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Payroll Accounting, Page 14

Wage Attachments

Although an employer may not wish to become involved in the personal financial matters of its employees, it is required to honor garnishments, wage assignments, and levies as prescribed by law. 

Garnishments: 

Properly authorized garnishments require withholding pay based on a formula established by law. The payroll department notifies all individuals for whom garnishments are received. By specifying the latest date, a release of garnishment can be presented to avoid the stated payroll deduction. Wages are garnished by one writ of garnishment per pay period; if more than one garnishment is received during any given pay period for an individual employee, only the earliest received writ of garnishment can be honored.

Wage Assignments: 

Properly authorized wage assignments require that a specific amount of pay be withheld. The stated deduction must be withheld from consecutive pay periods until the employer receives a release and/or the indebted amount is paid.

Levies: 

Properly authorized levies require a specified withholding for a particular pay period. Levies are processed in compliance with federal or state statutes.

Procedure — Wage Attachments:

1. Should a department other than payroll receive garnishments, wage assignments, or levies for an employee, those forms should immediately be delivered to payroll. The payroll department will process the necessary paperwork to ensure compliance. 

2. As with other employment matters, garnishments, wage assignments, and levies are to be treated in a confidential manner.