Wage garnishment occurs when an employer is required to withhold the earnings of an individual for the payment of a debt in accordance with a court order or other legal or equitable procedure (e.g., a debt owed by the individual to a credit card company).
Employer support for handling a wage garnishment. Dealing with a wage garnishment can be difficult for the employer, as well as the employee, but there are a few things that can help ease the ...
Other Wage Garnishment Information. Gross wages for the purpose of wage garnishment for collectible state taxes is defined as wages, salary, commissions, bonuses, employer-controlled tips and employee stock options once exercised. This Wage Garnishment Order should be paid before any other garnishment or withholding orders received subsequent ...
It is important that New York employers accurately and appropriately manage wage garnishment while remaining in compliance with the law. Wage garnishment, commonly known as income execution, is an order from the court or a government agency that is sent to an employer.
A wage garnishment is a specific type of garnishment in which a creditor or government agency (such as the IRS) requires an employer to garnish the wages of an employee. Some instances where wage garnishment is used might be for payment of debts, child support, or unpaid taxes.
Wage garnishment is a legal procedure in which a person s earnings are required by court order to be withheld by an employer for the payment of a debt such as child support.
State laws define execution procedures for most wage assignments. Although such laws may vary slightly, most require that the creditor provide you with a copy of the request for the order, the order and a claim exemption form, which protects certain types of income, such as disability and Social Security, from garnishment.
The wage garnishment provisions of the Consumer Credit Protection Act (CCPA) protect employees from discharge by their employers because their wages have been garnished for any one debt, and it limits the amount of an employee's earnings that may be garnished in any one week.
Also, keeping employers on their toes, Vermont's laws refer to this process as "trustee process against earnings" rather than wage garnishment. Tennessee: If You Pay Them, We Can Garnish
And because state laws differ (North Carolina, South Carolina, Pennsylvania, and Texas generally prohibit wage garnishment for consumer debts altogether), employers should ascertain what's required of them by state law before proceeding with garnishment.