Payroll Webinar: Tax Levies and Creditor Garnishments: What Payroll Must Know to Stay in Compliance

Tax Levies and Creditor Garnishments:
What Payroll Must Know to Stay in
Compliance
Vicki Lambert, CPP

About Ascentis
Our full suite of workforce solutions helps keep
you compliant, productive and profitable. We
focus on automating the complexity, so you
can focus on the things that require a human
touch.
ASCENTIS PROVIDES:
• A-la-carte HR technology
• Industry-leading time & attendance
• Unsurpassed support

How to earn credits
4
1. Stay on the webinar, online for the
full 60 minutes
2. Be watching using your unique URL sent to you from
GoToWebcast
3. Program codes delivered by email, to registered email,
approximately 30 days following today’s session

6
Today’s Speaker
Vicki M. Lambert, CPP, is President and Academic Director of The Payroll Advisor™, a firm
specializing in payroll education and training. The company’s website
www.thepayrolladvisor.com offers a payroll news service which keeps payroll professionals up-
to-date on the latest rules and regulations.
With nearly 40 years of hands-on experience in all facets of payroll functions as well as over
three decades as a trainer and author, Ms. Lambert has become the most sought-after and
respected voice in the practice and management of payroll issues. She has conducted open
market training seminars on payroll issues across the United States that have been attended
by executives and professionals from some of the most prestigious firms in business today.
A pioneer in electronic and online education, Ms. Lambert produces and presents payroll
related audio seminars, webinars and webcasts for clients, APA chapters and business groups
throughout the country. Ms. Lambert is an adjunct faculty member at Brandman University in
Southern California and is the creator of and instructor for their Practical Payroll Online
program, which is approved for recertification hours by the APA. She is also the instructor for
the American Payroll Association’s “PayTrain” online program also offered by Brandman
University.
VICKI LAMBERT, CPP

Our Focus For Today
©2021 The Payroll Advisor 7
• Terms, Definitions and Priorities
• Laws and Regulations
• Handling Garnishments in the Payroll Office
Basics of Garnishments
•Federal Tax Levies
•Federal Agency Debt Collections
Federal
•Federal laws
•State Requirements
Creditor Garnishments
•State Tax Levies
•Voluntary Wage Assignments
•Bankruptcies
•Student Loans
Other Garnishments

Types of
Deductions
 Voluntary—credit
union deduction for
example
 Involuntary—taxes
for example
 Garnishments are
involuntary—
someone else
requests them other
than the employee

Garnishment
101
 Many different
types of
garnishments can
be received by one
payroll department
 Can be Both
Federal and state
 Employees can
have more than
one type
 Employees could
have more than
one for each type!

Definition of
Garnishment
Legal procedure
through which the
earnings of an
employee are
required by court
order to be
withheld by an
employer for the
payment of a debt.

Usual
Suspects
 Child Support
 Federal Tax Levy
 Federal Agency Debt
Collection
 State Tax Levy*
 Creditor*
 Student Loans*
 Bankruptcies*
*Not really sure where they
fit in until received

Exceptions
on Priority
Federal tax levy is received prior to child
support order
Federal Agency Debt received prior to tax
levy
Bankruptcy may include other levies and
child support and therefore goes first
Student loans fall in with creditor
State tax levy and creditor depend on
state requirements

Consumer
Credit
Protection
Act
Limits the amount that can be
deducted from “disposable pay”
for child support and creditor
garnishments
Limits apply if more than one
garnishment is in effect
Does not apply to federal or
state tax levies

A
Garnishment
is Received in
Payroll
Several steps
payroll needs
to do before
processing on
the payroll
system

Is It Your
Employee?
Does the employee currently
work for you?
Does the name and Social
Security number match your
records?
Doesn’t mean you can’t
process just need to clarify
with issuing party

Is It Legal?
Need to determine
if the garnishment
received is legal
On the proper
form?
From the proper
source?
Completed
correctly?
Delivered properly?
Allowed under
law?

