| There are many ways to avoid wage garnishments | | | | weekly garnishment amount cannot go over these |
| from happening, but once a consumer is faced with a | | | | two figures. This figure is based upon a person who |
| wage garnishment, it is very important that they | | | | receives a weekly pay check, however, if you are |
| become well versed in the federal wage garnishment | | | | paid bi-weekly or monthly, then the wage garnishment |
| laws that are designed to protect them. People can | | | | will be recalculated and the amounts reflected based |
| enter into wage withholding situations voluntarily with | | | | upon that information. |
| the IRS, and not all wage garnishments are the result | | | | As with any federal wage garnishment laws, there are |
| of a court injunction. These laws have amendments | | | | exceptions as to what income is taxable or not and |
| and clauses therein to protect the average consumer | | | | you have rights to contest withholding of certain types |
| from being left completely destitute and financial | | | | of income. This income is as follows but not limited to |
| destruction. The Consumer Credit Protection Act, Title | | | | the following: child support, veterans pay, government |
| III, expressly limits the amount of income that is subject | | | | pension payments, unemployment benefits, public aid, |
| to federal withholding and prohibits an employer from | | | | funds in a community or joint account shared with |
| taking adverse action against an employee for having | | | | others including a spouse, and various other types of |
| a wage garnishment. | | | | income provided to you by the state. In order to |
| The only income that is subjected to garnishment is | | | | protect this income from garnishment actions you will |
| the after-tax income, they do not garnish the income | | | | need to consult with a tax professional and have them |
| based upon the gross earnings. Taxable income would | | | | file a document with the courts within 28 days of |
| include, state, local, and federal taxes, as well as any | | | | receiving your garnishment notice. |
| deductions made for health insurance, union dues, 401K | | | | You may be able to avoid legal action being taken by |
| or retirement deductions, previous wage garnishments, | | | | contacting the IRS and working with them to come to |
| child support, social security, savings bonds or charity | | | | some type of agreement, thus avoiding wage |
| deductions. Also any type of income being withheld for | | | | garnishments or bank levies altogether. Certain |
| the purpose of an employee loan are also exempt | | | | taxpayer actions may extent the statute of limitations |
| according to federal wage garnishment laws. | | | | and allow the IRS more time to collect. You must be |
| How much money can they take from me? | | | | aware the IRS will continue to seek withholdings until |
| Federal wage garnishment laws require that a only a | | | | the debt is paid in full. There is no laws around that are |
| certain amount of income may be withheld in a certain | | | | going to protect you if you run and try to hide from the |
| pay period. The figures set up are as follows: | | | | IRS, so it's best to face it head on and be prepared. |
| twenty-five percent of the employees after tax | | | | What to do when you are facing a IRS wage |
| income or the amount by which the after tax income | | | | garnishment |
| is thirty times more than the federal minimum wage, | | | | If you find yourself facing with an IRS wage |
| and minimum wage standards vary state by state, the | | | | garnishment and are confused about federal wage. |