PS Form 1007, the Employee Debt Modification Request, is how current USPS employees consent to or adjust the repayment of a debt the Postal Service says they owe. You complete it through the eIWS OnLine Forms application after receiving a Letter of Debt Determination, and you have 30 calendar days from the date on that letter to file. If you requested postal records about the debt, the window shrinks to 15 calendar days from the date you received those records.
Deadlines Running Against You
The clock starts the day the Letter of Debt Determination reaches you. Several deadlines run from that date, and they’re calendar days, so weekends and holidays count.1United States Postal Service. Employee and Labor Relations Manual – 452 Procedures Governing Administrative Salary Offsets
- 10 calendar days to request copies of postal records related to the debt.
- 30 calendar days to submit Form 1007 through eIWS consenting to voluntary offsets of 15 percent or more of disposable pay. If you requested records, this window becomes 15 calendar days from receipt of those records.
- 5 calendar days after receiving a Notice of Involuntary Offset to propose an alternative offset schedule to the district finance manager.
- 15 calendar days after receiving a Notice of Involuntary Offset to petition the USPS Judicial Officer for a formal hearing.
Missing the 30-day window doesn’t erase the debt. It moves collection onto the involuntary track, where the agency sets the repayment amount and schedule rather than you.
Getting Into the Form
Form 1007 lives inside the eIWS OnLine Forms application on the USPS internal network at olf.usps.gov/OLF.2United States Postal Service. New Debt Collection Notice Policy If you can’t get in, ask your supervisor or manager to initiate it for you. The Employee and Labor Relations Manual says explicitly that the request “can be initiated with the local supervisor’s or manager’s assistance.”1United States Postal Service. Employee and Labor Relations Manual – 452 Procedures Governing Administrative Salary Offsets
Before you open the form, pull the Letter of Debt Determination and have these ready:
- Your Employee Identification Number.
- The debt case number and invoice number from the letter.
- The name and address of the official who issued the letter.
- The total debt amount.
- The repayment terms you want to propose.
Call the official listed on the letter before you fill anything in. That person can confirm the debt amount, explain how it was calculated, and tell you which modification options apply to your situation.
What Terms You Can Actually Propose
The standard involuntary offset is 15 percent of disposable pay per pay period for nonbargaining unit employees. Bargaining unit employees are subject to 20 percent of gross pay per pay period, with the agency applying whichever amount is lower when the offset begins.3United States Postal Service. Employee and Labor Relations Manual – Collection of Postal Debts From Nonbargaining Unit Employees by Salary Offset
Disposable pay isn’t gross salary. It’s what’s left after retirement contributions, FICA and Medicare, federal income tax, state and local income tax, and employee-paid federal health insurance premiums come out.3United States Postal Service. Employee and Labor Relations Manual – Collection of Postal Debts From Nonbargaining Unit Employees by Salary Offset Do the math on a recent pay stub before you commit to a number.
Through Form 1007, the floor is 15 percent of disposable pay. You can offer more to pay the debt down faster. You cannot use Form 1007 to consent to less than 15 percent. Going below that floor requires the alternative-schedule process or a hearing petition, both discussed below.
When you enter your terms, be specific. Give the dollar amount per pay period, the number of pay periods needed to clear the balance, and the date you want the first deduction to start. The numbers should add up to the full debt. A proposal that leaves a gap tends to come back.
Documenting Hardship If You’re Asking for Modified Terms
If your proposal deviates from the standard offset or you’re arguing the standard rate would cause severe hardship, the paperwork carries the argument. The agency looks at your finances for the year before the debt notice and across the repayment period you’re proposing. Attach:
- Recent pay stubs, tax returns, and records of other household income.
- Monthly expenses covering housing, utilities, food, transportation, clothing, and medical care.
- Outstanding debts, child support, and any court-ordered payments.
- Bank statements, retirement account balances, and loan balances.
- The number of dependents relying on your income.
Vague hardship claims without numbers rarely land. If you have exceptional expenses like ongoing medical treatment or a family emergency, document those separately.
What Happens After You Submit
The Eagan Accounting Service Center receives the request, and an official reviews your proposed terms against your documented finances. Consent at the standard 15 percent moves quickly. Modified schedules and hardship proposals take longer because the agency has to evaluate the numbers.
The response comes in writing to the address you provided. It either accepts your terms, counters with different ones, or denies the request. Accepted terms usually start in the next available pay cycle. A counter you can take or leave; declining pushes you toward the hearing track.
For status checks or debt questions, the Accounting Help Desk is 866-974-2733. Have your Employee ID, the invoice number, and your employing office ready before you call.4United States Postal Service. 2012 Tax Information: Form W-2 Wage and Tax Statement; Form 1099
If You’ve Already Received a Notice of Involuntary Offset
Form 1007 is the voluntary-consent path. If a Notice of Involuntary Administrative Salary Offsets has already been issued, you’re on a different timeline with tighter deadlines.
Within five calendar days of that notice, you can propose an alternative offset schedule to the district finance manager.1United States Postal Service. Employee and Labor Relations Manual – 452 Procedures Governing Administrative Salary Offsets This is the track that lets you go below the 15-percent floor, but only with a written hardship statement and full financial documentation: total family income, assets, liabilities, dependents, expenses, the amount you can pay per pay period, the number of pay periods needed, and a proposed start date.
Within 15 calendar days of the notice, you can petition the USPS Judicial Officer for a formal hearing to challenge the existence of the debt, dispute the amount, or argue severe hardship.5eCFR. 39 CFR 961.4 – (Rule 4) Employee Petition for a Hearing Filing a timely petition triggers an automatic stay: the Postal Service must stop all offset activity until the Hearing Official resolves the case.6Government Publishing Office. 39 CFR 961.5 – Effect of Filing a Petition Petitions go electronically to https://usps-judicialoffice.journaltech.com or by mail to the Recorder, Judicial Officer Department, United States Postal Service, 2101 Wilson Blvd, Suite 600, Arlington, VA 22201-3078.1United States Postal Service. Employee and Labor Relations Manual – 452 Procedures Governing Administrative Salary Offsets A Hearing Official can waive the 15-day deadline for good cause, but that’s not something to plan around.
Former Employees Can’t Use This Form
The salary offset procedures in ELM Sections 450 and 460, including Form 1007, apply only to current employees.7United States Postal Service. Employee and Labor Relations Manual – 460 Collection of Postal Debts From Bargaining Unit Employees by Salary Offset After separation, USPS collects under 31 U.S.C. 3716 and ELM Sections 470 and 480, which allow administrative offset against any payments the Postal Service or the federal government owes you, including tax refunds and retirement benefits, with narrower procedural rights.8United States Postal Service. Employee and Labor Relations Manual – 470 Administrative Offsets for Former Postal Service Nonbargaining Employees If you’re planning to retire or resign with an open debt, resolving it while you’re still on the rolls keeps the Form 1007 and hearing options available.