This guide covers: add a court-ordered garnishment, set the agency payment method, and track disbursements.
Add a court-ordered garnishment
What it does: Records a wage garnishment order against an employee — child support, IRS or state tax levy, student loan, creditor judgment, bankruptcy — so the engine withholds the correct amount each pay run.
Where: Accountant dashboard → Garnishments (/clients/[clientId]/garnishments).
Steps:
- Click Add Garnishment in the top-right corner.
- Pick the Garnishment Type: Child Support · Federal Tax Levy (IRS) · State Tax Levy · Student Loan · Creditor Garnishment · Bankruptcy · Other. The default max-percent cap pre-fills per type (e.g., 50% for child support, 25% for creditor).
- Pick the Employee the order applies to.
- Pick a Calculation Method: Fixed Amount per Paycheck · % of Disposable Earnings · % of Gross Pay · IRS Levy Tables (Pub. 1494).
- Enter the Amount or Percent, the Case Number, and the Issuing State.
- Enter the Payee name and remittance address — that is where the withheld money has to go each pay cycle.
- Set the order's Effective Date and an optional End Date or Total Amount Owed (the engine stops withholding once the balance is satisfied).
- Click Create.
Who: Accountant or SMB owner.
Notes: The summary cards on this page count Active Garnishments · Employees Affected · Child Support Orders · Tax Levies. Filter by Status (Active · Pending · Suspended · Satisfied · Terminated) and Type to find a specific order.
Set the agency payment method
What it does: Records how the client will remit each withholding to the payee — check, ACH, EFT, or wire — so the disbursement worklist tracks it.
Where: Accountant dashboard → Garnishment Disbursements (/clients/[clientId]/garnishment-disbursements).
Steps:
- After payroll runs, the page lists every held withholding: Employee · Type · Case # · Pay date · Amount · Payee · Due · Actions.
- Click Mark remitted on a row to open the modal.
- Pick the Method: Check · ACH · EFT · Wire · Other.
- Enter a Reference (check number or ACH transaction ID) — required.
- Enter the Remittance date (defaults to today).
- Click the confirm button.
Who: Accountant or SMB owner (whoever cuts the check or initiates the ACH).
Notes: The page header reminds you of the federal CCPA rule: child-support withholdings must remit within 7 business days of pay date. A red banner counts overdue rows ("N overdue") because states impose per-day penalties for late child-support remittance.
Track disbursements
What it does: Shows the running list of held withholdings, their due dates, and how close each is to the deadline.
Where: Accountant dashboard → Garnishment Disbursements (/clients/[clientId]/garnishment-disbursements).
Steps:
- Open the page after each payroll run.
- Each row's Due column highlights status: red OVERDUE by Nd if past due, amber in Nd when 3 or fewer days remain.
- Cut the check or initiate the ACH from the client's bank account using the payee details shown (name, city, state, ZIP).
- Return here and click Mark remitted for each row you paid.
Who: Accountant or SMB owner.
Notes: When the held list is empty, the page shows "No held disbursements. All garnishment withholdings are remitted." Audit history (which user marked each row remitted, with reference and date) is retained for the case file.
Related: Deductions & custom earnings · Tax & compliance reports.