Finance

Important Facts to Know About Wage Garnishments

Garnishment is simply a way to get money from someone who has unpaid debts. A government agency or court may require you to deduct additional funds from an employee’s paycheck if you owe money. In general, the employee’s debts are paid off by holding the wages. Garnishments can be imposed for outstanding bills by the IRS, non-tax govt agencies, and state tax collection agencies.

When a debtor fails to make their agreed-upon payments, the wage garnishment procedure is initiated. A medical bill, vehicle loan, civil judgment, child support order, school loan, federal tax bill, or state tax bill are just a few examples of the several types of outstanding debt that could exist. For government entities court order is not required to garnish wages. On the other hand, for non-government entities, a court order is essential to garnish wages.

Wanted to know about garnished wages without notification? Consumers need to be informed before a wage garnishment is initiated. In fact, wage garnishment does not happen without sending a notification to you. It is crucial to act quickly if you have received any information about an impending pay garnishment. The sooner you contact an attorney, the better off you will be.

Up to 25% of the disposable income can be garnished. Your wages cannot be garnished, if the disposable income is 30 times or less than the federal minimum wage. If you owe alimony or child support, around 50% of your wages can be garnished. To know in detail about this, it is better to contact an attorney.

When you get the judgement regarding the garnishment, ensure that you read it carefully first. Check if all the information provided there is correct or not. Verify that the details related to the debt are yours or not. Think about the amount that will be deducted and the impact it will have on your finances.

Take your time to decide what best can be done in this case. If you do not have any idea about it, it would be better to take the help of an experienced attorney in your location. Meet an attorney who specifically deals with this kind of cases.

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