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Tuesday, April 21, 2026

What Is Wage Garnishment & How Does It Work? - Forbes

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Having to garnish an employee’s wages can be challenging for you and your payroll department. In addition to federal wage garnishment rules, you’ll also need to take into account state laws. And penalties for noncompliance can be onerous. In this guide, we’ll take you through how wage garnishment works so you’ll have a better understanding of the process.

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What Is Wage Garnishment?

Wage garnishment is a legal procedure in which an employer is required to withhold a portion of an employee’s wages as payment for outstanding debt. While the process is typically initiated by a court order, in some situations, a court order may not be required. For example:

  • For unpaid taxes, the IRS is authorized to initiate wage garnishment via an IRS levy.
  • In the case of federal student loans, the loan holder can order an employer to garnish an employee’s wages without applying to court.
  • In many states, child support agencies can garnish an employee’s wages without a court order.

Types of Garnishment

From a legal perspective, a garnishment is a court order instructing a third party to seize an individual’s property to pay for an outstanding debt. There are two types of garnishment:

Wage garnishment. As its name indicates, in this type of garnishment an individual’s employer is required to garnish the individual’s...



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