Calculation Formulas |
Examples of Calculation Formulas
Example 1
You want to compute Net Disposable Earnings by:
Subtracting all withholdings and federal levies from Gross Earnings and dividing the resulting remainder by 2
In this example:
Line 1 determines Disposable Earnings by subtracting All Withholdings from Gross Earnings.
Line 2 subtracts all Federal Levies from the results of Line 1's calculation.
Line 3 calculates Net Disposable Earnings by multiplying Line 2's result by 50% (same as dividing by 2).
Example 2
You want to compute a Maximum Involuntary Deduction amount by:
Subtracting all withholdings from Gross Earnings and multiplying the remainder by 55%.
In this example:
Line 1 determines Disposable Earnings by subtracting All Withholdings from Gross Earnings.
Line 2 determines the Maximum Involuntary Deduction amount by multiply Line 1's result by 55%.
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