Employee Holdback
Overview
The employee holdback for biweekly
payrolls is designed to help employees manage the cash flow
from their paychecks by equalizing the net pay between the
first and second paychecks of the month. Medical
insurance deductions are taken out of the check for the
first biweekly period ending in the month and most other
deductions are taken out of the check for the second
biweekly period ending in the month. Since medical
insurance premiums are typically larger than other
deductions, the first paycheck's net amount is usually less
than the second paycheck. To make the net pay on both
checks more equal, the employee may now choose to have
dollars withheld from the check for the second biweekly in a
month and added back to the check for the first biweekly pay
period in the next month. This can help offset the
larger medical deduction.
Enrollment/Cancellation Form
The form to enroll or cancel the employee holdback should be sent to the University-Wide Payroll office by the 15th of the month to be effective for that month.
Contact
Director
P115 Andy Holt Tower
Knoxville, TN 37996
865-974-5251 Phone
865-974-3530 Fax