Garnishment: How Does it Work?

What is Wage Garnishment?

Wage garnishment is an order by the court requiring an employer to withhold funds from an employee’s paycheck to repay a judgment. In Florida, that amount may be up to 25% of the individual’s disposable earning per pay period.

For a bank garnishment, your banking institution may withhold fund up to 2 times the amount of the judgment.

What must Occur before Garnishment?

Garnishment typically happens when a debt collector or creditor sues for an outstanding debt and wins. Whether the consumer failed to respond to the lawsuit, or the defense lost at trial, a judgment results. (Side note: a judgment is valid for 20 years if left unpaid)

You CANNOT go to jail for failing to pay a debt or a judgment.

After entry of the judgment, the court enters an order allowing garnishment and notice is sent to your employer or bank and they will start withholding funds within 5-30 days. Notice of the garnishment is later sent to you.

Florida law limits the amount a creditor or debt collector can take or “garnish” to repay your debts. The Florida wage garnishment laws (also called wage attachments) generally follow the federal wage garnishment laws, but some exemptions are available in Florida which might limit a creditors rights to garnish your wages.

What to do When you get a garnishment judgment?

First, carefully read the judgment to verify the information is correct. Confirm the judgment is not for a debt you have already paid. If it is, legal action may be taken against the debt collector, and under FL law you may be entitled to money under the statute.

Next, you may contact an attorney to see what your options are to resolve the debt in the judgment.

What can be done about Garnishment?

You have legal rights including a limit on the amount that can be withdraw, and can take steps to lessen the effect.

Exemption: Head of Household Exemption:
– If you are head of your household and your wages are $750 or less per week, your wages cannot be garnished.
– This exemption however is not automatic. You must claim it by filing an affidavit in the court when you receive notice of garnishment.

Dispute: You can file a dispute if the notice contains incorrect information or you do not owe the debt.

Protected Income: Income from Social security, worker’s compensation, unemployment benefit, and veterans benefit are exempt from garnishment.

Even if these incomes are in a bank account they are still protected and exempt.