Reference Guide for Employers and Income Withholders
Child Support Web-based Bills/Notices
Questions please contact the Child Support Call Center 877-882-4916
Electronic Funds Transfer/Electronic Data Interchange (EFT/EDI) make child support income withholding easier for employers. At your option, child support funds can be electronically remitted via EFT from your bank to the State Disbursement Unit (SDU). All the necessary information (case identifiers, date of withholding, etc.) is sent along with the electronic payments via EDI.
For additional information concerning EFT/EDI, please click here for the PDF version of A Guide for Employers Electronic Funds Transfer/Electronic Data Interchange (EFT/EDI) or Email: MSSDUOutreach@informatixinc.com or phone: 769-777-6111
State Agencies in Mississippi
State agencies who deduct child support payments from employee checks to pay to the Mississippi Department of Human Services can make remittances electronically via electronic funds transfer (EFT). Remittances will need to be directed to Regions Bank CHILD SUPPORT METSS, vendor # V0001361941. For more information, contact 601-359-4500.
Mississippi New Hire Reporting
All employers (or independent contractors) are required to report basic information about newly-hired personnel to a designated state agency within 15 days. A penalty of $25 per case (incident), or up to $500 for collusion between employer and worker, shall be assessed for not reporting as directed by law. To obtain more information, go to the website: www.ms-newhire.com or contact us at the following address:
P. O. Box 437
Norwell, MA 02061
State Disbursement Unit
All child support income withholdings are required to be paid through Mississippi’s state disbursement unit, the State Disbursement Unit (SDU) at the following address:
P. O. Box 23094
Jackson, Mississippi 39225
Each payment remitted must include the noncustodial parent’s name, social security number, the amount withheld and employer name.
Withholding Orders/Notices from Other States
A direct income withholding order issued by any state may be sent across state lines directly to the noncustodial parent’s employer in another state.
- Upon receipt, if the Order/Notice appears “regular on its face,” you must honor it.
- You must provide a copy of the Order/Notice to the employee immediately.
- You must begin income withholding and send the payments to the address cited in the Withholding Order/Notice.
- You must continue to honor the Withholding Order/Notice until official notification is received from the child support enforcement agency/court to stop or modify the withholding.
- If you comply with these basic requirements, you will not be subject to civil liability to an individual or agency with regard to your withholding of child support from the employee’s income.
What is the maximum amount that can be withheld?
For child support income withholdings, the upper limit on what may be withheld is based on the Federal Consumer Credit Protection Act (CCPA). The Federal withholding limits for child support and alimony are based on the following disposable earnings of the obligor (i.e., the employee):
- The Federal CCPA limit is 50 percent of the disposable earnings if the employee lives with and supports a second family, and 60 percent if the employee does not support a second family.
- This limit increases to 55 percent and 65 percent respectively if the employee owes arrears that are 12 weeks or more past due.
Lump Sum Payment Requirements for Employers
Pursuant to Mississippi Code Section 93-11-103(13), employers are required to report lump-sums paid to employees of over $500 to the Department of Human Services if the employer has been served with a withholding order that includes a provision for the payment of arrears. Lump-sums are defined in Mississippi Code Section 93-11-101(l). The employer shall notify the Department of Human Services of its intention to make a lump-sum payment at least 45 days before the planned date of the payment or as soon as the decision is made to make the payment, should that be less than 45 days. The employer shall not release the lump-sum to the obligor until 30 days after the intended date of the payment or until authorization is received from the Department of Human Services, whichever is earlier. The Department of Human Services shall provide the employer with a Notice of Lien specifying the amount of the lump-sum to be withheld for payment of child support arrears.
To report a lump-sum or for further lump-sum inquiries, please email or fax us at firstname.lastname@example.org or 800-937-8668.
Multiple Child Support Orders for the Same Employee
You must add together the court-ordered current support owed for each order and withhold that amount first. If this amount does NOT exceed the CCPA or appropriate State law, you may withhold additional earnings for any arrears obligation, provided the total amount withheld does not exceed the amount available under the CCPA or appropriate State law.
May we combine child support payments from several employees?
You may send one check for each pay period to cover all child support withholdings for that pay period if they are all to be sent to the Mississippi Department of Human Services, provided you itemize the amount withheld from each employee, the date each amount was withheld, and the noncustodial parent’s social security number.
Is medical insurance required to be provided when the child does not live in the service area?
Yes. By law, medical insurance coverage available to the parent-employee cannot be denied to a child even though:
- The child was born out of wedlock and paternity has been established
- The child is not claimed as a dependent on the parent’s income tax return
- The child does not live with the parent
- The child does not live in your insurer’s service area
Under which insurance plan should the child be enrolled?
Enroll the child under the same health benefit plan in which your employee is enrolled. If the employee is offered more than one health plan, the plan chosen by the employee must provide coverage for dependents.