Edit Garnishment Definitions – A summary of the activity

Through this activity you can edit a garnishment definitons in an organization that has been created in the “Create Garnishment Setup” activity.  Wage garnishment is a legal procedure through which earnings of an individual are required to be withheld by an employer for the payment of a debt.  Most garnishments are made by court order. Examples are child and spouse support, creditors recovery, voluntary assignments etc.  Through this activity, you can set the parameters for recovery of the garnishments from the employee(s).

Editing a garnishment setup requires you to specify a unique id and short description that identifies a garnishment setup.

What you can modify:  For a selected garnishment definition; you can modify the

The description of the garnishment setup

The pay element or the rule under which disposable earnings are defined

The maximum limit that can be recovered under garnishments

The pay element under which garnishments are recovered.

The pay element under which service charges are recovered.

Apart from the above, you can also change the composition of garnishment types for the setup, their priority or overriding garnishment percentage if any. You can also modify the comments entered if any. Each term is described below.

Disposable Earnings: The recovery of garnishments from an employee is based on his disposable earnings.  A Disposable earnings is the amount of pay available for garnishments.  It is the amount available after legally required deductions like the federal, state, and local taxes, Social Security, unemployment insurance, etc. You can map a pay element under which disposable earnings are defined or specify a rule that will determine disposable earnings for the specified garnishment setup.

Limit on Garnishment per pay period: This indicates that you are to specify the maximum amount that can be recovered as garnishments from an employee. The amount is specified under the law. You can specify the maximum limit in terms of amount, percentage or the rule.

Garnishment Pay Element: You can also specify the pay element under which the garnishments can be recovered. You can also map a pay element under which you can deduct service charges for rendering the services.

Setting Priority: If you select more than one type of garnishment for recovery, you must specify the order in which the garnishments can be deducted. Assigning a priority to each garnishment type does this. The garnishment type with higher priority will be deducted before the garnishment type with lower priority.

Overriding Garnishment percent: you can also specify percentage for a garnishment type that can be overridden. This indicates that as you specify an override percentage for a garnishment type, the system will override the equivalent amount from the specified garnishment type and adjusts the same for other garnishment types. This is necessary only if the total amount for recovery of garnishments exceeds the maximum amount.

Deleting a garnishment setup record: Apart from modifying the details of the garnishment setup record, you can also delete the record from the database.

Getting familiar with the pages inside

Prerequisites

Garnishment types must have been defined in the quick codes.

The pay elements under which disposable earnings are defined or garnishments are recovered must have been created in the “Create Pay Element” Activity.

The pay element under which services are charged must also be created in the “Create Pay Element” Activity.

What you can do in this activity

Edit garnishment setup for payroll general info unit

Delete a garnishment setup record 

To edit garnishment setup for payroll general info unit

You can edit the details of the garnishment setup record.

• Use the “Select Garnishment Setup” page to select a Garnishment Setup record.

•  Use the “Edit Garnishment Setup” page to modify the details.

• Select the “Save” pushbutton to save the modified details.

To delete a garnishment setup record

You can delete the garnishment setup record from the database.

• Use the “Select Garnishment Setup” page to select a Garnishment Setup record.

•  Use the “Edit Garnishment Setup” page to delete the record.