Garnishment - Tennessee

Summary of differences between federal and state regulations

The state of Tennessee has several codes which address garnishment of wages, mostly dealing with child and spousal support.

State

Contact

Questions regarding a wage garnishment order should be directed to the court which issued the order.

Regulations

Tennessee Code Ann., Title 26, Chapter 2, Part 1, Section §26-2-106 Maximum amount of disposable earnings exempt from garnishment – Garnishment costs.

(a) The maximum part of the aggregate disposable earnings of an individual for any workweek which is subjected to garnishment may not exceed:

(a)(1) Twenty-five percent (25%) of the disposable earnings for that week; or

(a)(2) The amount by which the disposable earnings for that week exceed thirty (30) times the federal minimum hourly wage at the time the earnings for any pay period become due and payable, whichever is less.

(b) In the case of earnings for any pay period other than a week, an equivalent amount shall be in effect.

http://www.lexisnexis.com/hottopics/tncode/

Tennessee Code Ann., Title 36, Chapter 5, Part 5, Section §36-5-501 Income withholding

(Extensive rules on withholding of income and health care for dependent children.)

(f) The amount to be withheld under the income assignment withheld for support may not be in excess of fifty percent (50%) of the income due after FICA, withholding taxes, and a health insurance premium which covers the child are deducted.

Tenn. Code Ann. §36-5-501. Income withholding

(i) It is unlawful for an employer to use the assignment as a basis for discharge or any disciplinary action against the employee.

Tenn. Code Ann. §36-5-501. Income withholding

(j)(1) An assignment under this section shall take priority over any other assignment or garnishment of wages, as described in title 26, chapter 2, or salary, commissions or other income, except those deductions made mandatory by law or hereafter made mandatory.

Tenn. Code Ann. §36-5-501. Income withholding

(j)(2)(B) Any employer, person or entity receiving an order for income withholding from another state or territory shall apply the income withholding law of the state of the obligor’s principal place of employment in determining:

(j)(2)(B)(i) The employer’s fee for processing an income withholding order;

(j)(2)(B)(ii) The maximum amount permitted to be withheld from the obligor’s income;

(j)(2)(B)(iii) The time periods within which the employer must implement the income withholding order and forward the child support payment;

(j)(2)(B)(iv) The priorities for withholding and allocating income withheld for multiple child support obliges; and

(j)(2)(B)(v) Any withholding terms and conditions not specified in the order.

http://www.lexisnexis.com/hottopics/tncode/

Federal

Contact

US Department of Labor

www.dol.gov/general/topic/wages/garnishments

Regulations

Federal law limits the amount of wages that can be garnished, in most cases, to 25 percent of weekly earnings after taxes. If more that one garnishment order exists against an individual, the total amount cannot exceed the maximum set by law. Some government obligations, such as back taxes and child support, always have precedence.

29 CFR Part 870 (15 USC §1671)