[Code of Federal Regulations]
[Title 5, Volume 1, Parts 1 to 699]
[Revised as of January 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 5CFR550.204]

[Page 511-512]
 
                    TITLE 5--ADMINISTRATIVE PERSONNEL
 
                CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT
 
PART 550--PAY ADMINISTRATION (GENERAL)--Table of Contents
 
                       Subpart B--Advances in Pay
 
Sec. 550.204  Agency procedures.

    (a) Each agency shall establish written procedures governing advance 
payments. These procedures shall include--

[[Page 512]]

    (1) Criteria to be considered before approval or denial of employee 
requests for advance payments;
    (2) Criteria to be considered before waiving all or part of advance 
payments; and
    (3) Processing and accounting procedures governing advance payments.
    (b) Before making an advance payment, an agency shall require that 
the employee sign an agreement to repay to the Federal Government any 
amount for which repayment has not been waived by the agency head under 
Sec. 550.206 of this part.
    (c) Before making an advance payment, an agency shall provide the 
following information to the employee in writing:
    (1) A statement indicating how the advance in pay will be recovered 
from the employee by the Federal Government, either in installments 
under agency procedures for payroll deductions or by salary offset 
procedures under subpart K of this part;
    (2) The total amount of the advance in pay, the total number of pay 
periods for repayment of the advance in pay, and the amount that will be 
deducted from the pay of the employee by payroll deductions or salary 
offset for each pay period;
    (3) A statement indicating that the employee may prepay all or part 
of the balance of the advance payment at any time before the money is 
due, including instructions as to where and how such prepayments may be 
made.
    (4) A statement indicating that the amount of the advance in pay not 
yet repaid by an employee or waived by the agency head is due and must 
be repaid by the employee if the employee transfers to another agency or 
the individual's employment with the agency is terminated for any 
reason; and
    (5) A statement indicating that any amount of the remaining balance 
of the advance in pay that has not been waived or repaid by the employee 
on transfer or termination for any reason must be recovered by salary 
offset under subpart K of this part and/or by such other method as is 
provided by law.
    (d) The head of an agency may establish procedures under which an 
employee is permitted to make allotments out of an advance in pay for 
such purposes as the head of the agency considers appropriate.

[56 FR 12837, Mar 28, 1991, as amended at 58 FR 41625, Aug. 5, 1993]