Federal Wage Garnishment Rules — Disposable Earnings, 25% Cap & HOH Exemption
The federal baseline that applies in every state unless state law protects more.
The CCPA Title III Formula
Under the federal Consumer Credit Protection Act (CCPA) Title III, the most that can be taken from your wages for a consumer debt each week is the lesser of:
- 25% of your weekly disposable earnings, or
- the amount by which your weekly disposable earnings exceed 30 × the federal minimum wage ($217.50).
If your disposable earnings are at or below $217.50/week, the federal formula protects all of it from consumer-debt garnishment.
Disposable Earnings Defined
"Disposable earnings" means pay left after legally required deductions (taxes, Social Security, Medicare). It does not include voluntary deductions such as retirement contributions or health insurance.
Head-of-Household Protection
Some states give head-of-household debtors extra wage protection beyond the federal floor — Florida, for example, broadly exempts a "head of family" from consumer-debt garnishment. Check your state page for details.
Where States Differ
States may only add protection, never less than the federal minimum. A handful (Texas, North Carolina, South Carolina, Pennsylvania) go as far as banning consumer-debt wage garnishment entirely. Use the calculator or the 50-state table to compare.
This overview is a general reference. The federal minimum wage, state statutes, and court interpretations can change. Confirm current rules with the appropriate court or a local attorney.
Frequently Asked Questions
What counts as disposable earnings?
Disposable earnings are what remains after legally required deductions — federal, state, and local taxes, Social Security, and Medicare. Voluntary deductions like 401(k) contributions do not reduce disposable earnings for the garnishment math.
How is the $217.50/week floor calculated?
It is 30 times the federal minimum wage ($7.25 × 30 = $217.50). If your weekly disposable earnings are at or below that, nothing is garnishable for consumer debt under the federal formula.