What Laws Do
I Follow?
 State law where
the employee is
located for most
items except IRS
tax levies
 Need source on
rules and
regulations for
states you are
located in
 Books, guides,
internet are
good sources

Answer
Back
Form may have response included
Time allowed is usually limited
Example: Federal Tax Levy—send in
with first payment
Example: Creditor Garnishment:
Answer backs for Garnishee-
sometimes 20 days

Go Tell It To The Employee
Form may include
employee
notification
Example: Federal
Tax Levy
May be time limit
Again Federal Tax
Levy
Should include
form letter from
payroll
Should be done
regardless if
garnishment
requires

Payroll Form
Inform the employee as to:
What you
have
received
Payroll it will
begin on
Amount of
deduction if
known or IRS
chart for tax
levies
Contact
information
for deduction
questions
Disclaimer on
responsibility
of
garnishment
Create templates for each type of garnishment
department handles

Sample Letter Creditor
Garnishment
©2021 The Payroll Advisor
NOTE: This notice is not meant to
be construed as legal advice but as
a sample of the type of letter that
a payroll department may send. It
is recommended that payroll
departments get legal advice
before issuing notification letters.
23

Date:
To:
From: Payroll Department
RE: Creditor Garnishment
The attached creditor garnishment (or insert name of garnishment) has been
received by the payroll department. To comply with all federal and state
regulations concerning the withholding and remittance of creditor garnishments,
payroll will begin withholding on __________________ (insert payroll date). The
amount withheld will vary from pay day to pay day depending on the amount you
have earned on that individual payroll check. The amount deducted is based on the
Consumer Credit Protection Act garnishment chart we have enclosed.
If you have any questions regarding the processing of this garnishment within the
payroll department please contact ______________. However, please be aware
that the payroll department has no control over the amount of the withholding to be
deducted except to comply with legal federal and state limits under Title III of the
Consumer Credit Protection Act. If you have any disputes as to the amount of the
garnishment, the legality of the garnishment itself or any other legal matters please
contact the issuing court listed on the attached copy of the garnishment. The
payroll department cannot delay, suspend or in any way alter the garnishment.

Set It Up In Payroll
Kept in
separate files
in payroll

Setting It
Up
Always date stamp the garnishment
Date
Discuss security later
Discuss
Process on the same day as received – Do not let sit in
your in-box
Process on
Determine pecking order if employee has more than
one garnishment
Determine
Seek legal advice
Seek

Tracking System
Basically an excel spreadsheet
One for each garnishment processed
Use for life of garnishment
Include amounts and dates of payments
Current balance due if levy
Of course, reconciliation spreadsheet for all
garnishments processed matches payroll totals

Paying It Out
 Different types of
garnishments have
different due dates
 If you can do by
pay date to make
sure you comply
with all
garnishments and
state requirements
 Creditor may have
to hold until all
monies withheld or
time is up
 EFT may be
required

Reconciling
Make sure you
reconcile the
G/L account
each month
1
Spread sheet
you created for
tracking comes
in handy now
2
Reconcile
spreadsheet to
payroll before
releasing
payments
3

Terminating
Employees
Garnishments and tax levies are
a per payroll event
Take normal deduction
Do the required notifications
Watch for the state tax levies—
may require entire amount taken

Security
Confidentiality is a must
Anything that may be a garnishment
should come to payroll first
Only payroll has access
NO Human Resources does not need
to know
Watch out for processing through A/P

Security
 Never discuss
garnishments
over the phone
 Payroll personnel
need to be
secure as well

Security for Payroll Personnel
A must in this day and
age
Blind mailboxes for
e-mail
Voice mail for phone
Fake name for payroll
personnel handling
garnishments/lawsuits
Physical security of
building or office
Face to Face by
manager

Federal Tax
Levies
 Form 668-W
Notice of Levy on
Wages, Salary and
Other Income-
New 4-18
 Amount of
deduction based
on Publication
1494
 Chart lists amount
exempt from levy
 Deduct from
“take home pay”

