Wage Garnishments can come up unexpectedly.
If you have just received a Wage Garnishment notice, it means someone has filed a judgment against you. The wage garnishment judgment has been sent to your place of employment, and your employer is coming to you to inform you that the wage garnishment will be deducted from your paycheck.
What does this mean for you, and what do you need to know?
1) Is the garnishment valid?
You need to be sure that the judgment is for debts you actually owe. If you do not get
the information about what the judgment is for, you could get yourself into trouble and be paying for debts you do not owe. Be sure you ask the following three questions:
1) Where is the judgment filed?
2) Is the judgment from a county or district court?
3) Are you the proper / legal recipient?
2) Know the total amount of garnishment and what is actually being deducted.
In Arkansas, up to 25% of your net pay can be garnished. It’s important to talk to you employer or payroll provider to make sure that they have figured the percentage correctly. By law, wage garnishments cannot exceed 25% of your total take home pay. Even if you have multiple judgments against you, the total garnishment cannot exceed 25%.
3) Understand the cost of the wage garnishment.
It is important that you understand the total amount of the wage garnishment. Is there
interest involved or filing fees from your employer? Sometimes there is interest associated in the garnishment amount that could make the garnishment continue for a longer time than originally expected or anticipated. We want you to know how much you will pay in total, including the interest.
It is important that you know how many months it will take before the garnishment is removed from your paycheck. Knowing the exact amount and when the garnishment should be removed is your responsibility.
If you’ve been told you are receiving a wage garnishment, it’s time to act. Contact us at the Story Law Firm and we will help you through this process.