Rochester, New York
2468 E Henrietta Rd.
Rochester, NY 14623
585-334-4270

What Are the Federal Laws Regarding Wage Garnishment? December 7, 2017

Rochester, Monroe
What Are the Federal Laws Regarding Wage Garnishment?, Rochester, New York

If you’re in debt, you may be subject to wage garnishment, or the automatic withdrawal of funds from your earnings. There are federal laws governing the garnishment of wages, and it’s important you fully comprehend them to ensure any money collected from you is taken in the appropriate manner. In Rochester, NY, debt relief lawyer Robert A. Schwartz helps clients comprehend federal laws, while also offering dependable legal services for a range of issues.

A Guide to Wage Garnishment & Federal Regulations

Are There Limitations on Wage Garnishments?

There are limits on how much of your wages can be garnished to cover an outstanding debt. According to the United States Department of Labor, garnishment amounts must be based on a person’s disposable earnings, which is the amount of income left over after taxes and other deductions are taken out. In this case, wages garnished cannot exceed 25% of an individual’s disposable earnings or any amount in excess of 30 times the federally mandated minimum wage, which is currently set at $7.25.

What Is Considered Earnings?

wage garnishmentAccording to federal law, earnings that can be garnished are considered those offered in compensation for personal services. These include wages or salaries stemming from employment, bonuses, commissions, payouts from retirement accounts, and disability benefits.

Tips can also be garnished, but only if they’re considered the regular wage of an employee. If tips exceed the current tip credit amount, or a credit is not claimed by an employer, then these can’t be touched.  

Whether you’re in search of bankruptcy assistance, need help with estate planning, or have questions regarding wage garnishment, Robert A. Schwartz has three decades of legal experience that can garner the best results possible. Visit his practice online for more information on the full range of legal services available to clients in Rochester. You can also call (585) 334-4270 to schedule your consultation.

Other Announcements, Events and Deals from Robert A. Schwartz
Why It Is Essential to Seek Legal Representation Prior to Real Estate Closings, Rochester, New York
For most people, buying a home is the largest purchase they will ever make. Even if you happen to find an incredible deal on a property, though, it is wise to protect your investment...read more
What Situations Make Home Foreclosure a Smart Move?, Rochester, New York
While nobody wants to lose their home, there are some scenarios in which a home foreclosure may actually be beneficial to your situation. A foreclosure will undoubtedly have an impac...read more
3 Vital Rights When You're Facing Wage Garnishment, Rochester, New York
If a creditor obtains a judgment against you, they can take steps to seize a portion of your wages to recover what you owe. When a creditor serves a Wage garnishment &...read more
Do You Have to Go Through Home Foreclosure to File for Bankruptcy?, Rochester, New York
If you’ve fallen so far behind on your debts that you have no hope of keeping your head above water, bankruptcy can be the only way of getting your life back on track. However, there...read more