Using federal child support guidelines, calculate the maximum amount of support that can be withheld from an employee's semimonthly disposable earnings of $1,500.00. The employee is four months in arrears in making child support payments and has no other dependents.

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Multiple Choice

Using federal child support guidelines, calculate the maximum amount of support that can be withheld from an employee's semimonthly disposable earnings of $1,500.00. The employee is four months in arrears in making child support payments and has no other dependents.

Explanation:
Federal wage-withholding limits for child support depend on whether there is current support and how much arrears exist. The standard cap is 50% of disposable earnings for ongoing support, but when there are arrears and the obligor is at least 12 weeks behind, the cap can be increased to 65% to help catch up those arrears. In this scenario, the employee is four months in arrears (more than 12 weeks) and has no other dependents, so the 65% limit applies. Calculate the maximum: 65% of $1,500.00 equals $975.00, which is the maximum that can be withheld.

Federal wage-withholding limits for child support depend on whether there is current support and how much arrears exist. The standard cap is 50% of disposable earnings for ongoing support, but when there are arrears and the obligor is at least 12 weeks behind, the cap can be increased to 65% to help catch up those arrears. In this scenario, the employee is four months in arrears (more than 12 weeks) and has no other dependents, so the 65% limit applies.

Calculate the maximum: 65% of $1,500.00 equals $975.00, which is the maximum that can be withheld.

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