSP students. If the employer wishes to hire the student through the SWSP, the employer must complete the Employer Data Section of the SWSP Student Application/Placement Form. If the student does not have this form, contact PHEAA Work-Study staff for a copy. The Application/Placement Form must be received by PHEAA on or before the filing date listed on the form. (Note: Employers should not permit any student to begin work without having received a copy of the SWSP Placement Approval Document; if an ineligible student is permitted to work, the employer may be responsible for full payment of all wages.)
4. A full-time, paid employee must be assigned to supervise SWSP students during the performance of all assignments, tasks, and projects, and ensure that the experience is consistent with the purpose of the program.
5. The supervisor must hold an orientation session with each student to ensure that the student understands:
   1. The hourly rate of pay (which cannot be less than the prevailing, federal minimum wage);
   2. The dates of temporary employment;
   3. The scheduled work hours (not to exceed 40 hours per week in the Summer or holiday break and 20 hours a week during the academic year) the student is expected to work and during which a full-time paid employee will be available;
   4. Employer expectations relating to the job description;
   5. The dates on which the student will be paid;
   6. Safety rules; and
   7. If appropriate, professional guidelines for relating and/or interacting with clients during the supervised, assigned work period and contacting, relating, and/or interacting with clients outside of supervised, assigned work hours.
6. At no time may a student be left alone on the premises in charge of company property sent on assignment without the presence of a paid, full-time employee of the organization.
7. The employer must immediately contact PHEAA if any of the following apply:
   The supervisor has a concern about a student's performance;
8. The supervisor is requesting reassignment or dismissal of a student.

Record Keeping and Reconciliation

1. The employer must establish payroll procedures, add the student to the payroll, and pay 100 percent of actual wages as well as all required associated payroll costs, including Workers' Compensation.
2. Reporting Payroll Earnings
   1. The employer must submit payroll data to PHEAA for all weeks that students work. It is important that earnings be reported accurately and in a timely manner so that disbursement can be processed promptly. When submitting payroll data, the following items are required:
      1. Student's name.
      2. Student's social security number.
      3. Payroll beginning and ending date.
      4. Student's gross earnings for payroll period.
      5. Employer Name.
      6. Employer Code (including suffix, if applicable).
      7. Employer Department Code and Name (if applicable).
      8. Employer Telephone Number.
      9. Employer Contact Person.
   2. Employers may report the payroll data to PHEAA by using any one of the following formats:
      1. Complete and submit the PHEAA Work-Study Earnings Report.
      2. Complete and submit a spreadsheet.
      3. Data enter the student's earnings online via the internet.
      4. Transmit student's earnings electronically (you will be notified when this option becomes available).

D. Disbursements

1. Employers may elect to receive reimbursement via an electronic funds transfer (EFT) or check. If the employer is currently receiving a check and would prefer to receive funds via an EFT, please contact PHEAA Work-Study staff to make this change.
2. Disbursements will be scheduled to occur every two (2) months as follows:
   

   January 15		July 15
   March 15		September 15
   May 15		November 15

   
   
3. A disbursement roster will accompany each disbursement. Employers must certify and return any previous roster before a subsequent roster and disbursement can be produced.
4. Employers are subject to a PHEAA audit and are required to maintain a copy of time cards that include the following information for review during the audit. Records must be maintained for a minimum of five (5) years:
   1. Student's Name.
   2. Work Dates.
   3. Hours the student actually worked.
   4. Payroll records verifying that the student was paid for the hours worked.

State Work-Study staff can be contacted by mail at:

Pennsylvania Higher Education Assistance Agency
State Grant and Special Programs Division
1200 North Seventh Street
Harrisburg, PA 17102-1444

Assistance is also available toll-free at: 1-888-877-1457. (This toll-free telephone number is reserved for the use of the financial aid administrators and employers participating in the Agency administered Work-Study Programs.)
For additional information or questions, please contact: Extension Payroll at ExtPayroll@ag.psu.edu