There are many ways that funds can be deducted from your paycheck. This can include many types of Voluntary deductions. However, there are four main categories that may apply to you.
Federal Income Tax
Federal income taxes must be deducted under federal law. Taxes are withheld from each paycheck in accordance with the gross pay and the number of exemptions claimed on your W4 Withholding Allowance Certificate.
Any change in exemptions requires that a new W4 be submitted to Payroll. (See Information on IRS Form W4)
Social Security (FICA) and Medicare
Deductions for Social Security are required by federal law. A percentage of pay, as determined by the Social Security Act, is withheld from each paycheck. In addition, the University is required to contribute an equal amount for future Social Security retirement and/or disability benefits.
However, those covered under a qualified retirement plan are not subject to full Social Security tax. In this instance, you may only see Medicare tax.
Voluntary Deductions
Employees may authorize deductions from their wages for: charities or organizations, parking, group insurance, loans, and investment. Other options may be available. Please consult with your Payroll office for assistance.
You may cancel a voluntary deduction by submitting a "Cancellation of Miscellaneous Deduction Form" to our office. This request must be received by our office at 9:00 am on the 10th and 25th in order to be effective the following pay period. You may get a copy of this form here.
Garnishments and Levies
A garnishment is a legal order to withhold a specified sum from your wages to satisfy a debt in accordance with federal wage garnishment law. A Levy, Earnings Withholding Order or a Wage Assignment is the legal terminology for a garnishment. The amount deducted depends upon the type of garnishment. For example, a Federal Levy will exempt a predetermined amount of your net pay from levy. Otherwise, the deduction is taken out of your "Disposable earnings".
You should contact an attorney or the appropriate agency to arrange a payment delay or to work out a payment plan. And, it is very important that you complete a Statement of Exemption form if you receive an IRS Levy.
Because this is an abbreviated list, please be certain to bring any questions you may have to your Payroll office and we will be glad to help.
