Garnishment is a process where a creditor, through a court order, can garnish a portion of a debtor's wages to satisfy the outstanding debt owed by the debtor. While garnishment is legal in California, state laws protect debtors from excessive garnishment. Chapter five of the California Code of Civil Procedure governs garnishment in the state.
Federal Law
The California Code of Civil Procedure mimics the federal law with respect to the total percent of wages that can be garnished. Through federal law, creditors are prohibited from collecting excessive wages through garnishment. Under U.S.C. Title 16 Section 1673(a) creditors cannot collect more than 25 percent of the debtor's disposable earnings. California's law mimics the Federal law.
California's Additional Exemption
Section 706.051 of the California Code of Civil Procedure creates an additional exemption by permitting employees to declare a greater portion of disposable earnings if they need additional funds to cover their basic living expenses. The additional exemption will be permitted as long as the debt was not incurred from previous living expenses or is the result of delinquent child support or alimony payments.
Limitations
The debtor's disposable income after garnishment must be equal to or more than 30 times the federal minimum wage. If the resulting income is less than that, a lower percentage of the debtor's wages must be taken. In other words, the debtor must have at least 30 times the federal minimum wage for his disposable earnings after garnishment. If the debtor's income is low, the full 25 percent permitted by law may not be taken.
Employer Compliance
Section 706.152 of the California Code of Civil Procedure requires California employers to explicitly comply with garnishment orders and withhold funds. Failure to do so subjects the employer to civil and criminal penalties. Under California law, it is a misdemeanor for failing to withhold garnished wages.
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