Income Withholding

Examples of Multiple Orders for an Employee

Below are examples of how to handle multiple orders for an employee.

Example 1

An employer receives the following child support orders for an employee:

  • 1st order = $100.00 per month for current support and $50.00 per month for arrears
  • 2nd order = $200.00 per month for current support and $50.00 per month for arrears
  • 3rd order = $50.00 per month for current support and $25.00 per month for arrears

The employee’s disposable earnings total is $850.00. The total amount to be withheld is $475.00, but the maximum amount that can be withheld according to the stipulated percentages of disposable earnings is $425.00.

The full amount of the current support to be deducted for all three orders totals $350.00. Equal amounts on the arrears ($25.00 for each case) would then be deducted until the $425.00 maximum is reached.

The remaining $50.00 that is due is the employee’s responsibility.

Example 2

An employer receives the following child support order for an employee:

  • 1st order = $100.00 per month for current support and $100.00 per month for arrears
  • 2nd order = $200.00 per month for current support and $25.00 per month for arrears
  • 3rd order = $50.00 per month for current support and $35.00 per month for arrears

The employee’s disposable earnings total is $900.00. The total amount to be withheld is $510.00, but the maximum amount that can be withheld according to the stipulated percentage of disposable earnings is $450.00.

The full amount to be deducted for current support for all three orders totals $350.00. This leaves $100.00 to be applied to the arrears in each order. The amount of the smallest order that can be equally satisfied allows $25.00 to be deducted for the arrears on each order for a total of $75.00. The second order has now received the full court-ordered amount due. This leaves an additional $25.00 to be equally divided between the first ($75.00 balance) and third ($10.00 balance) orders. Since the total amount due in the third order can be satisfied with an equal portion of the remaining balance, deduct $10.00 for each order. Deduct the remaining $5.00 for the first order since it is the only order with an outstanding balance.

The remaining $60.00 due in the first order is the employee’s responsibility. An employer is only responsible for deducting the total amount of child support due or the maximum stipulated percentage of an employee’s disposable income, whichever is less. The employer is not responsible for any additional amount of child support due.

Please Select a Topic



Top of page