Wage Garnishment Lawyer Kansas City MO

Wage Garnishment

Wage garnishment is a legal and equitable process wherein a part of the employee wage is deducted or withheld before it is given to him. This is for the payment of the employee debts. It is a process which only the court can grant and pertains to payment of debts, unpaid taxes, and other non-tax debts owed to the federal government. This situation contemplates a situation wherein a creditor has sued a debtor for unpaid debts and won.

Title III of the Consumer Credit Protection Act

The pertinent law governing garnishment of employee’s wages is Title III of the Consumer Credit Protection Act.

  1.   Coverage. The law covers any person who receives earnings from personal services.
  2.  Protection. The protection granted by the law is that against being terminated or fired when the employee’s wage is garnished. This not only to protect the employee but also to ensure that his debts are paid.
  3.  Maximum. The maximum allowable garnishment from wages is 25% of an employee’s earnings for a week or the amount by which his disposable earnings for that week exceed thirty times the Federal minimum hourly wage prescribed by section 206 (a)(1) of title 29 in effect at the time the earnings are payable, whichever is less.
  4. Disposable Earnings. Disposable income is determined by subtracting from the total paycheck the necessary deductions. Necessary deductions include federal and state taxes, unemployment insurance taxes, Social Security, and retirement deductions.

Contact US

An employee’s wage is very important to him/her. That is why wage garnishment should be made as a last resort. To be better guided with regard to wage garnishment, feel free to contact Paulus Law Firm.