In order to establish a combined withholding limit for multiple garnishments, the Garnishment Allocations section of PR Employees must be used. There are currently two options if there are not enough funds to pay all garnishments in a garnishment group: Prorate or Divide Equally. In the case where one garnishment is a higher order than the other, it must be subtracted from the amount to be withheld BEFORE the second garnishment amount is deducted, with a maximum withholding limit of both amounts combined. Without using the Garnishment Allocations section the combined garnishment amount is always calculated too high. When the Garnishment Allocations section is used and the combined garnishment amounts are higher than the withholding limit, where the higher order garnishment is more than half of the amount to be deducted, selecting either Prorate or Divide Equally reduces the amount of the higher order garnishment (regardless of how the processing sequence is set up). If there were a third option in the Garnishment Allocations section of PR Employees, to deduct garnishments in order of sequence, and the higher order garnishment was set as processing sequence 1 with remaining garnishments set as processing sequences 2 on, then the amount of the higher order garnishment would not be changed while the remaining garnishment(s) would cut off at the withholding limit.
Company | Dome Construction |
Job Title / Role | Payroll Specialist |
I need it... | Yesterday...Come on already |
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Yes please! We need three options in the Garnishment Allocations section: 'prorate' 'divide equally' and ' processing sequence'. All of the customer portal articles seem to fall short of what we need... such as ability to have a lifetime limit on one of these sequenced garnishments.