What is the term for a court order to take all or part of a debtor's paycheck if they stop making payments?

What is the term for a court order to take all or part of a debtor's paycheck if they stop making payments?

• A. Termination
• B. W4
• C. Garnishment of wages
• D. W2

Answer: (C)

Wage garnishment is a court-ordered action that directs an employer to withhold a portion of a debtor’s earnings from each paycheck to repay a debt when payments have stopped. The withheld money goes to the creditor until the debt is paid. This is a legal remedy that kicks in after a court decision and continues while the person is employed. It’s different from termination, which ends employment, and from the W-4, which determines how much tax to withhold, or the W-2, which reports yearly wages and taxes. Garnishment specifically targets debt collection, not tax withholding or employment status.

Wage garnishment is a court-ordered action that directs an employer to withhold a portion of a debtor’s earnings from each paycheck to repay a debt when payments have stopped. The withheld money goes to the creditor until the debt is paid. This is a legal remedy that kicks in after a court decision and continues while the person is employed. It’s different from termination, which ends employment, and from the W-4, which determines how much tax to withhold, or the W-2, which reports yearly wages and taxes. Garnishment specifically targets debt collection, not tax withholding or employment status.