§576E-16  Income withholding.  (a) 
Whenever an administrative order is entered establishing, modifying, or
enforcing support, or establishing an arrearage that has accrued under a
previous judicial or administrative order of support, there shall concurrently
be issued an order that shall operate as an assignment to the agency for the
benefit of the child or in the case of spousal support, for the benefit of a
spouse or former spouse, of such amounts at such times as may be specified in
the order, from the responsible parent's income due or to become due in the
future from the responsible parent's employer, or successor employers, except
when alternative arrangements are ordered pursuant to section 576D-10.  The
income withholding order shall be in the standard format prescribed by Title
IV-D of the Social Security Act, as amended by the child support enforcement
agency.  A copy of the income withholding order shall be filed in the office of
the clerk of the circuit court in the circuit where the order was issued along
with the copy of the support order as provided in section 576E-12.



(b)  The income withholding order issued
pursuant to subsection (a) or the income withholding order or the notice to
withhold child support issued pursuant to section 576D-14 shall be effective
immediately after service upon an employer of a copy of the order or the notice
to withhold child support, which service may be effected by regular mail, by
personal delivery, or by transmission through electronic means.  Thereafter, the
employer shall for each pay period, withhold from the income due to the
responsible parent from the employer, and not required to be withheld by any
other provision of federal or state law, and transmit to the child support
enforcement agency of this State, as much as may remain payable to the
responsible parent for such pay period up to the amount specified in the order
or the notice to withhold child support as being payable during the same
period.  The employer shall immediately inform the agency of any change that
would affect the income withholding order or the notice to withhold child
support or the disbursement thereof.



(c)  Compliance by an employer with the income
withholding order issued pursuant to subsection (a) or with the income
withholding order or the notice to withhold child support issued pursuant to
section 576D-14 shall operate as a discharge of the employer's liability to the
responsible parent for that portion of the responsible parent's earnings
withheld and transmitted to the agency, whether or not the employer has
withheld the correct amount.  For each payment made pursuant to an income
withholding order or a notice to withhold child support, the employer may
deduct and retain as an administrative fee an additional amount of $2 from the
income owed to the responsible parent.  The total amount withheld from the
obligor's income, including the administrative fee, may not be in excess of the
maximum amounts permitted under section 303(b) of the Consumer Credit
Protection Act (15 U.S.C. §1673(b)).  Any income withholding order or notice to
withhold child support shall have priority as against any garnishment,
attachment, execution, or other income withholding order, or any other order,
and shall not be subject to the exemptions or restrictions contained in part
III of chapter 651 and in chapters 652 and 653.  An employer who fails to
comply with an income withholding order under this section or with an income
withholding order or notice to withhold child support issued pursuant to
section 576D-14 shall be liable to the obligee or the agency for the full
amount of all sums ordered to be withheld and transmitted.  An employer
receiving an income withholding order or a notice to withhold child support
shall transmit amounts withheld to the agency within five working days after
the responsible parent is paid.  The employer shall begin withholding no later
than the first pay period commencing within seven business days following the
date a copy of the order or the notice to withhold child support is mailed to
the employer.



As used in this subsection, the term
"business day" means a day on which the employer's office is open for
regular business. The employer shall withhold funds as directed in the order or
the notice to withhold child support, except that when an employer receives an
income withholding order issued by another state, the employer shall apply the
income withholding law of the state of the obligor's principal place of
employment in determining:



(1)  The employer's fee for processing an income
withholding order;



(2)  The maximum amount permitted to be withheld from
the obligor's income under section 303(b) of the Consumer Credit Protection Act
(15 U.S.C. §1673(b));



(3)  The time periods within which the employer must
implement the income withholding order and forward the child support payment;



(4)  The priorities for withholding and allocating
income withheld for multiple child support obligees; and



(5)  Any withholding terms or conditions not specified
in the order.



An employer who complies with an income
withholding order or a notice to withhold child support that is regular on its
face shall not be subject to civil liability to any person or agency for
conduct in compliance with the order.



An employer who is required to withhold amounts
from the income of more than one employee may remit to the agency a sum total
of all such amounts in one check with a listing of the amounts applicable to
each employee.



Within two working days after receipt of the
amounts withheld by the employer, the agency shall disburse the amounts to the
obligee for the benefit of the child, except that the agency may delay the
distribution of collections toward arrearages until resolution of any timely
requested hearing with respect to such arrearages.



(d)  An income withholding order or a notice to
withhold child support shall remain in effect after the obligor's requirement
to pay future child support has ended if the obligor owes past due support and
any amount received pursuant to the order or notice shall be applied to satisfy
all past due support owed.  An income withholding order or a notice to withhold
child support shall be terminated when appropriate by court or administrative
order, except that an employer withholding income for payment to the child support
enforcement agency shall terminate withholding upon receipt of a notice from
the child support enforcement agency to terminate income withholding.  Payment
by the responsible parent of any delinquency shall not in and of itself warrant
termination of the income withholding order or the notice to withhold child
support.  The agency shall promptly refund any amount withheld in error to the
responsible parent.



(e)  It shall be unlawful for any employer to
refuse to hire a prospective employee, to discharge an employee, or to take any
other disciplinary action against an employee, based in whole or in part upon
an order or notice to withhold child support authorized by this section.  Any
employer violating this section shall be guilty of a misdemeanor and shall be
punished under section 710-1077(1)(g).



(f)  Notwithstanding any other provision of
law, for the purposes of this section, the term "income" shall
include, without limitation, salaries, wages, earnings, workers' compensation,
unemployment compensation, disability benefits, commissions, independent
contractor income, and any other entitlement to money including moneys payable
as a pension or as an annuity or retirement or disability or death or other
benefit, or as a return of contributions and interest thereon from the United
States government, or from the State or political subdivision thereof, or from
any retirement, disability, or annuity system established by any of them
pursuant to statute.



(g)  Any responsible parent may request
withholding of the parent's income prior to entry of an administrative order. 
The employer shall comply with that request as if so ordered under this
section.



(h)  If there is more than one obligee, the
amounts withheld from the income of a responsible parent shall be allocated
among the obligees.  The allocation may be based on each obligee's
proportionate share of the amount of the withholding orders or the notices to
withhold child support that were served on the employer of the obligor.  If
concurrent assignment orders or notices to withhold child support would cause
the amounts withheld from the responsible parent's income to exceed applicable
wage withholding limitations, the amount withheld shall be allocated so that in
no case shall the allocation result in a withholding for one of the support
obligations not being implemented.  Thereafter, arrearages due under the income
withholding orders or the notices to withhold child support shall be satisfied
in the order of service, up to the applicable limitation.



(i)  If a responsible parent changes employment
when an income withholding order or a notice to withhold child support is in
effect, the agency shall notify the responsible parent's new employer of the
responsible parent's obligation in accordance with subsections (b) to (f).  The
new employer shall be bound by the income withholding order or the notice to
withhold child support until further court or administrative order or until
further notified by the agency pursuant to section 576D-14. [L 1988, c 154, pt
of §2; am L 1989, c 61, §6; am L 1990, c 152, §3 and c 176, §22; am L 1993, c
251, §6; am L 1995, c 125, §§4, 5; am L 1996, c 25, §3; am L 1997, c 293, §38;
am L 1999, c 300, §5; am L 2000, c 194, §6; am L 2002, c 72, §11 and c 84, §8;
am L 2006, c 34, §3; am L 2009, c 115, §6]



 



Cross References



 



  Prison inmates child support payments, see §353-22.8.