Medium

Withholding should start with the first pay period after receipt of Income Withholding Order/Notice for Support.

Payments should be remitted within 7 business days of the employee pay date/date of withholding. For example, if an employee is paid on Friday October 7, the employer would have until Tuesday October 18 to remit the payment to the State Disbursement Unit. Payments are credited when received at the State Disbursement Unit, not when withheld from the employee’s pay.

Include the employee remittance identifier which can be found on the Income Withholding Order/Notice for Support.

An employer can withhold and retain up to $3.00 per month from the employee’s income to cover expenses involved with remitting payments.

The employer must notify Child Support within 7 business days of the termination by doing one of the following:

  • Report terminations online
  • Complete the last page of the Income Withholding Order/Notice for Support and send it to the issuing entity
  • Complete the Notification of Termination form and send it to the issuing entity
  • In the case of a National Medical Support Notice, send to the issuing entity a copy of any notice you are required to provide under the continuation coverage provision of ERISA or the Health Insurance Portability and Accountability Act

Withhold no more than 50% of the employee’s disposable income. Payment of less than the ordered amount must be accompanied by a payroll calculation.

Employers may remit for multiple employees as long as the remittance identifier and the withholding amount for each employee is provided on the remittal.

The employer can send in one amount and the State Disbursement Unit will prorate the amount.

Employers are not required to vary pay cycle to be in compliance with Income Withholding Order.

An employer with 25 or more employees at any time and has received more than 4 Income Withholding Orders/Notices for Support must make income withholding payments by an electronic method.

Yes, income withholding orders can be sent electronically. Contact the federal Office of Child Support Enforcement (OCSE) for further information.

No, income withholding is not delinquency based. Support orders established or modified after January 1, 1990, are subject to immediate income withholding unless a court finds good cause not to require income withholding or autopay has been approved.

Medium

Income Withholding Definitions

BUSINESS DAY – every day that is not a Saturday or legal holiday.

CHILD SUPPORT – payments for the support of children and combined payments for the support of children and spouses or former spouses, however denominated, if the payment is required by the order of a court or other governmental agency having authority to issue such orders.

CHILD SUPPORT AGENCY – the county social service board, any combination of county social service boards, or any entity created by a county social service board or any combination of county social service boards, in execution of the county social service board's duties under subsection 5 of section 50-09-03.

DELINQUENT – a situation which occurs on the first working day after the day upon which a child support payment was identified as due and unpaid, and the total amount of unpaid child support is at least equal to the amount of child support payable in one month.

DISPOSABLE INCOME – gross income less mandatory deductions for taxes and social security.

EMPLOYER – income payer.

HEALTH INSURANCE – includes fees for service, health maintenance organization, preferred provider organization, comprehensive health association plan, accident and health insurance policies, group health plans as defined in section 607(1) of the Employee Retirement Income Security Act of 1974 [Pub. L. 99-272; 100 Stat. 281; 29 U.S.C. 1167(1)], and other types of coverage under which major medical coverage may be provided in a policy, plan, or contract which may legally be sold or provided in this state.

INCOME – any form of payment, regardless of source, owed to an obligor, including any earned, unearned, taxable or nontaxable income, workforce safety and insurance benefits, disability benefits, unemployment compensation benefits, annuity and retirement benefits, but excluding public assistance benefits administered under state law.

INCOME PAYER – any person, partnership, firm, corporation, limited liability company, association, political subdivision, or department or agency of the state or federal government owing income to an obligor and includes an obligor if the obligor is self-employed.

MONTHLY SUPPORT OBLIGATION – an amount of child support ordered by a court or administrative tribunal in a proceeding to establish or modify a child support obligation, including amounts that are deferred for payment at a later date. The term is defined without regard to any amount of child support that an obligor is required to pay to avoid being held in contempt of court.

OBLIGEE – a person including a state or political subdivision to whom a duty of support is owed.

OBLIGOR – any person owing a duty of support.

PAST-DUE SUPPORT – child support that is not paid by the earlier of:

  • The date a court order or an order of an administrative process established under state law requires payment to be made; or
  • The last day of the month or other period the payment was intended to cover.

PAYDAY – the day upon which the income payer pays or otherwise credits the obligor.