Form
668-W
Six part form (Part 6 retained by IRS)
Part 1—Employer’s copy
Parts 2-5 Given to employee
Part 2 – Employee’s copy to keep
Parts 3-5 require employee to complete
information
Part 3 and 4 are returned to employer
within 3 days

Form 668-W
Employee keeps part 5
Payroll gets back parts 3 and 4
Payroll keeps Part 4 and sends in Part 3
If not received use married filing separately
plus zero personal exemption
Do not use Form W-4
Use same chart even if year changes unless
employee submits new form

40
Part 3 goes
back to the
IRS…after
employee
completes
the
statement.
Send with
first
payment

41
Must complete filing status
Can’t claim self
Must do ALL
Copies!

Form 668-W has a required
response back from the employer
Remove before completing
Send in with the first payment
Make copies for yourself for when
employee terminates
Answering Back

What is
Meant by
Take
Home Pay
• Taxes
• Voluntary and involuntary deductions
in effect before the levy is received
• Increases in preexisting deductions
beyond the employee’s control
• Condition of employment deductions
that come after the levy is received
Subtract the following in
calculating take home pay:
Direct deposit is not counted

Determining
Amount
Exempt from
Levy
Publication 1494 is used to determine
the amount exempt from levy
Changes each year (adjusted for
inflation)
Use the number of dependents, pay
period and filing status the employee
submitted on the Form 668-W
If you don’t receive a completed Parts
3 and 4, then use married filing
separate with no dependents

Paying the
Levy
Put Put information on check not stub
Make Make payable to “United States Treasury”
Complete Complete back of Part 3 of form with first
payment
Pay
Pay on the same day that payments are made or
are due to employee or follow the levy
instructions

 Must receive Form
668-D
 IRS wants you to
continue to
withhold until
release is received
even if it exceeds
amount on levy
 Call when you are
getting close!
Stopping the Levy

50
Payroll usually
uses this one

51
This will explain what they want you
to do if the entire levy is not released

Between
Employees and the
IRS
 New at the IRS—
online payments
 Employee fills
out application
online
 Makes payments
online
 Must still get
Form 668-D to
the employer
 Can encourage
employees to
use

Voluntary
Deduction
Agreement
Form 2159 “Payroll
Deduction Agreement”
Totally voluntary on both
sides
Still need release form to
stop original levy
Three-Part Form

 Must take out of
final paycheck
 Must notify IRS
of termination
 Use copy of
answer back
section

Federal
Agency
Debt
Collections
Student loans not the only kind of
federal debt subject to garnishment
Fail to pay nontax debt
Subject to CCPA as well as Debt
Collection Improvement Act of 1996
Includes vendor, federal retirement,
federal salary, and social security
benefits

Federal Agency
Debt Collections
 Disposable pay
includes all wages
and salary including
vacation pay
 Deductions include all
mandated deductions
plus health insurance
premiums
 Lesser of: 15% of
disposable pay or
amount that exceeds
30 times the current
minimum wage

Federal
Agency
Debt
Collections
Has priority if served first
But not over child support even if it comes later
An amount equal to 25% of disposable pay less the
amount(s) withheld under the withholding
order(s) with priority
Begin when the order says to
End when release is received

Consumer
Credit
Protection
Act
Limits apply if more than one
garnishment is in effect
Limits the amount that can be
deducted from “disposable
pay” for child support and
creditor garnishments

Creditor
Garnishments
 CCPA limits apply
except where state is
lower
 25% of disposable or
the amount that
exceeds 30 times the
federal minimum
hourly wage—
Whichever is less
 Some states have
severe restrictions
 Federal chart
furnished-as of July
2009

More

Disposable
Income
Disposable Income = gross pay - mandatory
deductions.
Disposable income is the amount of earnings
remaining after subtracting certain
mandatory deductions from an employee's
gross pay.
Mandatory deductions include federal, state
and local taxes; unemployment insurance;
workers' compensation insurance; state
employee retirement deductions; other
deductions determined by state law.

