Stacking a Child Support Order and a Creditor Garnishment
An employee earns $1,100 gross per week and has $900 in disposable earnings. Payroll receives a current child support income-withholding order for $300 per week. The employee supports a second child in the home from a later marriage. Payroll also receives a consumer creditor garnishment for $250 per week. The employee asks payroll to stop the creditor garnishment because rent is due and says the child support is 'already killing me.' The employer is in a state with no additional restrictive garnishment law. Payroll has been withholding $300 child support plus $250 creditor garnishment, for $550 weekly, leaving $350 disposable.
1. What is the maximum child support withholding?
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The CCPA support limit is 50% of disposable earnings when the employee is supporting another spouse or child, and 60% when not. Because the employee supports a second child, the cap is 50% x $900 = $450. The $300 order is within the cap. If there were support arrears, an additional 5% might apply.
2. What is the maximum creditor garnishment and total withholding?
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For the consumer creditor garnishment, the CCPA maximum is the lesser of:
- 25% of disposable earnings: 25% x $900 = $225; or
- disposable earnings minus 30 times the federal minimum wage: $900 - (30 x $7.25) = $900 - $217.50 = $682.50.
The creditor maximum is therefore $225. But with child support also withheld, total withholding is capped at 50% of disposable earnings: $450. Child support takes $300, leaving only $150 for the creditor garnishment.
Correct total: $300 + $150 = $450. Payroll has been withholding $550, so it should refund $100 and reduce the creditor withholding to $150. If the employee did not support another child, the 60% cap would be $540 and the creditor could receive up to $225, for a $525 total.
3. Can the employer stop withholding because of the employee's hardship or request?
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No. A valid income-withholding order must be honored; the employer cannot ignore it because the employee asks or claims hardship. The employee must petition the court or child support agency. The employer should follow the order, apply the correct CCPA limits, document the calculation, and not discriminate against the employee because of the garnishment. If a new order conflicts, the employer should seek legal guidance rather than unilaterally stopping withholding.