| Wage garnishment is the government's most powerful | | | | federal and state taxes. |
| tactic. It is absolutely vital that any person having a | | | | What does that mean to me? The governement can |
| quarrel with the IRS knows exactly what the | | | | garnish every dollar you earn beyond the tiny |
| garnishment of wages is and how severely it can | | | | exemption they let you keep. Let's look at an example: |
| impact ordinary life. | | | | - A married person with two exemptions would only |
| And, perhaps most importantly, everyone needs to | | | | be able to take home $359.62 per week |
| know how to steer clear of the garnishment of wages | | | | - If you are single and claiming one exemption your |
| altogether. | | | | take home pay would only be $179.81 |
| The Garnishment of Wages Explained | | | | It goes without saying that it would be close to |
| Wage garnishment is the expression used for the | | | | impossible to pay your mortgage or rent, heat, |
| Uncle Sam's power to seize part of your paycheck | | | | electricity, car loan payments, credit card bills, day care, |
| until the moment your tax debt is totally paid off. This | | | | or even food with that tiny amount of money. |
| can only happen after: | | | | Thank goodness IRS wage garnishment can be |
| - the governement has assessed the tax | | | | averted if you do something about it right away. It is |
| - they have sent a couple of notices to you, including a | | | | necessary that you act the moment you get the |
| Demand for Payment and a Final Notice. | | | | Notice and Demand for Payment. Get in touch with |
| The Internal Revenue Service can then contact your | | | | Uncle Sam right away and schedule an appointment to |
| boss and have money taken directly out of your | | | | discuss the possibility of a settlement. If you can |
| paycheck every pay period. | | | | negotiate skillfully enough you will be able to come to |
| How Much Can They Take? | | | | an agreement on a payment plan that will give you |
| The Consumer Credit Protection Act (CCPA) explains | | | | sufficient money to pay your bills while you satisfy |
| that a creditor cannot claim any more than a quarter | | | | your IRS debt. |
| of your wages, but makes a huge exception for | | | | |