A wage garnishment occurs when a court orders a portion of a person’s earnings to be withheld to satisfy a debt. When your wages are being garnished, the payroll department at your job will calculate the amount to be withheld and pay it to the creditor on your behalf.
Need-to-Knows About Georgia Garnishment Law
When faced with a garnishment issue, it is important to know your rights as well. Here are a few important details about wage garnishment;
- Title III of the Consumer Credit Protection Act is a federal law that protects someone who is subject to garnished wages. The law limits the amount that can be taken from the employee’s check and protects them from being terminated for a single garnishment.
- Ordinary garnishments cannot exceed the lesser of two amounts: 25 percent of disposable income or the amount by which the person’s income exceeds 30 times the federal minimum wage.
- Child support or alimony garnishments amounts may be higher. The law allows for a garnishment of 50-60 percent of an employee’s disposable income.
- A tax garnishment may be levied to collect back taxes owed to the federal or state governments.
How Can You Stop Garnishment?
Once a garnishment has been ordered by the courts, your employer’s payroll department is bound by the order. They are not allowed to refuse the garnishment order and you are not able to change the amount withheld. If you are facing a wage garnishment in Georgia, you have a few options available to stop garnishment:
- Chapter 13 bankruptcy may be an option if you have a steady income that can otherwise cover your debts. This type of bankruptcy allows you to reorganize your debt and make an arrangement to pay your debts over the next three to five years.
- Chapter 7 bankruptcy will offer immediate protection from collection activity, including some garnishments. Chapter 7 bankruptcy can be used to liquidate consumer debt. It does not apply to tax debt or family obligations like back child support or alimony payments.
If you are facing wage garnishment in Georgia, the good news is that we can help. Our experienced Morgan & Morgan attorneys can help you explore your legal options to organize or liquidate your debt.