Set Up Deductions for Court Orders
You must create a Court Orders and Student Loans calculation card to create court order deductions for an employee. And then you can add one or more court order deduction components to the card.
Before You Start
Before you start creating court order deduction, make sure you complete these tasks.
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Elements |
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Common Lookups |
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Third-Parties |
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Create the Calculation Card
Now you're ready to create the Court Orders and Student Loans calculation card.
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In Payroll, search for and select the person for whom you want to create the calculation card.
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Select the Calculation Cards task.
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Click Create.
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On the Create Calculation Card screen, select the calculation card name Court Orders and Student Loans.
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Click Continue.
Note:Creating the calculation card automatically creates a Court Order Information component.
Add the Court Order Components
To add court order calculation component and calculation component details, follow these steps:
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In the Calculation Components section, click Add Row.
You will find a list of all the elements created under primary classification Involuntary Deductions and secondary classification for the specific court order type.
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In the Create Calculation Component window, select the calculation component with the same name as the previously-defined court order element.
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In the Parent Calculation Component field, select Court Order Information.
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Enter a Reference Code to uniquely identify this deduction, such as a court order number, case number, or other identifier provided by the issuing authority.
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Click OK
The calculation component displays the court order you created as a new record. The corresponding calculation component details is automatically created.
You can create one record for each court order type that's issued to the employee. For some court order types, you may need to enter additional information in the Calculation Components Details section. For example:
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Attachment of Earnings Orders and Deductions from Earnings Orders
If the employee has multiple terms or assignments with different frequencies, identify the main earnings to be used for deductions calculation.. Specify a weekly or monthly frequency for it.
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Deduction from Earnings Orders
Because the deduction calculation varies depending on when the order was assessed, specify the calculation type.
Define Calculation Values for Court Order Deductions
The calculation value sets are based on the court order type that you added to the employee. Here's how you can define calculation values for processing court order deductions:
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In the Court Orders and Student Loans calculation card, click the Enterable Calculation Values on Calculation Cards tab.
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Click Create.
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On the Edit Calculation Values window, select a calculation value in the Name field and enter the appropriate value. The enterable calculation values for each order type are shown in the table below.
Note:You can save the deduction component without defining all required enterable values. But the payroll run can't properly calculate the deduction amounts unless you provide these values.
Order Type
Enterable Calculation Values
Attachment of Earnings Order Priority
Attachment of Earnings Priority Northern Ireland
Attachment of Earnings Nonpriority
Attachment of Earnings Nonpriority Northern Ireland
*Normal Deduction Rate
*Protected Earnings Rate
Original Outstanding Debt (only required for nonpriority orders)
Attachment of Earnings Fines
Council Tax Attachment of Earnings
*Original Outstanding Debt
Deduction from Earnings Order
*Normal Deduction Rate
*Protected Earnings Rate
Earnings Arrestment
*Original Outstanding Debt
Current Maintenance Arrestment
Daily Deduction Rate
Protected Earnings Rate
Conjoined Arrestment Order
CMA Daily Deduction Rate
EA Original Outstanding Debt
Direct Earnings Attachments
Deduction Rate
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Click OK.
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Repeat these steps for each required calculation value set.
Define Association Details for Court Order Deductions
After creating the court order components, create the required associations at both levels:
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Associate the parent component, such as Court Order Information, with the relevant tax reporting unit (TRU). Create multiple TRU associations if the court order components are used by more than one TRU.
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Associate each applicable court order child component with the employee’s relevant assignment or terms. This association is required for payroll processing, including where the court order applies to all assignments or terms in the payroll relationship.
A TRU association alone does not provide the assignment context required to process the court order deduction. If the employee has multiple applicable assignments or terms, create an association detail for each one.
Here's how you can create associations for the court order deductions:
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In the Court Orders and Student Loans calculation card, click Associations.
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In the Associations section, click Create.
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Select a TRU for this payroll relationship, and click OK.
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In the Association Details section, click Create.
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In the Assignment Number field, select the assignment that's subject to this deduction.
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Repeat these steps for each assignment applicable to this deduction.
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Save the card.
Repeat this entire process to create components for additional court orders as needed.
An employee can only have one of each of these court order types at any time:
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Earnings Arrestment
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Current Maintenance Order
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Conjoined Arrestment Order