Creating Canadian garnishment rules

  1. Select Administration.
  2. Click the Setup tab.
  3. In the Structure pane, click Garnishments.
  4. In the Canada Garnishment Rules section, click Create.
  5. Specify this information:
    Country/Jurisdiction
    Specify CA for Canada.
    Tax Authority
    Specify a tax authority.
    Type
    Specify the garnishment type.
    Category
    Specify the garnishment category.

    Revenue Quebec, Revenue Canada, and Wage Assignment are specifically for Canada only.

    Electronic Filing
    Select this check box to tag the garnishment for electronic filing.

    The garnishment is tagged with an invoice source of "H" when posting payroll to Infor Financials and Supply Management.

    HR Payroll determines which garnishment rule is used to retrieve the Electronic Filing field in this order:
    1. Provincial tax authority garnishment rules and garnishment types
    2. Provincial tax authority garnishment rules without a garnishment type
    3. Federal garnishment rules

    This check box is available only if you selected Support in the Category field.

    Multiple Garnishment Rule
    Specify a multiple garnishment rule. This rule governs how the amounts are calculated and distributed when there is more than one active garnishment with the same category or type for an employee.
    Formula Number
    Specify the Canada formula number.
  6. On the Formula Details tab, click Create and specify this information to define the formula used to determine wages that are exempt from garnishment:
    Marital Status
    Specify the marital status to define formula details.
    Wage Levels
    Specify the monthly wage level at which employees are eligible for an additional exemption.

    This exemption is an addition to the basic exemption.

    Number of Dependents
    Specify the number of dependents to use to calculate the wage amount that is exempt from the garnishment.
    Basic Exempt Amount or Percent
    Specify the amount or percent of wages that are exempt from garnishments each month.
    Additional Exempt Amount or Percent
    Specify the amount or percent of additional wages that are exempt from garnishments each month.
    Minimum Exempt Amount or Percent
    Specify the minimum amount or percent of wages that are exempt from garnishments each month.
    Maximum Exempt Amount or Percent
    Specify the maximum amount or percent of wages that are exempt from garnishments each month.
  7. On the Dependent Details tab, click Create and specify this information:
    Number of Dependents
    Optionally, specify the number of additional dependents.
    Amount
    Specify an exemption amount for the additional dependents.
  8. On the Fee Information tab, specify these values to define any fees that are associated with the garnishment that are withheld from the employee:
    Deduction
    Specify a deduction code that is used to track fee amounts that are withheld separately from the garnishment amount.

    Only deduction codes with a type of Garnishment are used.

    Amount
    Specify the amount to be deducted from the employee's earnings for this garnishment fee.
    Frequency
    Select the value that indicates how often the fee is withheld.

    The fee is withheld when the garnishment amount is withheld or every payroll cycle in which the garnishment amount is withheld, regardless of whether there are sufficient funds to cover the garnishment order plus fees.

    Limit Type
    Select the value that indicates which limit option to use in determining the fee amount. Use this field in combination with the Limit 1 field and, if applicable, the Limit 2 field.
    Limit 1
    Specify a limit amount or percentage to use in fee calculation, based on the value in the Limit Option field.
    Limit 2
    If the limit option rule has two calculations, specify a second limit amount or percentage to use in fee calculation.
  9. On the Net Wages tab, you can exclude pay codes and deduction codes from the calculation, and include Add to Net deductions.
    1. To exclude pay codes, in the Exclude Pay Codes section, click Create, specify a pay code, then click Save.
    2. To exclude deduction codes, in the Exclude Deduction Codes section, click Create, specify a deduction code, then click Save.
    3. To include add to net deductions, in the Include Add To Net Deductions section, click Create, specify an add to net deduction code, then click Save.
  10. Optionally, you can mask the social insurance number on the Accounts Payable tab.
  11. Click Save.