Scottish Arrestment Order rates specify the statutory deduction amounts that employers must apply when court orders instruct them to withhold money from an employee's wages to satisfy debts or legal obligations. Set by Scottish legislation, these rates determine the maximum amounts that can be deducted from an employee's earnings, ensuring they retain enough income for essential living expenses.
You will need to apply Scottish Arrestment Order rates when you receive formal court instructions to recover debts through employees' salaries, such as unpaid council tax, maintenance payments, or other legal obligations.
To enter the rates, follow these steps in Portal:
Click Settings then under Codes, click Pay Codes.
Search for the pay code then click the three-dot icon.
Click Edit then in the Pay Code field, select the relevant pay code.
Click NEXT then under Payment Orders, fill in the following fields:
Nett Earnings Week From: Enter the start date from the banding provided by the government.
Net Earnings Week To: Enter the end date from the banding provided by the government.
Lower Band Week: Input the top of the previous band.
Lower value: Enter the value according to the government deduction.
Balance the %: Adjust as per the government deduction instructions.
The Sum: Follow government deduction instructions; if specified as "value OR %," keep the toggle OFF.
If specified as "value PLUS %," turn the toggle ON.
Percent Lower applies only if it is included in government deduction instructions.
Click SAVE.