Garnishment can be automatically deducted from provider payment utilizing CC4's garnishment feature.

 

The location and basic navigation of the Garnishment tab can be found in: CareControl4: Provider Garnishment

 

Garnishment will be requested from different entities (Example: IRS, Child Support etc.), and each of the entity will have a set of different fields to track. Though first step is the same for all which is to add each of the garnishment you receive to the Provider Records. 

Below is step-by-step guide that walks you through the entire process of deducting garnishment from provider payment using CC4 Garnishment feature.

 

Process Garnishment with Payment Method: Threshold

1. The example below is how to add a garnishment received from IRS, which instructs agency to deduct everything above the exempt threshold amount

Garnishment Amount for the provider: $1,000.00

Payment Method: Threshold

Exempt Amount: $845.83

Payment Frequency: Per Check Run

 

 After clicking "Save & Close" The garnishment will be applied starting on the specified start date (3/12/14 in this example), until the balance is $0.00.

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $770.00.

No garnishment will be applied because system recognizes that this amount is less than the exempt amount of $845.83.

Thus, on the Explanation of Payment, Provider will be paid total of $770.00.

 

3. In the second check run, the provider payment totals to be $947.08, which is more than  the exempt amount of $845.83.

System automatically applied garnishment total of $101.25. 

Thus, on the Explanation of Payment, Provider will be paid total of $845.83. 

 

Tracking Balance:

Once garnishment is deducted, system will update the Garnishment status from New to Active and keep track of the payment history and balance in the Garnishment tab.

System will also updates Last Export Date field to the most current export date 3/12/2014.

 

 

Process Garnishment with Payment Method: Lump Sum

1. The example below is how to add a garnishment received from Franchise Tax Board, which instructs agency to deduct a one time lump sum amount:

Garnishment Amount for the provider: $650.00

Payment Method: Lump Sum

Payment Frequency: One Time

 

After clicking "Save & Close" The garnishment will be applied one time starting on the specified start date (3/10/14 in this example), regardless if balance remains or not. 

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $359.47.

System automatically applied garnishment total of $359.47.

Thus, on the Explanation of Payment, Provider will be paid total of $0.00. 

 

Tracking Balance:

Once garnishment is deducted, since this Payment Method is Lump Sum, system will also updates the Garnishment status from New into Inactive and no more payments will be deducted, even though the balance remains.

System will also updates Last Export Date field to 6/12/2014.

 

Process Garnishment with Payment Method: Set Percentage

1. The example below is how to add a garnishment received from State Board of Equalization, which instructs agency to deduct a set percentage amount:

Garnishment Amount for the provider: $900.00

Payment Method: Set Percentage

Payment Frequency: Per Check Run

Percentage(%): 25.00

Note: Any percentage (%) entered ≥ 100%, system will automatically limit to 100% and deduct the whole provider payment amount.

 

 After clicking "Save & Close" The garnishment will be applied starting on the specified start date (2/15/14 in this example), until the balance is $0.00.

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $663.71.

System automatically applied garnishment total of $165.93, which is 25% of the payment total.

Thus, on the Explanation of Payment, Provider will be paid total of $497.78. 

 

3. In the second check run, the provider payment totals to be $92.48.

System automatically applied garnishment total of $23.12, which is 25% of the payment total.

Thus, on the Explanation of Payment, Provider will be paid total of $69.36. 

 

Tracking Balance:

Once garnishment is deducted, system will update the Garnishment status from New to Active and keep track of the payment history and balance in the Garnishment tab.

System will also updates Last Export Date field to the most current export date 6/12/2014.

 

 

Process Garnishment with Payment Method: Set Combination

1. The example below is how to add a garnishment received from Child Support, which instructs agency to deduct a set combination of amount and percentage:

Garnishment Amount for the provider: $400.00

Payment Method: Set Combination

Payment Frequency: Per Month

Amount: $500.00

Percentage(%): 50.00

Note: When using Set Combination Payment Method, if either amount or percentage is not entered, system will not calculate garnishment deduction automatically. 