Item
Disposable
Income
Net Pay
Gross Pay $760.00 $760.00
Federal Income Tax (95.00) (95.00)
Social Security (45.57) (45.57)
Medicare (10.66) (10.66)
State (36.75) (36.75)
Local (6.08) (6.08)
Cafeteria plan deduction—Pretax
(25.00)
Union dues (10.00)
Savings bond (25.00)
Union pension (30.00)
Credit union car loan (50.00)
Total mandated deductions (194.06)
Total payroll deductions (334.06)
Totals $565.94 $425.94

Disposable
Income
and Net
Pay
Note that disposable income is not necessarily the
same as net pay. An employee may have a deduction
taken from his pay that is not mandatory, such as
union dues or a car loan payment.
Watch out for tips to be included
Limit applies even to multiple garnishments
Other garnishments are not subtracted before
determining disposable pay

MT
WY
ID
WA
OR
NV
UT
CA
AZ
ND
SD
NE
CO
NM
TX
OK
KS
AR
LA
MO
IA
MN
WI
IL IN
KY
TN
MS AL GA
FL
SC
NC
VA
WV
OH
MI
NY
PA
MD
DE
NJ
CT
RI
MA
ME
VT
NH
AK
HI
States following federal rules
State rules mirror federal
Creditor Garnishment Limits by State
25% disposable or amounts exceeding 50 times state/fed
min wage
25% of disposable or amounts
in excess of 40 times state/fed
min wage
71
25% disposable or amounts exceeding 35 times state/fed
min wage
Unique state rules
Follows federal rules with limits for head of household

States With Unique State Rules
 AL: 25% of resident’s wages
 CA: 25% of disposable or 50% amount
exceed 40 times state or local minimum
wage
 DE: 15% of total wages
 IL: 15% of gross wages or amount over 45
times state min wage
 MA: 85% or amount of 50 times fed/state
min wage is exempt
 NC: Follows federal except orders from
public hospitals and public assistance are
limited
 NV: Weekly gross <$770 exempt amount
82% or 50 times fed min wage. >$770 75%
is exempt eff.10-1-17
 NY: uses local minimum wage
 PA: 10% for debts to landlords,
taxes to municipalities or HEAAA
debt
 SC: Garnishments not allowed for
consumer debts
 SD: lessor of 20% of weekly
disposable or amount over $346
less $25 for each depending
living with employee
 TX: Current wages exempt from
garnishment
 WI: 20% of disposable unless
household income below fed
poverty level then exempt
 WV: 20% of disposable or
amount over 50 times fed min
wage
72

MT
WY
ID
WA
OR
NV
UT
CA
AZ
ND
SD
NE
CO
NM
TX
OK
KS
AR
LA
MO
IA
MN
WI
IL IN
KY
TN
MS AL GA
FL
SC
NC
VA
WV
OH
MI
NY
PA
MD
DE
NJ
CT
RI
MA
ME
VT
NH
AK
HI
No provisions for fees
Permit fees
Creditor Garnishment Fees by State
Have unique fees for certain items
73

