- From the Payroll Menu, click Other Deductions. The Other Deductions screen opens to a new record.
- Enter a unique Description for the Garnishment Code.
- Enter or select a Deduction Type.
- Select the Garnishment check box.
- Select the Garnishment Type.
- Select the Garnishment Method. The options vary based on the Garnishment Method chosen. If the Garnishment Method is "Percent of Adjusted DE", you must select which Deductions are to be included in the Disposable Earnings.
- Select the Update to AP Invoices check box since the garnishment will need to be remitted to a person or government agency to satisfy the employee’s debt.
- Enter the Vendor # to have the Vendor Number default to the Other Compensations and Deductions (Deductions tab) screen in the Employee Master File.
- Select the Basis for the garnishment.
- The Paycheck Description defaults from the Description field, however you can modify it.
- Go to the Garnishment Setting tab.
- Specify Limits to apply to the garnishment. There are 4 different limits that can be applied. Depending on the Garnishment order received, you will be using one or more of these limits. During payroll processing the deductions (and administrative fees, if applicable) will go through limit testing. The lowest limit will determine the amount that can be deducted for the garnishment and fee(s). This is also dependent on the order of other garnishments on the paycheck.
- Add Administrative Fees Associated with the Garnishment (if applicable).
- In the Garnishment Administrative Fees grid select the Admin Fee you want to link to the garnishment.Only those codes that have “Is Admin Fee for Garnishment” check box checked will be available for selection.
- Enter any applicable notes.
- Click the Other tab.
- Enter Notes relevant to the Garnishment Deduction Code.
If you use this Other Deduction Code for an employee, and this option is selected, WinTeam will require you to enter a Vendor # in the employee's Other Compensation and Deduction (Other Deductions tab) screen. However, if you do not select this option, the Vendor # field is locked on the Employee's record and you cannot enter a Vendor #.
If there is an Employee deduction currently set up that has a Vendor Number entered for the this Deduction Code, and then someone clears (unchecks) this check box, it will not affect any deduction currently set up in the Employee Other Deductions. You can continue with the change, and all deductions added to the Employee Deductions from this point on will NOT require a Vendor Number to be entered.
If there is an employee deduction currently that is NOT set up to be updated to Accounts Payable invoices, and then someone selects this check box, it will not affect any deduction currently set up in the Employee Other Deductions. You can continue with the change, and all deductions added to the Employee Deductions from this point on will require a Vendor Number and the field will be locked.
Tip: If you are selecting "Recurring With Limit" for garnishments, you should not enter the limit amount on the Other Deduction Code. This will cause you to create one deduction code for each garnishment. Instead, just leave this field blank, and the limit amount (if used) can be set up in the Employee Master File record OR select "Recurring - No Limit".