How do I determine the amount of an employee/obligor's income to withhold for child support?
The entire sum withheld by the employer, including the cost recovery fee and premiums due from the obligor which are incurred solely because of a withholding order, shall not exceed 50% of the employee's/obligor's disposable income as defined by section 302(b) of the Consumer Credit Protection Act (CCPA). If amounts of earnings required to be withheld exceed the maximum amount of earnings which may be withheld under this section, priority shall be given to payment of current and past due support, and the employer shall promptly notify the holder of the limited power of attorney of any non-payment of premium for a health benefit plan on the child's behalf.
COMPUTING CHILD SUPPORT WITHHOLDING - KANSAS
The following worksheet example can be used as a template to determine the amount in which can be withheld from the employee/obligor's pay whether they worked full or part-time during a pay period for support.
Listing of key staff| Withholding Guideline |
Amount |
|---|
A. Employee/Obligor's, Tom Doe, gross pay per pay period:
Less:
1. Federal taxes (including Social Security and Medicare)
2. State taxes
3. Retirement contributions (not deducted)
4. Disability contributions (not deducted) |
A : $500.00
A1: $100.00
A2: $40.00
A3: $0.00
A4: $0.00 |
| B. Total to deduct from gross pay: Add (A1) through (A4) |
B: $140.00 |
| C. Disposable earnings: Subtract (B) from (A) |
C: $360.00 |
D. Income Withholding Limit: The Kansas limit for income withholding orders is 50% of disposable income. If there is more than one IWO for an employee, the 50% limit still applies.
|
D: 50% |
| E. The most that can legally be withheld: Multiply (C) times (D). |
E: $180.00 |
| F. Total Support Obligation per pay period: (See Order Information on Order/Notice to Withhold Income for Child Support)
- Order 1 - Sue Doe v. Tom Doe
- Order 2 - Mae Jones v. Tom Doe
- Order 3 - Jane Smith v. Tom Doe
|
F1: $75.00
F2: $65.00
F3: $80.00 |
| G. Total Child Support Obligation per pay period: Sum of all Support in (E) above. |
G: $220.00 |
| H. Cost recovery fee (optional for employers) |
H: $0.00 |
| I. Amount to Withhold Lesser of (E) or (G) |
I: $180.00 |
HOW TO PRO-RATE MULTIPLE CHILD SUPPORT ORDERS
When the 50% limitation does not permit full satisfaction of multiple income withholding orders:
1. Add all the non-custodial parent's current support amounts together. Then, separately add the arrearage amounts together.
Listing of key staff| Orders |
Current Support Amount |
Arrears Amount |
|---|
| Sue Doe v Tom Doe |
$75.00 |
$25.00 |
| Mae Jones v Tom Doe |
$65.00 |
$15.00 |
| Jane Smith v Tom Doe |
$80.00 |
$20.00 |
| Support Orders Total: |
$220.00 |
$60.00 |
2. Next, determine the percentage for current support for EACH order and its arrearage using the 'Support Orders Total' in the example above ($220.00 for current support; $60.00 for Arrears).
Listing of key staff| Orders |
% of Current Support |
% of Arrearage |
|---|
| Sue Doe v Tom Doe |
$75 / $220 =.340 or 34% |
$25 / $60 = .416 or 42% |
| Mae Jones v Tom Doe |
$65 / $220 =.296 or 30% |
$15 / $60 = .250 or 25% |
| Jane Smith v Tom Doe |
$80 / $220 =.363 or 36% |
$20 / $60 = .333 or 33% |
3. Refer to the amount that can legally be withheld from Tom Doe’s paycheck (Withholding Guideline Example ‘I.’). The amount is $180.00. Based on the underlined percentages shown in example above “% of Current Support”, multiply the “% of Current Support” percentage by the maximum amount to be withheld ($180.00).
Listing of key staff| Orders |
Amount Due Per Order |
Arrears Amount Due Per Order |
|---|
| Sue Doe v Tom Doe |
.34 x $180 = $61.20 |
$0.00 |
| Mae Jones v Tom Doe |
.30 x $180 = $54.00 |
$0.00 |
| Jane Smith v Tom Doe |
.36 x $180 = $64.80 |
$0.00 |
RECAP: For this example, the maximum amount we could withhold from Tom’s paycheck was $180.00. Of the $180.00, we determined the amount to send to Sue was $61.20, Mae $54.00 and Jane $64.80. Because we can only use $180.00 of Tom’s check we were unable to withhold for the arrears he owes (current support must be met first). Tom would have needed a disposable income of $220.00 to pro-rate and remit for arrears. In this example, the employer MAY want to suggest to Tom to consider requesting a modification with CSS to meet both his current and arrears obligations.