This course concentrates on processing garnishments in the payroll department other than child support. It covers the federal rules for creditor garnishments, the IRS rules for federal tax levies, the various aspects of state tax levies, the key points for processing state creditor garnishments, how to handle voluntary wage assignments such as payday loans and student loans. It includes best practices for reconciling and processing the garnishments in the payroll department. Sample memos for communicating with the employee concerning garnishments are included. Step by step math calculations are reviewed for tax levies and creditor garnishments. The IRS Form 668-W is reviewed.
Course Key Concepts: Garnishment, IRS tax levy, creditor garnishment, student loan, payday loan, state tax levy, Form 668-W.
Learning Objectives
- Explore the various types of tax levies and other garnishments.
- Identify the federal requirements for each type of garnishment.
- Discover how state requirements affect creditor garnishments and payday loans.
- Explore the best practices for processing garnishment in the payroll department.
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Prerequisites
No advanced preparation or prerequisites are required for this course.