State Fees
State Fees Permitted
Arizona $5 each pay period from nonexempt earnings
Arkansas $2.50 per pay period
California $1.00 for each payment
District of Columbia $2.00 for withholding order
Florida $5.00 for 1st deduction, $2.00 each deduction thereafter
Georgia $50 or 10% of amount paid into court (whichever is greater) but not to exceed $100 as reasonable attorney’s fees or expenses
Illinois 2% of amount to be deducted
Indiana Larger of $12 or 3% of total amount to be deducted ½ of fee from employee, ½ of fee from amount due creditor
Kansas $10 per pay period up to $20 per month, payable by creditor if can’t be taken from employee
Louisiana $3 from nonexempt income each payment garnishment is in effect
Maine $1 per check to be taken from amount withheld
Michigan $6 fee paid by plaintiff at the time a writ of garnishment is served. Amount is $35 for writs issued after 9-30-15
Minnesota $15 paid by creditor to employer at time of service of garnishment
Missouri One time fee not to exceed $20 withheld from wages in addition to garnishment
Nevada $5 paid by creditor to employer at time a writ of garnishment is served. Employer entitled to$3 per pay period not to exceed $12 per month
New Jersey 5% for compensation towards expenses and services in processing each payment
North Dakota $10 paid by creditor when employer is served with garnishment summons
Oklahoma $10 from employee’s funds for answering a garnishment summons
Ohio $3 per pay period payable by employee $1 for property garnishment payable by creditor
Oregon $2 processing fee for each week a payment is made unless withholding reduces below minimums. Must collect after last payment is made
Rhode Island $5 paid by employee for each writ of garnishment
South Dakota $15 for garnishee summons being served
Texas Lessor of actual costs or $10 from disposable earnings
Utah $10 for a single garnishment or $25 for continuing garnishment paid by creditor directly to employer
Vermont $10 for district court cases, $50 for superior court cases payable by creditor
Virginia $10 for each garnishment summons served
Washington $10 processing fee for 1st disbursement and $1 for each subsequent disbursement. $20 for first payment; if continuing lien $10 at time of second payment
Wisconsin $15 garnishee fee from creditor for each garnishment or extension

State Duration
Until Paid in Full 30 Days 60 Days 70 Days 90 Days 120
Days
179
Days
6 Mos 180 Days Until
Notified
AK; AL; AR; AZ; CA; CT; DC;
DE; FL; HI; IA; ID; IL; IN; KY;
LA; MA; MD; ME; MI; MO;
MS; MT; NJ; NM; NV; NY;
OH; OR; PA; RI; TX; UT;
KS SD
WA
MN NE
OR
WI
WY
MT GA CO CO
GA (179)
OK
MI (182)
TN
VA
NV
MI
• California: the earlier of paid in full or date of termination as established by the court
• Iowa: or until annual limit is reached
• Michigan, Montana, Nevada, Oklahoma, Oregon, Tennessee: either paid in full or time
limit whichever comes first
• North Carolina: public hospital remains for up to 60 months
• North Dakota: 270 days for continuing garnishments
• New Hampshire: 1 pay period
• South Carolina and Vermont: does not address issue
• West Virginia: one year

MT
WY
ID
WA
OR
NV
UT
CA
AZ
ND
SD
NE
CO
NM
TX
OK
KS
AR
LA
MO
IA
MN
WI
IL IN
KY
TN
MS AL GA
FL
SC
NC
VA
WV
OH
MI
NY
PA
MD
DE
NJ
CT
RI
MA
ME
VT
NH
AK
HI
Immediately
Within 2 to 7 days
Creditor Garnishment Employer Response Time
Within 2 weeks (8-14 days)
76
Within 15-21 days
30 days or more
Varies, per pay period or does not address issue

State Fees
 May also be a fee
to collect for the
state or court or
plaintiff in the case
 Read the
garnishment

State Tax
Levies
CCPA limits do not apply to state tax
levies under 15 USC 1673(b)(1)(c)
COULD BE 25% of disposable or the
amount that exceeds 30 times the
federal minimum hourly wage
COULD BE anything they want it to
be—Example NC is up to 10% of an
employee’s wages.
COULD come on a tax levy form or
COULD be a letter

State Tax
Levies
Disposable income could match federal
or may not even give a definition
May have priority over other creditor
garnishments or it may not
Answer back may or may not be
required
May be able to collect a fee
Read the garnishment carefully

State Tax
Levies-
Examples
California: follows CCPA limits
Colorado: no limits on the amount of wages
that may garnisheed
Hawaii: 25% of all wages paid
Indiana: follows creditor garnishment limits
Kentucky: creditor garnishments rules do not
apply
Maryland: depends on the county

