NASA Procedural Requirements

NPR 3530.1C Effective Date: January 12, 2009 Expiration Date: November 30, 2024

Subject: NASA Pay and Compensation Policy

Responsible Office: Office of the Chief Human Capital Officer

Chapter 12. Advances in Pay

12.1 References

5 CFR Part 550 Pay Administration (General), Subpart B, Advances in Pay.

12.2 Purpose

An advance payment of basic pay may be made when, without the payment, the prospective employee might not accept the position because of immediate financial obligations associated with accepting the position.

12.3 Responsibility

Center Directors are authorized to approve advances in pay. This authority may be delegated in writing.

12.4 Covered Employees

This chapter applies to all eligible individuals newly appointed to a position within NASA. The definition of "newly appointed" is established in 5 CFR § 550.202, Definitions.

12.5 Criteria

An advance payment of basic pay may be made when there is evidence that, without the payment, a new employee might either be deterred from accepting the position or experience financial burden following acceptance of the position. In determining whether to approve an advance payment, the following factors must be considered:

a. The presence of significant travel and/or household relocation costs and whether NASA is helping to pay those expenses.

b. The ability of the new employee to bear the expenses related to acceptance.

c. Personal financial obligations of the new appointee that indicate an advance in pay will ease the transition to new employment.

d. Other factors related to the acceptance of new employment that indicate a need and, in the judgment of the approving official, justify an advance.

12.6 Requests for an Advance of Pay

An official in the employee's supervisory chain may request an advance in pay. The request must be in writing and include the following:

a. Employee's name, employing organization, Center, and duty station.

b. Title, series, pay plan, and grade of the position to which appointed.

c. An explanation of the need for the advance addressing the factors listed in paragraph 12.5.

d. A signed statement of understanding (see paragraph 12.7).

e. Signature and date of the requesting official.

12.7 Statement of Understanding

A written statement of understanding covering requirements for the payment, repayment, recovery, and waiver must be signed by the approving official and the employee prior to payment. The statement of understanding must include the information listed in 5 CFR § 550.204, Agency Procedures, Subsection (c) and the following:

a. Employee's name, position title, series, pay plan, grade, organization, and duty station.

b. Signed and dated by the employee.

c. Signed and dated by the Center HR office representative.

12.8 Approving Advances in Pay

An advance in pay must be approved in writing prior to the effective date.

12.9 Payment and Repayment

12.9.1 The advance will be calculated based on the employee's basic pay for not more than two pay periods.

12.9.2 Repayment will be made through payroll deductions over a period of not more than 14 pay periods, unless salary offset procedures are invoked. An employee may pre-pay all or part of the outstanding balance at any time and will be provided with information on how to pre-pay in the Statement of Understanding.

12.10 Records

Records sufficient to reconstruct actions must be retained for two years. Actions involving waivers or repayment will include a clear explanation of the circumstances and facts that justified the waiver. Records must include the request, the statement of understanding, and waiver, if applicable, with supporting documentation.

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