A garnishee must typically “retain possession and control of the disposable earnings, indebtedness, money, and property of the debtor” at the time a garnishment summons is served, up to a maximum of 110 percent of the amount the creditor claims is unpaid in the garnishment summons.  In addition, the form that was served with the garnishment summons requires the garnishee to give a written disclosure to the debtor and creditor (which varies depending on whether the garnishment is for earnings or other property, as previously mentioned).

In the event of a non-earnings garnishment, the garnishee is required to give the creditor a written disclosure outlining all debts, assets, and money the garnishee owes to the debtor, no later than 20 days following the garnishment summons’ service.

A garnishment of “earnings” is subject to certain regulations.  This covers payment made to a producer for the same agricultural products as well as payment made to an employee for personal service (wages, salaries, commissions, or bonuses).  Furthermore, an earnings garnishment is only applicable to “disposable earnings,” which are the remaining earnings after all legally required deductions have been made (such as taxes and social security payments, but not voluntary deductions like charitable contributions or health insurance premiums). Lastly, if a debtor works 40 hours a week, the amount of an earnings garnishment can only be the lesser of (i) 25 percent of the debtor’s disposable earnings or (ii) the amount by which the debtor’s disposable earnings surpass the federal minimum wage, which is presently $7.25 per hour.  A garnishment would only be applied to $150 a week, for instance, if a debtor had $600 in disposable income (that is, 25% of the disposable earnings, which is less than the federal minimum wage times 40 hours). If there is a child support judgment, more sums may be garnished.

When it comes to a garnishment of earnings, a garnishment summons is valid for the current pay period during which it is served as well as for any subsequent pay periods that end within seventy days following the summons’ service.  During this time, the garnishee is required to hold onto all earnings that are subject to the garnishment and to serve the earnings disclosure to the debtor and creditor within ten days of the last pay period for which the garnishment summons is applicable.

In either scenario, the garnishee is required to hold onto the property that is subject to the garnishment for 180 days, up to 110 percent of the total amount that the creditor claims the debtor owes them.  The garnishee shall abide by any levy, written consent from the debtor, or other court order that requires the garnishee to give the earnings or property to the creditor within the allotted 180 days.  If not, the garnishee is required to give the debtor back the retained property when the 180 days have passed.