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Most of Garnishment Of Wages are done through order of the court, but some are through legal or just procedures. Garnishment Of Wages does not include circumstances in which employees willingly agree that their employers may turn over some particular amount of their earnings to a creditor. Garnishment Of Wages arises when an employer refuses to give the wages of an employee for the payment of a debt as the effect of a court order or other just course of action. At the time of the garnishment, the debtor is sent an advance notice of the garnishment, indicating the debt that is being enforced.
In general, one third of pensions, wages, salaries, unemployment benefits and maternity benefits can be subject to garnishment. However, social subsidies, such as rent support and child subsidies cannot be garnished. The garnished amount is computed from the debtor’s net income after deducting tax. It is required by law that an amount if the debtors wage be left ungarnished to the livelihood of the debtor and his family.
Reports need to be prepared and submitted every quarter showing the amount of money withheld from the employee and paid to the creditor. Keep in mind though that garnishment does not always result in recovery of money or property. A wrongful garnishment can result in the offender having to pay thousands of dollars in damages to the person subjected to the wrongful garnishment.
After a year of being in effect, the debtor can now be entitled to apply for leniency, in the form of one to three holiday months. Holiday months can be granted, provided that after the wage garnishment, the debtor is left with money that just barely exceeds the protected portion or, the necessary living expenses of the debtor are high or, there is another special reason for the holiday.
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