Texas Comptroller Manual of Accounts - Fiscal 2024
Expenditure Object 7047 – Recruitment and Retention Bonuses

To record payroll expenditures for state agencies to award bonuses to individuals employed in positions deemed to be critical to the agency operations or because of high turnover or shortage of qualified persons for the positions. Retention bonuses up to $5,000.00 may be paid from appropriated funds for retention of critical employees by state agencies provided the individual meets the reporting eligibility criteria established by the General Appropriations Act. Recruitment bonuses up to $5,000 may be paid from appropriated funds for recruitment of employees to classified positions that are identified as essential for the state agency's operations. Recruitment and retention bonuses may be used only by state agencies covered by the Position Classification Act. Please refer to TEX. GOV'T CODE Chapter 659.262, for contract and expenditure requirements.

The retention bonus contract may be executed after 12 months of employment in an eligible classification. The employee must remain with the agency in an eligible classification for 12 continuous months after the execution of the bonus contract. Before an agency provides or enters into a contract to provide additional compensation to an employee under this section, the chief administrator of the state agency must certify to the Comptroller in writing the reasons why the additional compensation is necessary to recruit or retain the employees by sending or faxing a letter to Payroll Policy, Fiscal Management Division at the Comptroller of Public Accounts.

This code does NOT include:

• One-time Merit Increases (7017)
• Productivity Bonus Awards (7028)
• Performance Rewards (7048)

RESTRICTED: This code may NOT be used by Institutions of Higher Education.