Calculate Garnishments

Access this form using Activities>Payroll>Calculate Garnishments. It is only available if the Human Resource Management and Payroll modules are installed; it is not available for Payroll Link users.

Use this form to calculate garnished wages from employee payroll checks. This form calculates the employee's disposable income and applies the garnishment to that employee's pay check. This form also displays the gross earnings and taxes. It includes all the details needed to calculate the net pay.

Before calculating garnishments, you must:

• Set up the garnishment deduction in the Payroll and Human Resource Management modules, see Setting Up Garnishment Deductions for steps to setting up the garnishment.
• Enter Default, Regular/Supplemental Timesheets. (Do not add the garnishment to the employee's Timesheet. You must enter garnishments on the Details>Employee Information - Garnishments tab in the Human Resource Management module.
• Calculate Payroll.
• Select Calculate Garnishments to calculate the garnishment amounts. Click Update to apply the garnishments information to the current calculated payroll.
• Review and modify the calculated payroll before printing the checks and payroll vouchers.

 

Employee ID: The employee ID.

Name: The employee's first and last name.

Process Group: This is the processing group code entered on the MIP Fund Accounting>Maintain>Payroll>Employee Information>Job and Pay tab. The report shows the code's name, such as Admin or PartTime.

Priority: The order of the garnishment's priority from first to last. The order was entered on the HR module>Details>Employee Info>Garnishments tab.

Garnishment Type: This the garnishment type entered on the HR module>HR Codes>Garnishment Types HR Codes form.

Deduct Code: This is the deduction code selected on the HR module>Details>Employee Info>Garnishments tab and set up using the MIP Fund Accounting>Maintain>Payroll>Deduction Codes form.

Garnishment Rate: If Percent of Pay check box was selected, the percentage entered for the garnishment displays.

Garnishment Amount: The amount entered for the garnishment displays.

Adjustment Amount: This is the garnished amount for this line item and will be applied to the employee's paycheck. To view or modify the formula used to calculate adjustment amount, click the Garnishment Calc button.

Running Total: If the employee has more than one garnishment, the garnishment are set up in a order by priority. Each row will be add to the previous garnished amount for that employee making a running total amount. Note that if more than one priority is used for the employee, then each row will add the previous garnished amount in the form of a running total.

Running Adjusted Amount: This column displays the calculation of the Running Total with Max Garnishment applied.

Disposable Income: The disposable income which is calculated by taking the grossing earnings less taxes. To view or modify the formula used to calculate disposable income, click the Disposable Income button.

Total Deducted:The gross deductions for the employee.

Max Garnishment: This is the maximum amount that can be garnished per pay cycle.

Gross Earnings: The gross earnings for the employee.

Federal Tax: The total of all calculated federal taxes for this employee displays. These taxes were selected for the employee using Maintain>Payroll>Employee Information>Federal Taxes and calculated when the "Calculate Payroll" was selected.

State Tax: The total of all calculated state taxes displays.

Social Security Tax: The total of all calculated social security taxes displays.

Medicare Tax: The total of all medicare taxes displays.

Local Tax: The total of all other taxes displays.

Retirement: The total of all retirement codes display. Retirement codes were assigned using the Human Resources module>Details>Garnishments tab for the employee.

Health: The total of all health codes display. Health Premium codes were assigned using the Human Resources module>Details>Garnishments tab for the employee.

Net Pay: This amount is the sum of all of the earnings, deductions, taxes, and so on, that were entered for the employee.

Payroll Type: The payroll type—Adjust, Manual, Regular, Supplemental, or Void.