A garnishment is a legal procedure authorizing a deduction from an employee’s earnings to satisfy a debt. It refers to a court proceeding through which a creditor seeks to reach an employee’s earnings before they are paid, so they can be used to satisfy a legal claim against the employee. This component enables you to track and manage employee garnishments, for example for child and spousal support and federal and state tax levies.

Install this component if you want to be able to:

• Create and send out garnishment notice letters and answers
• Determine garnishable wage types and amounts that can be garnished
• Handle garnishment adjustments
• Set up bank transfers to transfer garnished amounts to financial institutions
• Track the employee garnishments in your company

The Garnishments component within US Payroll uses data entered in SAP HR Master Data (garnishment infotypes) to generate garnishment deductions and reports.