How Much Can Your Wages Be Garnished?
For ordinary debts like credit cards and medical bills, federal law limits garnishment to the lesser of 25% of disposable earnings or the amount by which weekly disposable earnings exceed 30 times the federal minimum wage. Some states protect more. Child support can take 50% to 65%, and federal student loans and taxes have their own rules. Employers cannot fire you for a single garnishment.
Wage garnishment is a court or government order requiring your employer to send part of your pay to a creditor. Federal law caps how much can be taken, and many states go further.
Ordinary debts: the 25% rule
For most private debts collected through a court judgment, the maximum weekly garnishment is the lesser of (15 U.S.C. 1673; DOL Fact Sheet 30):
- 25% of your disposable earnings, or
- The amount by which your disposable earnings exceed 30 times the federal minimum wage ($217.50 per week at $7.25 an hour)
If your disposable pay is $217.50 a week or less, nothing can be garnished for ordinary debts under federal law. "Disposable earnings" are what remains after legally required deductions such as taxes.
Special debts with higher limits
| Debt | Limit |
|---|---|
| Child support and alimony | Up to 50% of disposable earnings if supporting another spouse or child, 60% if not, plus 5% more if more than 12 weeks behind (15 U.S.C. 1673(b)) |
| Federal student loans | Administrative garnishment up to 15% of disposable pay, without a court order, after notice and a chance for a hearing |
| Federal taxes | IRS levies use a different formula based on exemptions |
| Bankruptcy court orders and state taxes | Not limited by the 25% rule |
State protections
Some states ban wage garnishment for consumer debts or set lower limits. When both laws apply, the one that protects more income controls.
Bank accounts and benefits
Social Security, SSI, VA and certain other federal benefits deposited by direct deposit are protected: banks must shield two months of these benefits from most garnishments (31 CFR 212.6), although benefits can be taken for child support, federal taxes and federal student loans in limited amounts.
Job protection
Employers cannot fire you because your wages were garnished for any one debt (15 U.S.C. 1674). Multiple garnishments are not protected federally, though some states protect more.
How to stop or reduce garnishment
- Claim exemptions with the court; many states have hardship exemptions.
- Negotiate a payment plan with the creditor.
- Challenge the underlying judgment if you were never properly served.
- File bankruptcy; the automatic stay stops most garnishments. See Chapter 7.
A bankruptcy lawyer can review exemptions and options. See also if a debt collector sues you.
Sources
- U.S. Department of Labor: Fact Sheet 30, Federal wage garnishment law
- Cornell Law School LII: 15 U.S.C. 1673, Restriction on garnishment
- Cornell Law School LII: 15 U.S.C. 1674, Restriction on discharge from employment by reason of garnishment
- Cornell Law School LII: 31 CFR 212.6, Rules for garnishment of protected federal benefits
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This article is general legal information, not legal advice, and reading it does not create an attorney-client relationship. Laws differ by state and change over time; talk to a licensed attorney in your state about your situation.