Wage garnishment is a legal procedure where a portion of an individual’s earnings is withheld by their employer and sent directly to a creditor to satisfy a debt. This debt can arise from various sources, including unpaid taxes, court judgments, child support, or student loans. For example, if a court orders a garnishment for unpaid credit card debt, the employer is legally obligated to deduct the specified amount from the employee’s paycheck and remit it to the creditor.
Providing notice to the affected individual is a critical component of the garnishment process. This notification allows the employee to understand the reason for the deduction, the amount being withheld, and the entity receiving the funds. Transparency in this process safeguards employee rights and ensures compliance with legal procedures. Historically, a lack of notification could lead to financial hardship and confusion for employees, underscoring the importance of clear communication. Proper notification also enables the individual to address any potential inaccuracies or disputes related to the garnishment.