Involuntary and Voluntary Pay Deductions: New Mexico

Federal law and guidance on this subject should be reviewed together with this section.

Author: Vicki M. Lambert, The Payroll Advisor

Summary

• An employer must begin withholding for child support on the next payday that occurs after receiving a notice to withhold. The amount withheld must be forwarded to the appropriate court or agency within seven business days after the employee's payday. See Child Support Withholding.
• Any employer served with a writ of garnishment against an employee's wages must respond by filing an answer providing certain information within 20 days of receipt. New Mexico law limits the amount of disposable income that is subject to creditor garnishment. See Creditor Garnishment Withholding.
• The state has the right to issue levies against employees' wage for the payment of unpaid taxes. Tax levies remains in effect until the tax is fully repaid. New Mexico law limits the amount of disposable earnings subject to levy. See Tax Levies.
• Voluntary wage assignments made by employees are invalid in New Mexico unless certain conditions are met. The amount of an employee's disposable wages subject to assignment is limited. See Voluntary Wage Assignments.