Posted March 2, 2017
At the request of the federal Office of Child Support Enforcement, NACHA has added a new code to the Child Support Banking Convention. The purpose of the Child Support Banking Convention is to provide an employer with an electronic method for sending child support obligations withheld from employees’ wages to the State Disbursement Unit (SDU).
The new code “UC” is used to identify payments remitted by an Unemployment Compensation Agency that represent monies withheld from an obligor’s unemployment compensation and disbursed to the child support agency’s SDU. This code is to be used in the DED01 Application Identifier field, and can be used as of this publication today. The new “UC” code is being added to the X12 820 Transaction Set and will be available for use in version 7050 or later when the new version is released at the end of the year.