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How Wage Exemptions Work

When a creditor garnishes your wages, they don't get to take everything. Federal law sets a floor: generally, the lesser of 25% of your disposable earnings or the amount by which your weekly pay exceeds 30 times the federal minimum wage (currently $7.25/hr, so $217.50/week). That's the maximum a creditor can take — many states protect more.

States that go further

Some states ban private-creditor wage garnishment outright — Texas, Pennsylvania, North Carolina, and South Carolina. Others add head-of-household exemptions, higher percentage protections, or cost-of-living adjustments. Check your state page.

Head-of-household rules

Several states (including Florida) exempt all wages of a head of household — someone who provides more than half the support for a dependent. This is one of the most powerful and least-known defenses in garnishment law.

Income that's always protected

Social Security, SSI, VA benefits, and most retirement income are exempt from private-creditor garnishment under federal law — but only if you keep them identifiable. Commingling exempt funds with other money in one account can destroy the protection. See our bank-account guide.

The catch: you have to claim it

Exemptions are not automatic in most states. If you don't file a claim of exemption by the deadline, the creditor takes the default amount. Our filing guide walks through it step by step.