Internal Third Party

Departments determine eligibility. Departments determine their own policy on what portion of tuition and/or fees they will authorize as an Internal Third Party Contract. When a UW-Madison department acts as a Third Party, they are authorizing the Bursar’s Office to defer all or a specific portion of a student’s tuition and/or fees and invoice the department. Third party deferrals have more set-up options and more processing controls than Scholarships.

 Once a department has determined that a student qualifies for a third party contract take the following steps:

1. Department will submit the Internal Third Party Authorization Form (Link to Form) . Determine which Internal Third Party Authorization Form should be used for your students.
   1. Internal Third Party Authorization Form— Non-Employees
      This form is to be used for students receiving internal third party tuition deferrals. If an individual is an employee with the University (excluding TA, PA, RA, LSA, Fellows, a student hourly employee, an Asst Faculty Assoc, or a Post Doc Trainee) the individual should not be included on this form. (Post Grad Trainees are employees.) By submitting this form you are verifying that UW Madison employees are not included in the list.
   2. Internal Third Party Authorization Form— Employees
      This form is intended to be used for employees that are enrolled in a course for job-related training only. To qualify as job-related, the training/course must be: Required by the employer or required as a condition to the retention of an established position or status (e.g., continuing professional education courses), taken to maintain or improve skills required in the employee’s present work, or Post Grad Trainees (Post Doc Trainees are non-employee).
      
2. The Bursar’s Office reviews the file, prepares the file, and posts the information directly to the student’s tuition account through the third party contract. This contract will defer the tuition from the student’s account to the organization’s account.
   1. If any portion of the student’s tuition and fees is not covered by a third party contract and/or remission, the student must pay the remaining balance before the tuition due date in order to avoid a late payment fee.
   2. Third Party credits posted to student accounts with active financial aid will not be refunded until the Financial Aid Office has an opportunity to review the student’s aid and repackage it per federal regulations.
3. The Bursar’s Office then generates Third Party Tuition Invoices after the last add or drop date for the students.

The Departments are expected to submit payment (link to payment instructions) as soon as possible (within 60 days of receiving the Third Party Invoice).

Internal third party payments are contracts made on behalf of the student by UW-Madison departments. Internal third party contracts specify:

Type of tuition and fees | Payment amount | Term | Students receiving deferral

• Submit a separate form for each semester. Do not mix terms.
• Submit a separate form if you intend to have more than one contract for the term.
• Download a new spreadsheet each semester.
• Spring semester third party deferrals do not automatically rollover to Summer, a new Summer form must be submitted.

Receiving timely authorizations allows students to receive their financial aid refund – meant to cover living expenses- as early as Federal Regulations permit.  It is understood that sometimes appointments cannot be made until immediately before or after the start of the term. In such cases, notify the Bursar’s Student Account Office as soon as the appointment is made.

(These dates are the same as Tuition Remission)

Internal Third Party Invoices (excel workbook) will be sent via email to our contacts at each Department. The Invoice workbook will contain four tabs; Invoice, InterDeptForm, InterDeptForm (2), & Instructions

1. Validate the accounting string you are using for payment.
2. Audit the invoice closely. Check for  1. 2. 3. If a remission is added or changed for a student, notify the department that is responsible for the Third Party Payment.
3. Read the instructions included within the payment instructions workbook. We have updated the payment instructions. When sending Third Party deferral payments, please include one workbook per e-mail. Email subject line should be Term, Corp Account Number, and Contract Number. When naming the file, please include the Term, Corp Account Number, and Contract Number for the payment in the file name. Subject line and file name is necessary to improve processing within RSP and the Bursar’s Office.

If a student fails to enroll, no charges are created and the Third Party Deferral will not post.

If a student enrolls and then withdraws, then:

1. The department has already made payment; the department will be refunded the payment amount if all charges are dropped.
2. The student withdraws after the drop date and the student still has charges, the department will not be refunded the payment amount unless the department submits a Third Party cancellation.