Garnishment rules
Garnishment rules hold the details used by HR Payroll to perform these functions:
- Calculate the portion of employee pay that is exempt from garnishments.
- Calculate the garnishment amount.
- Calculate fees.
- Calculate multiple garnishments.
- Specify information to interface to Financials and Supply Management.
Because garnishment rules vary by jurisdiction, you must define garnishment rules for each governing tax authority from which your organization receives a garnishment order. Garnishment rules are governed by federal, state, or province laws. These laws determine formulas for calculating the allowed garnishment amount.
For the United States, five pre-defined federal garnishment rules are delivered with HR Payroll. We recommend that you do not change these rules unless there is a change in federal law.
You must build any additional garnishment rules using the formulas delivered with HR Payroll.