Wage Garnishment
A court- or agency-ordered deduction taken directly from a debtor's paycheck to satisfy a debt.
Wage garnishment means a creditor gets to pull money directly out of your paycheck — but usually only after they’ve sued you and won a judgment. Once an employer gets a valid garnishment order, they’re legally required to withhold the specified amount from every check and send it off, until the debt’s paid or the order is lifted.
For most everyday debts — credit cards, medical bills, personal loans — a creditor can’t touch your wages without going to court and winning first. Other withholding follows different authority: the IRS uses a federal tax levy, federal agencies collecting non-tax debt may use AWG, and child support generally uses an IWO tied to a support order rather than a new creditor lawsuit.
Federal law puts a ceiling on how much can actually be taken for most judgment debts: the lesser of 25% of your disposable earnings, or whatever’s left once your weekly pay clears 30 times the federal minimum wage. “Disposable earnings” means after taxes and Social Security come out — not your gross pay, and not after voluntary deductions like insurance or a retirement contribution come out too.
A lot of states go further than that federal floor. A handful — Texas, Pennsylvania, North Carolina, and South Carolina among them — don’t allow wage garnishment for ordinary consumer debt at all, with the usual exceptions for taxes and child support. This site’s state-specific figures are being verified and rolled out state by state, but the federal floor above always applies as the baseline no matter where you live. Run your own numbers with the wage garnishment calculator, which includes overlays for 12 states.
Frequently asked
Can my wages be garnished without a court hearing?
For most private debts, no — a creditor has to sue you and win first. The IRS uses a federal tax levy; federal agencies collecting non-tax debt may use administrative wage garnishment (AWG); and child support generally uses an Income Withholding for Support order or notice (IWO), without a new creditor lawsuit.
— US Debt Compass Editorial Team
Can I be fired for having my wages garnished?
No — federal law (Title III of the Consumer Credit Protection Act) makes it illegal for an employer to fire you over a single wage garnishment. It doesn't protect you if you end up with multiple garnishments from different debts, though.
— US Debt Compass Editorial Team