Voluntary
Wage
Assignment
 Are not the same thing
as a court-ordered
garnishment
 Are voluntary so not
covered under CCPA
limits
 Can be revoked at any
time by employee so
watch for this
 State sets the limit and
the rules
 State can forbid
employer to honor,
especially for “small
loans”

For Example—South Carolina
SC: A creditor cannot take an
assignment for the payment of
or as security for a debt arising
from a consumer credit
transaction. Such an
assignment is unenforceable by
the creditor and revocable by
the employee. An employee
can authorize voluntary
deductions for consumer credit
transactions [S.C. Code Ann.
§ 37-2-410 ].
Voluntary
Authorizations. Employees
may authorize deductions from
wages if the authorization is
revocable [S.C. Code Ann. § 37-
2-410 ].

• it is in a separate written document, signed by the
employee showing the date of signature, the
employee's Social Security number, the employer's
name, the price of the articles sold or the amount
loaned, the interest rate or the time-price differential,
and the payment dates;
• it is given to secure an existing debt or a debt
contracted at the same time as the assignment;
• the employee gets a copy when it is executed; and
• the words "Wage Assignment" are at the top and one
inch above or below the employee's signature, in bold
face type at least one-quarter-inch high [ILCS Chapter
740 § 170/1 ].
• The following conditions apply:
• 1 a demand for a wage assignment collection can be
served on an employer if a debtor defaults for more
than 40 days;
• 2 the demand states the amount in default;
• 3 an original of the assignment is provided to the
employer (prior to Jan. 1, 2017, a photostat of the
wage assignment was also acceptable);
• 4 a notice of intent was sent to the employee; and
• 5 an advice copy was sent to the employer by first
class, registered or certified mail at least 20 days
before the demand was served on the employer
[ILCS Chapter 740 § 170/2 ].
Conditions. A
wage
assignment is
valid if:
For Example—Illinois

For Example—Illinois
 Revocation of wage assignment. Effective Jan. 1, 2017, a wage assignment may be revoked if the wage assignment is
revocable under federal law and the employee submits the Illinois Revocation Notice Form (see ILCS Chapter 740
§ 170/2.2 ), or provides written notice of the revocation, to the creditor. Failure to use the sample language provided
in the notice described in ILCS Chapter 740 § 170/2.2 does not affect the validity of the written notice of revocation.
The employee may submit a copy of the notice to his or her employer. After a revocation notice is received by the
employer, no wages are subject to the demand unless the employer receives a copy of a subsequent agreement
between the employee and the creditor authorizing payment. If an employee has not provided a Revocation Notice
Form or otherwise served the creditor with a written notice of revocation (if the wage assignment is revocable under
federal law) within 20 days after receiving the notice of intention to make a demand, the creditor may proceed with
his demand, and the employer may commence payment to the creditor no sooner than 5 business days after service
of such demand, if no revocation notice has been received by the employer [ILCS Chapter 740 § 170/4.1 ; ILCS Chapter
740 § 170/4.2 ].
 Prior to Jan. 1, 2017, an employee had 20 days after receipt of the notice of intent or five days after service of the
demand to give a defense notice to the employer. After the defense notice was given to the employer no wages were
subject to the demand unless the employer received a copy of a subsequent agreement between the employee and
creditor authorizing payment [ILCS Chapter 740 § 170/4.1 ; ILCS Chapter 740 § 170/4.2 ].
 Wages paid by a state or local government or by a school district are not subject to wage assignments [ILCS Chapter
740 § 170/10 ].
 Assignment of future wages An assignment is valid for three years from the date of execution against the present
employer, and for two years against a future employer. A demand applies to wages due when the demand is served,
and to future wages until either the balance due under the assignment is paid or the end of the last payroll period
ending within 84 days after the demand is served [ILCS Chapter 740 § 170/2 ; ILCS Chapter 740 § 170/3 ; ILCS Chapter
740 § 170/5 ].
 Priority. Wage assignments are to be implemented on a first-come-first-served basis [ILCS Chapter 735 § 5/12-803 ].
 Employer fee. An employer is entitled to a collect and retain a fee of $12 for each wage assignment, to be credited
against the wage-earner's outstanding debt [ILCS Chapter 740 § 170/4 ].
86