 

 After clicking "Save & Close" The garnishment will be applied starting on the specified start date (3/1/14 in this example), until the balance is $0.00.

Note: Garnishment under Child Support Balance is defaulted into -$1.00, and is configured for use when Child Support Services garnishment deduction with no Grant Total specified, but only with a Set Amount or Set Percentage monthly.

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $661.00

System automatically applied garnishment total of $330.50, which is 50% of the payment total. System calculates garnishment amount with the Set Percentage since it is the lesser than of the Set Amount. 

Thus, on the Explanation of Payment, Provider will be paid total of $330.50. 

 

3. In the second check run within the same month, the provider payment totals to be $582.00,

No garnishment will be applied because system recognizes that the garnishment deducted has been fulfilled for the month.

Thus, on the Explanation of Payment, Provider will be paid total of $582.00.

4. In the third check run, the provider payment totals to be $3019.32,

System automatically applied garnishment total of $69.50, since this is the Garnishment Balance after the first Garnishment Deduction, and is < $500

Thus, on the Explanation of Payment, Provider will be paid total of $2949.82. 

 

Tracking Balance:

After the first check run with garnishment deduction, system will update the Garnishment status from New to Active and keep track of the payment history and balance in the Garnishment tab. System will also update Last Export Date to 3/12/2014

After the another check run with garnishment deduction, since balance reaches $0.00, system will update status from New to Inactive and:

- No more payments will be deducted.

- System updates Last Export Date, Terminate Date, End Date to 6/9/2014, and Terminate Reason to Paid in Full.

 

Process Garnishment with Payment Method: Set Amount

 1. The example below is how to add a garnishment received from Employment Development Department, which instructs agency to deduct a set amount:

Garnishment Amount for the provider: $1,000.00

Payment Method: Set Amount

Payment Frequency: Per Month

Amount: $400.00

 

 After clicking "Save & Close" The garnishment will be applied starting on the specified start date (5/1/14 in this example), until the balance is $0.00.

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $280.10

System automatically applied garnishment total of $280.10, which is <$400 Set Amount. 

Thus, on the Explanation of Payment, Provider will be paid total of $0.00. 

 

3. In the second check run, within the same month, the provider payment totals to be $410.47,

System automatically applied garnishment total of $119.90, which is the Month Set Amount's Balance from the first check run ($400-$280.10). 

Thus, on the Explanation of Payment, Provider will be paid total of $290.57.

 

4. In the next check run, the provider payment totals to be $290.92

System automatically applied garnishment total of $290.92, which is <$400 Set Amount. 

Thus, on the Explanation of Payment, Provider will be paid total of $0.00. 

 

Tracking Balance:

Once garnishment is deducted, system will update the Garnishment status from New to Active and keep track of the payment history and balance in the Garnishment tab.

System will also updates Last Export Date to the most current export date 6/3/2014.

 

Process Garnishment with Payment Method: Lower and Higher Threshold

 1. The example below is how to add a garnishment received, which instructs agency to deduct an amount which will be determined based on a "lower and higher threshold concept" to whichever of the following two calculations that result in lesser garnishment

Garnishment Amount for the provider: $6578.70

Payment Method: Lower and Higher Threshold

Payment Frequency: Per Month

Lower Amount: $350.00

Higher Amount: $600.00

Set Percentage(%): 10.00

 

 After clicking "Save & Close" The garnishment will be applied starting on the specified start date (10/10/14 in this example), until the balance is $0.00.

 

2. After claims are exported and claim status as processed, you will see the garnishment application in the Explanation of Payment.

In the first check run after the garnishment is added, the provider payment totals to be $561.41 which is in between of the Lower and Higher Threshold.

System automatically applied garnishment total of $211.41, which is the amount over the Lower Threshold ($561.41-$350.00)

Thus, on the Explanation of Payment, Provider will be paid total of $350.00.

 

 

Tracking Balance:

Once garnishment is deducted, system will update the Garnishment status from New to Active and keep track of the payment history and balance in the Garnishment tab.

System will also updates Last Export Date to the most current export date 11/10/2014.