Wage Garnishment and Tax Debt: Protecting Your Pay After Labor Day

Labor Day is a celebration of the dignity of work and a reminder that every paycheck reflects hard-earned effort and deserves protection. For many Americans, though, the satisfaction of a job well done can be overshadowed by the fear of losing part of their income to the IRS through wage garnishment. If you’ve received a notice or worry your paycheck could be at risk, understanding your rights is the first step to taking back control.

 

What Is Wage Garnishment in Tax Cases?
Wage garnishment is when your employer is legally required to withhold part of your paycheck to pay a debt. In tax cases, the IRS uses Form 668-W to notify your employer and instruct them to send a portion of your wages directly to the government. This continues until the debt is paid in full, or other arrangements are made.

 

IRS Authority vs. Other Creditors
Unlike other creditors who must get a court order before garnishing your wages,  the IRS can begin garnishment without going to court. All they need is to send you the proper notices, and if you don’t respond or resolve the issue, they can act. That’s why ignoring IRS letters is one of the fastest ways to end up with a reduced paycheck.

 

Who Is at Risk?
The IRS may garnish wages if:

• You’ve ignored multiple collection notices.
• You’ve defaulted on an installment agreement.
• You’ve failed to set up any payment arrangement after being assessed a tax debt.

Even if your situation feels overwhelming, there are ways to stop or reduce the garnishment.

 

Steps You Can Take Right Now
If you’re facing or worried about garnishment, you have options:

• Request a Collection Due Process Hearing: This allows you to challenge the garnishment or propose an alternative solution.
• Claim Financial Hardship: If garnishment would prevent you from covering basic living expenses, you may qualify for relief.
• Negotiate an Installment Agreement: Spread out your payments in a manageable way to stop garnishment.
• Submit an Offer in Compromise: Settle your tax debt for less than you owe if you meet eligibility requirements.

How We’ve Helped Clients
At Robert Boeshaar Attorney at Law , we’ve worked with clients to:

• Reduce garnishment amounts so they could keep up with living expenses.
• Stop garnishment entirely by negotiating new agreements with the IRS.
• Settle tax debts for significantly less than the original amount owed.

If the IRS is threatening your paycheck, you don’t have to face them alone. We can help you protect your income, find the best path forward, and restore your peace of mind.

 

Take Action Today
If you’ve received a wage garnishment notice or think one might be coming,  reach out today for a consultation. Protect your paycheck and your financial future.

 

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