The Chartered Institute of Payroll Professionals ……………………………………………………………Policy News Journal
Attachment of Earnings
Direct Earnings Attachments: employer guidance 4 April 2016
The Department for Work and Pensions (DWP) has published guidance for employers and software developers on how a DWP Debt Management Direct Earnings Attachment (DEA) should be operated.
Two sets of guidance have been published:
Direct Earnings Attachment – A Guide for Employers - This guide explains what an employer needs to do if DWP Debt Management asks them to implement a Direct Earnings Attachment (DEA).
A More Detailed Guide has also been developed to complement the publication Direct Earnings Attachment – A Guide for Employers . It is intended to provide employers and payroll software developers with more detail and worked examples on how a DWP Debt Management DEA should be operated.
Find out more about DEAs in the guide Make benefit debt deductions from an employee’s pay .
CIPP related News
Higher Rate Direct Earnings Attachments (DEAs) - 10 August 2015
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DWP DEA - Change of Bank Account 25 October 2016
Following the announcement that the Direct Earnings Attachment (DEA) guide for employers has been revised this month to notify a change of DWP bank account to which payments are made, some questions, that looked to clarify the transitional process, have been posed to the Debt Management team within DWP.
Can you confirm if the old bank account will remain operational for a while, and if so for how long?
We have thousands of DEAs set up across our systems, which will currently pay into the existing bank account where we make the Bacs payment. It will be a major undertaking to get them all updated.
The current HSBC banking details (Account number: 51826107, Sort Code 40-34-18) will remain active until March 2017 but we have an option to extend beyond this date if absolutely necessary, depending on volumes of employers and customers (via other payment methods) who have not switched to the new RBS/NatWest bank account.
Is it possible for us to be notified when a new version of the guide for employers is going to be published?
There will be an updated version of the employer guide and this is published to go-live on www.gov.uk on 31st October which will remove the outgoing HSBC details and solely contain the new RBS/NatWest details.
The Debt Management department within DWP have begun to issue a mail shot to all employers who are present on their system, informing them of the change and this exercise will conclude by the middle of November at the latest.
This is the last banking update for the foreseeable future any other updates are likely to concentrate on process amendments.
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