CFEA(LEGAL) - PAYROLL PROCEDURES: SALARY DEDUCTIONS AND REDUCTIONS

Income Tax

The amount of income tax required by federal law. 26 U.S.C. 3401–3402

Medicare Tax

The amount of Medicare tax required by law (only those employees hired after March 31, 1986). 26 U.S.C. 3121(u)

Teacher Retirement System

The required contribution to the Teacher Retirement System of Texas in accordance with applicable law and rules. Gov't Code Title 8; 34 TAC Chapter 25

Retired School Employees Group Insurance Fund

The required contribution to the retired school employees group insurance fund in accordance with applicable law and rules. Insurance Code Chapter 1575

Child Support Payments

The amount specified in an order or writ of withholding issued under Family Code Chapter 158 for child support payments. The amount withheld shall be remitted to the person or office named in the order on each regular due date or pay date. Family Code Chapter 158

Spousal Maintenance

The amount specified in an order or writ of withholding issued under Family Code Chapter 8 for spousal maintenance. The amount withheld shall be remitted to the person or office named in the order or writ on each regular pay date. Family Code Chapter 8

Professional Dues

The amount designated by an employee for payment of professional organization membership fees or dues. The employee shall file a written request identifying the organization, specifying the number of pay periods per year the deduction shall be made, and informing the District, either personally or by directing the organization to do so, of the total amount of dues or fees for each year. Deductions shall be made in equal amounts per pay period for the number of pay periods specified by the employee until the employee requests in writing that the deductions be discontinued.

Education Code 22.001

Social Security

The amount of social security tax required by federal law (only designated employees). 26 U.S.C. 3101–3102, 3121(b)(7); 26 CFR 31.3121(b)(7)-2

Federal Education Loans

The amount directed in a withholding order issued by the Texas Guaranteed Student Loan Corporation or any other guaranty agency for federal education loans to recover delinquent federal education loan payments. The amount withheld shall be paid to the Texas Guaranteed Student Loan Corporation or the guaranty agency or its agent issuing the order. 20 U.S.C. 1095a(a)(6)

Prepaid Higher Education Tuition Program

Amounts designated by employees to prepay the tuition and required fees for a beneficiary to attend an institution of higher education. Education Code 54.626

Higher Education Savings Plan

Amounts designated by employees as contributions to a higher education savings trust account established under the higher education savings plan. Education Code 54.708

Assignments

The amount authorized by any employee who has made a valid assignment, transfer, or pledge of his or her salary or wages as security for indebtedness. Education Code 22.002; Atty. Gen. Op. 0-3474 (1941)

Insurance

Contributions for participation in approved insurance programs. Insurance Code 1579.253; Education Code 22.005 [See CRD]

Deferred Compensation

Amounts designated by employees for participation in approved deferred compensation or annuity programs. Art. 6228a-5, V.A.T.S.; Gov't Code Chapter 609 [See CRG]

Cafeteria Plans

Amounts designated by employees for participation in the District's cafeteria plan authorized under Section 125 of the Internal Revenue Code. 26 U.S.C. 125

Administrative Fee

The actual administrative cost incurred by the District in complying with the withholding order; or

$10.

Civil Practice and Remedies Code 63.006

Gatesville ISD

CFEA(LEGAL)-P

UPDATE 87

DATE ISSUED: 1/28/2010