CS
720P-5 Administrative Withholding Error
11/85
Revised 08/25/14 Training Completed 09/05/14 Last Reviewed 09/03/25
Responding to an Administrative Withholding
Error
If the noncustodial parent’s (NCP’s) income has been withheld due
to a CSS administrative error, you must promptly refund the money to the NCP,
even if the money has been sent to the custodial parent (CP). For example, the
NCP has no current support due, all arrears are paid in full, and income
withholding was not terminated promptly, resulting in the NCP's case being
overpaid. Consult with your management chain (Manager, Associate Regional
Director, Regional Director, and CSS Director) if you need to refund money to
the NCP due to an administrative error.
Income that has been withheld and disbursed in good faith is not
an administrative error and should not be returned to the NCP. However, you may
offset what the NCP has overpaid to the CP by reducing the amount of current
support on an existing Notice to Withhold Income (NTW) until the “overpaid”
amount has been recovered. The
ordered current support amount (CRS) cannot be temporarily reduced or ended in
ORSIS to make up for an overpayment. If there is an NTW in place and
ORS is receiving payment via the NTW, contact the CP and explain the problem
and attempt to arrive at an agreement about how much and for how long the
current support amount will be reduced on the NTW. Notify the Senior Agent of
the overpayment and the agreed upon reduced payment plan. The Senior Agent is
then responsible to account for the overpayment in ORSIS by placing a hold on
the case, refunding the difference between the ordered CRS and the reduced CRS
per the agreed upon payment plan and adjusting the arrears balance. For more
information and detailed procedures, refer to CS 450P-8 Child Support Awards –
Downward Modification Results in Overpayment of Current Support Due. If the CP
does not agree to a reduced amount to account for the overpayment, consult with
your management chain about the next course of action to take. For example, you
could inform the NCP that s/he will need to make arrangements
directly with the CP to recover the money.
EXAMPLE: The NCP or the CP in a
Non-IV-A case did not inform CSS that their support order for $500.00 per month
was modified downward to $300.00 per month. CSS continued to collect and
disburse the prior higher amount of $500.00 per month until three months later
when the NCP notified CSS of the downward modification. Since the NCP had been
current under the old order, he had overpaid the CP a total of $600.00 ($500.00
- $300.00 = $200.00 x 3 = $600.00.) You contact the CP and NCP and arrange to
have the Notice to Withhold (NTW) reduced by half ($150.00) for 4 months
($150.00 x 4 = $600.00) so that at the end of this period the NCP is again
current. The ordered current support amount in ORSIS should not be adjusted to
account for the overpayment. The senior agent would follow procedures outlined
in CS 450P-8 to account for the overpayment.