Income Withholding Orders (IWO)
Processing an Income Withholding Order
Step 1. Acknowledge receipt of the income withholding order, either electronically or using the form provided.
Step 2. Begin withholding the amount in the order no later than the first pay period occurring after receipt of the IWO. MCA §40-5-421
Step 3. Remit payment within 7 working days of the pay date/date of withholding. MCA§40-5-421(1)
Receive Income Withholding Orders Electronically (e-IWO)
Receive and acknowledge orders electronically. Montana uses the federal e-IWO Process to save you time and money!
What you need to know about income withholding for child support
- Payments must include the employee’s name, case number or participant ID, and their pay date. If multiple employees are on one payment, a breakdown of the amounts must also be included. MCA §40-5-421
- CSSD Orders limit withholding to 50% of disposable income after taxes and mandatory deductions. Withholding orders from other child support agencies may take up to 65%. MCA §40-5-416
- An administrative fee of $5.00 per month per withholding order may be collected from the employee to help offset the cost of withholding. MCA §40-5-416(1)(c) This fee is deducted from the employee’s wages, not the child support payment unless the child support payment is taking 50% of the employee’s disposable income after taxes and mandatory deductions.
- If a payment is sent in error or the information sent with the payment is incorrect, contact the Employer Liaison right away.
- For more information check out the Employer FAQ page.
Employer Liabilities
The Child Support Services Division (CSSD) does not wish to hold any employer in contempt or fine businesses. However, we must pursue our duty of collecting support through all available means.
If you choose to ignore or not to follow the Order to Withhold Income, you may be subject to a finding of employer contempt. MCA 40-5-226 allows the CSSD to pursue civil contempt against any employer or payor who fails to comply with an order issued by the CSSD. As the payor of income, you are liable for all child support payments not withheld or sent to the CSSD. You also may be subject to a fine of $500.00 per each count of contempt. A separate contempt occurs each time an employer fails to withhold and remit child support payments from their employee’s income within the time-frame allowed.