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Claim of Exemption

A claim of exemption protects wages and bank funds from garnishment. Learn what income is exempt, how much a creditor can take, and how to file to stop it.

Introduction

A claim of exemption is a form you file with the court to protect some or all of your wages or bank account from a garnishment. An exemption is money the law says a creditor cannot take. When a creditor wins a money judgment, it can serve a garnishment order on your employer or bank and pull money from every paycheck. A claim of exemption is how you push back: you tell the court which money is protected, and the creditor then has to justify taking it. Federal law shields a baseline share of your wages, many states shield more, and some income like Social Security is off limits entirely. The catch is the clock. Most states give you only a short window after you are served to file, and missing it can forfeit protected wages. DocDraft prepares a claim of exemption from your details, built around your state's deadline and exemption rules, and attorney review is available before you file.

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Key Things to Know

  1. 1

    A claim of exemption is a form you file with the court to protect some or all of your wages or bank funds from garnishment. It tells the court the money is exempt, meaning the law does not let a creditor take it.

  2. 2

    Federal law sets a floor on wage garnishment. For most debts a creditor can take no more than the lesser of 25 percent of your disposable earnings, or the amount by which your weekly pay exceeds 30 times the federal minimum wage. Many states protect more.

  3. 3

    The deadline to object is short and starts when you are served. Most states give you only a set number of days after you get the garnishment notice to file your claim, and missing it can cost you wages the law would have protected.

  4. 4

    Supporting a family can protect more, sometimes all, of your wages. Several states exempt most or all of the earnings of a head of household or a person who supports dependents.

  5. 5

    Some income is exempt no matter the debt. Social Security, disability, veterans benefits, and many pensions and public benefits are protected, and a claim of exemption is how you free deposited benefits a bank has frozen.

  6. 6

    A few states bar wage garnishment for ordinary debt. Texas, South Carolina, Pennsylvania, and North Carolina do not let most consumer creditors garnish wages, though a bank account can still be reached.

  7. 7

    Filing usually gets you a hearing. In most states the claim of exemption asks the court to set a hearing where you show the money is protected, and the creditor has to justify the garnishment to keep it.

Key Decisions

Your Garnishment

Exemptions You Can Claim

Filing and Hearing

Customize your Claim of Exemption Template with DocDraft

CLAIM OF EXEMPTION

The judgment debtor named below claims that some or all of the wages or funds being garnished are exempt from collection and asks the court to release them and to stop or reduce the garnishment.

  1. COURT AND CASE Court: [COURT NAME] Case number: [CASE NUMBER] Garnishment or writ number: [GARNISHMENT NUMBER, IF ANY]

  2. PARTIES Judgment creditor: [CREDITOR NAME] Judgment debtor (you): [DEBTOR NAME] Debtor address: [DEBTOR ADDRESS]

  3. WHAT IS BEING GARNISHED [ ] Wages from my employer: [EMPLOYER NAME] [ ] Funds in my account at: [BANK NAME] Approximate amount being taken: $[AMOUNT]

  4. EXEMPTION CLAIMED I claim that the money is exempt for the following reason(s): [ ] The wage-garnishment limit set by law protects part of my earnings. [ ] I am the head of household or I support dependents. [ ] The money comes from an exempt source: [SOCIAL SECURITY / DISABILITY / VETERANS BENEFITS / PENSION / OTHER]. [ ] Taking this money would leave me unable to pay for basic necessities. Amount I ask the court to protect: $[AMOUNT CLAIMED EXEMPT]

  5. SOURCE OF THE FUNDS Describe where the money comes from: [DESCRIPTION OF WAGES OR DEPOSITED FUNDS]

  6. FINANCIAL STATEMENT (attach if the court requires one) Monthly take-home income: $[INCOME] Monthly necessary expenses: $[EXPENSES] Number of people I support: [NUMBER OF DEPENDENTS]

  7. REQUEST FOR HEARING I ask the court to set a hearing on this claim and to protect the exempt money until the hearing is held.

  8. VERIFICATION I declare under penalty of perjury under the laws of the state where this case is filed that the statements above are true and correct.

Debtor signature: [SIGNATURE] Printed name: [NAME] Date: [DATE]

Note: The exact form, the deadline to file, the amount of wages protected, and whether a hearing is automatic are set by the law of the state where the garnishment was issued. Confirm the current requirements for that state, or have this reviewed by an attorney, before you file.

Frequently Asked Questions

A claim of exemption is a form you file with the court to protect wages or bank funds from a garnishment. It tells the court that some or all of the money is exempt, meaning the law does not allow a creditor to take it. Filing it usually stops or reduces the garnishment and lets you ask for a hearing to prove the money is protected.

An objection challenges whether the garnishment itself is proper, for example a mistake in the amount, the wrong person, or a defective notice. A claim of exemption accepts that the debt exists but says the specific wages or funds are legally protected. Many states use one combined form for both, and you can raise both at once.

Under federal law a creditor can take the lesser of 25 percent of your disposable earnings, or the amount your weekly disposable pay is above 30 times the federal minimum wage, which is 217.50 dollars. Disposable earnings are what is left after legally required deductions. Many states cap it lower or protect more, so the real limit depends on your state.

The deadline is set by state law and usually starts when you are served with the garnishment order or notice. It ranges from a few days to several weeks, and in some states the method of service changes the count. Because the window is short and missing it can forfeit protected wages, confirm your state's deadline as soon as you learn of the garnishment.

Social Security, Supplemental Security Income, veterans benefits, disability, and many pensions and public benefits are exempt from garnishment for ordinary debts, no matter how much you owe. A baseline share of ordinary wages is also protected. When exempt benefits sit in a frozen bank account, a claim of exemption is how you get the bank to release them.

In several states, wages of a head of household or a person who supports dependents get extra protection, and in a few the protection covers all of those wages up to a weekly limit. The rules and the amounts vary widely by state, and some require you to claim the protection in writing, so it is not automatic in every state.

No. Texas, South Carolina, Pennsylvania, and North Carolina do not allow wage garnishment for most consumer debts, though child support, taxes, and student loans are treated differently. In those states a creditor may still try to garnish a bank account, so protecting deposited wages and benefits there is done through the account, not the paycheck.

In most states filing the claim pauses or reduces the garnishment and puts the question in front of a judge. The court sets a hearing, and the creditor must show why the money is not exempt. If the court agrees the funds are protected, it releases them and stops or lowers the garnishment. If you miss the deadline, the garnishment usually continues.