4.1.5 Handle Unclaimed Payroll Checks
Policy Statement
The University of Illinois System is subject to and complies with the Uniform Disposition of Unclaimed Property Act (Illinois Compiled Statutes, Chapter 765, Act ILCS 1025), as well as the escheatment laws of other states as they relate to uncashed checks.
Procedure
To handle unclaimed payroll checks:
- Mail payroll checks to persons who are no longer employed by the system.
- Complete the Return Payroll Checks form when unclaimed checks are for active employees.
- Submit the form with all unclaimed payroll checks to University Payroll and Benefits (UPB) within a week of payday.
- UPB holds unclaimed checks for 6 months from the date of issue. Employees may claim them at their university Payroll Service Center during that 6 months.
- After 6 months, uncashed checks will not be honored by the system's bank and so are destroyed by UPB. The information for each check is recorded and the money reverts to a general system account.
Return Payroll Checks
To claim checks that have recorded in the unclaimed property database maintained by the Office of University Accounting and Financial Reporting (UAFR), consult State Regulations in 5.1 Managing Receivables.
Escheatment in Definitions
Uniform Disposition of Unclaimed Property Act (Illinois Compiled Statutes, Chapter 765, Act ILCS 1025)
Last Updated: August 15, 2019 | Approved: Senior Associate Vice President for Business and Finance | Effective: March 2010