Bankruptcy
 Governed by the
federal Bankruptcy
Act
 Chapter XIII
bankruptcy orders
take priority over
any other claim
against wages
including child
support and tax
levies
 Should be included
in bankruptcy—
verify ©2021 The Payroll Advisor 88

Bankruptcy
 Get releases when
required—child
support
 Notify courts if
child support is
involved-No more
automatic stays for
child support

Student
Loans
Higher Education Act amended
to allow for garnishment of
wages to repay student loans
15% of disposable or 30 times
federal minimum wage which
ever is less
Multiples can use the 25%
garnishment limit

Student Loans
Under federal regulations, only
those agencies having an
agreement with the U.S.
Department of Education are
allowed to issue wage
withholding orders for defaulted
student loans made under the
federal loan guaranty program.
Agencies having such an
agreement are referred to as
state guaranty agencies or loan
servicers.
92

Disposable
Pay Is
Defined
As…
The employee’s compensation
including salary, overtime, bonuses,
commissions, sick leave and vacation
pay minus any deductions for health
insurance and deductions required by
law.
Deductions required by law or proper
deductions include federal, state and
local taxes; state unemployment and
disability taxes; social security taxes;
Medicare taxes; and involuntary
pension contributions.

But They
Do Not
Include…
Voluntary pension deduction or retirement
plan contributions or union dues.
A Wage Garnishment Worksheet is included
with the Wage Garnishment Order to assist
payroll in calculating disposable pay and the
wage garnishment amount.
Also website
http://fmsq.treas.gov/debt/AWG_calc.html

Handling a
Student Loan
Garnishment
ED first notifies the employer that debtor pay
must be withheld by sending a Wage
Garnishment Order (SF-329B) form
Provides the debtor’s name, address, and social
security number as well as instructions for
withholding.
The employer then: completes and returns the
Employer Certification (ED-329D) within 20 days
of receipt
Begins withholding the amount directed in the
order—usually within 10 days
Remit within 3 days after withholding

100

But What if the
Employee is
Gone?
If the debtor is no
longer employed by
your organization
when you receive the
Order, simply indicate
this on the form and
return it to ED or call
the Administrative
Wage Garnishment
Branch at 404-562-
6013.

X
Complete here

Then Each
Quarter…
ED will send the employer an Employment Confirmation
Report to obtain any information needed regarding any
changes to the employment status of the debtor.
The Report lists the debtor/employee's account balance.
Keep in mind that the balance shown on the Report
reflects interest that has accrued since the Order was
issued. In addition,
ED has used part of the amounts withheld and paid to ED
to defray collection costs ED incurs in collecting the debt.
Questions or account balance call (404) 562 -6013.

Questions?
104
Please enter any questions into the chat box, we
will get to as many questions live as we can!

Workforce Solutions for Demanding Work Environments
Our full suite of workforce solutions helps keep you compliant,
productive and profitable. We focus on automating the
complexity, so you can focus on the things that require a
human touch.
• Ascentis can handle garnishment calculations for you
automatically, including:
• Federal and state levies
• Voluntary deduction agreements or wage assignments
• Federal agency debt collections
• And more
105

info@ascentis.com
www.ascentis.com
800.229.2713
Contact Us

Payroll Webinar: Tax Levies and Creditor Garnishments: What Payroll Must Know to Stay in Compliance

Recommandé

Recommandé

Contenu connexe

Similaire à Payroll Webinar: Tax Levies and Creditor Garnishments: What Payroll Must Know to Stay in Compliance

Similaire à Payroll Webinar: Tax Levies and Creditor Garnishments: What Payroll Must Know to Stay in Compliance (20)

Plus de Ascentis

Plus de Ascentis (20)

Dernier

Dernier (12)

Payroll Webinar: Tax Levies and Creditor Garnishments: What Payroll Must Know to Stay in Compliance