If you owe money and have not paid your debt, a creditor can go to court and have a judgment sought against you. If a judge rules against you, a wage garnishment can be filed with your employer, requiring him to withhold some of your wages. In Georgia, there are certain protections for your wages in place on the federal level but not on the state level.
Federal Restrictions
In Georgia, an employer can only garnish 25 percent of your weekly salary, or the amount of money that remains in your check after subtracting 30 times the federal minimum wage --- whichever is the smaller amount. For example, if your check at the end of the week is for $200, you would owe $50 if you used the 25 percent rule, or you would owe $17.50 by using the second method (federal minimum wage as of January 2011 = $7.25 per hour multiplied by 30 = $217.50). Since the guidelines state that you will pay the lesser amount, you'll owe $17.50 as opposed to $50.
Challenges
Under Georgia law, when a creditor goes to the employer and turns over the paperwork for garnishment, you can challenge both the garnishment and the amount you're being garnished. Additionally, your employer can also challenge the garnishment.
Exemptions
Even though a percentage of your wages might be withheld, any Social Security benefits and any money you receive from pensions is not able to be garnished.
Taxes
Owing money to a creditor is not the only way to incur a wage garnishment. If you owe tax money, either on the federal level or to the state of Georgia, you might find your wages garnished. For this reason, if you know that you owe back taxes, contact the agency in charge of those taxes and try to work out a payment plan; the agency might give you an Offer in Compromise, in which the amount you owe might be reduced.
Child Support
Federal law states that the first garnishment must go toward child support payments, with the remainder being applied to other creditors. This remains in place until the child support payments are current, at which time the other garnishments will receive more money.
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