Child maintenance deductions from pay: employer guide 2026/27

Child maintenance deductions form part of payroll where an employee has a legal obligation to support a child.

Employers must apply these deductions when instructed by the Child Maintenance Service (CMS) or through a court order. Accuracy and timing matter, as errors can lead to compliance issues and employee disputes.

This guide sets out how child maintenance deductions work for 2026/27 and what employers need to manage.

How child maintenance deductions work

Child maintenance is usually collected through a Deduction from Earnings Order (DEO) issued by the Child Maintenance Service.

Once received, the employer must begin deductions from the next available pay period.

The employer:

• calculates the deduction based on CMS instructions
• applies the deduction through payroll
• pays the amount directly to CMS

The employee cannot opt out of these deductions. Only CMS can amend or stop the order.

Types of deduction orders

CMS uses two main types of deduction:

Deduction from Earnings Order (DEO)
This applies a set percentage based on the employee’s net earnings.

Deduction from Earnings Request (DER)
This is a voluntary arrangement where the employer is asked to make deductions, but the employee must agree.

Most cases use DEOs, which are legally enforceable.

2026/27 deduction rates

Child maintenance deductions are based on a percentage of net earnings. Net earnings include pay after tax, National Insurance and pension contributions.

Higher rates can apply in certain cases, such as arrears or enforcement action.

Protected earnings

A protected earnings rate applies to make sure the employee keeps a minimum level of income after deductions.

This is set within the DEO notice.

Employers must:

• check the protected earnings amount before processing deductions
• reduce or stop deductions if the employee’s net pay falls below this level

Failure to apply protected earnings correctly can lead to over-deductions.

Administration fee

Employers can deduct an administration fee of £1 per deduction from the employee’s pay.

This is taken in addition to the maintenance deduction.

Priority of deductions

Child maintenance deductions take priority over most other deductions from pay.

The general order of priority is:

• PAYE tax and National Insurance
• Child maintenance (DEO)
• Other attachment orders

This means child maintenance is applied before most other court orders.

Multiple orders

An employee may have more than one deduction order in place.

Where this happens:

• priority rules must be followed
• total deductions must not reduce pay below the protected earnings level

If earnings are not enough to cover all deductions, employers must follow CMS guidance on how to allocate payments.

Payment deadlines

Employers must send deducted amounts to CMS by the 19th of the following month (or 22nd if paying electronically).

Late payments can lead to penalties or enforcement action.

What employers should do now

• Ensure payroll systems can process DEOs accurately using net pay calculations
• Check protected earnings limits are applied correctly before each deduction
• Monitor CMS notices and apply changes from the next pay period
• Make payments to CMS on time to avoid penalties
• Keep clear payroll records of all deductions and payments

Need support with payroll compliance

Child maintenance deductions require careful handling within payroll. Clear processes reduce risk and support compliance with CMS requirements.

dhpayroll supports employers with payroll management and compliance, giving you accurate reporting and confidence in your payroll processes.