Garnishment Law Summaries
Kentucky, Garnishment Law Summaries
Kentucky's garnishment law is found in the Kentucky Revised Statutes Annotated, Title 34, Ch. 425 and 427.
DEFINITIONS
“Garnishment” means any legal or equitable procedure by which the earnings of any individual are required to be withheld for payment of any debt (Sec. 427.005).
“Earnings” means compensation for personal services, whether denominated as wages, salary, commission, bonus, or otherwise, and includes periodic payments pursuant to a pension or retirement program (Sec. 427.005).
“Disposable earnings” means that part of earnings remaining after deductions required by law (Sec. 427.005).
COVERAGE
Kentucky employee wages are subject to garnishment. Salaries or sums due state, county, city, and school board officers and employees are also subject to garnishment (Sec. 427.130). Police and firefighters' pensions are exempt from garnishment (Secs. 427.120 and 427.125).
PROCEDURES
Amounts exempt from or subject to garnishment.- The maximum part of disposable earnings that is subject to garnishment in any workweek may not exceed the lesser of 25% of disposable earnings for the week or the amount by which disposable earnings for the week exceed 30 times the federal minimum hourly wage. These limits do not apply to garnishment orders for support (Sec. 427.010).
Bankruptcy.- The above restrictions do not apply to any order of any court of bankruptcy under Chapter 13 of the Bankruptcy Code (Sec. 427.010).
Delinquent taxes.- The general garnishment restrictions do not apply to any debt due for state or federal tax (Sec. 427.010).
WHAT THE EMPLOYER MUST DO
An employer served with a garnishment order must withhold as instructed in the order. Each employer summoned as a garnishee must appear, either in person or by filing an affidavit. If the employer does not appear, the creditor may ask the court to compel an appearance in person (Sec. 425.511).
Priorities in cases of multiple garnishment.- An order of attachment or garnishment of earnings has priority according to the date of service on the employer, each inferior order taking effect as if served at the commencement of the next succeeding pay period not subject to a prior order. No creditor can cause two orders to be served on the employer against the same employee in the same pay period (Sec. 425.506).
Discrimination prohibited.- No employer may discharge an employee because his earnings have been subjected to garnishment for any one indebtedness (Sec. 427.140).
ENFORCEMENT
If an employer fails to make a disclosure of information that is satisfactory to the creditor, the creditor may bring an action against the employer (Sec. 425.526).
WHO TO CONTACT
Employers with questions about a garnishment order should contact the issuer of the order.
PENALTIES
For willfully discharging an employee for any one indebtedness, an employer will be fined not more than $1,000 and/or be imprisoned for not more than one year (Sec. 427.990).
<p>For willfully discharging an employee for any one indebtedness, an employer will be fined not more than $1,000 and/or be imprisoned for not more than one year (</p>