Can the Government Garnish Part-Time Jobs?
The government must follow the guidelines set by the Consumer Credit Protection Act when garnishing wages. As such, only a certain percentage can be collected at any given time. However, a government creditor is not restricted from garnishing wages simply because a debtor's employment is part-time. Wages from part-time work can be garnished, provided the percentage taken is not in excess of the federal rules.
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Overview
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Garnishment of wages typically occurs after a creditor has received a garnishment order from a court. Once this happens, the order is then sent to the debtor/employee's employer. It's then up to the employer to calculate the appropriate amount and deduct it from the employee's paycheck. If the employer fails to do this, the employer is held liable. Due to liability, employers are allowed to fire an employee if the employee receives more than one order of garnishment.
Consumer Credit Protection Act
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The Consumer Credit Protection Act (CCPA) addresses wage garnishment and the amounts particular creditors can collect. There is no restriction on obtaining a garnishment order against a part-time employee. The only restriction in the CCPA relates to the percentage/amount a creditor can take per paycheck. Pursuant to the CCPA, a creditor cannot take in excess of "25 percent of disposable income." Some creditors are allowed to take more; these creditors include the IRS, federal government student aid and child support creditors.
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Disposable Earnings
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Disposable earnings are defined by the CCPA as the wages that remain after "compulsary deductions." These deductions include taxes -- both state and federal -- workers compensation, union dues, insurance and unemployment. Most creditors cannot collect more than 25 percent of "disposable earnings," and in some states, they aren't allowed to collect that much. States have the right to set limits that are lower than those set in the CCPA. However, states cannot set limits that exceed those set in the CCPA.
Government Creditors
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Government creditors usually don't have to go the court to get a garnishment. If it's the IRS or if you owe government student loans, these creditors can collect via "administrative wage garnishment," meaning money can be seized without court permission. Government creditors must still follow the guidelines set in the CCPA. Because there is no restriction against garnishing a part-time employee's wages, part-time employees can be garnished, so long as the garnishment doesn't exceed the limits as outlined in the statute.
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