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Arkansas Claim of Exemption

File an Arkansas claim of exemption to stop wage garnishment. Learn what pay is exempt, the 75 percent wage protection, and how the contest process works.

Introduction

An Arkansas claim of exemption is a form you file with the court to protect some or all of your wages or bank funds from a garnishment. An exemption is money the law says a creditor cannot take. After a creditor wins a money judgment, it can serve a writ of garnishment on your employer or bank and pull money you were counting on. In Arkansas you may claim your exemptions by filing a claim with the clerk of the court after the writ is served on the garnishee, and you then notify the creditor, who has a short window to contest it. Arkansas protects 75 percent of your disposable earnings, gives laborers and mechanics extra protection, and shields income like Social Security entirely. Money can be held while the claim is decided, so act quickly. DocDraft prepares an Arkansas claim of exemption from your details, and attorney review is available before you file.

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Key Things to Know

  1. 1

    An Arkansas claim of exemption is a form you file with the clerk of 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

    There is no fixed statutory deadline, but timing matters. Under section 16-110-402 you may file your claim after the writ is served on the garnishee, and you must notify the creditor within 5 days of filing. The creditor then has 10 days to contest, so file as soon as you learn of the garnishment.

  3. 3

    Arkansas protects 75 percent of your pay. For most debtors you keep the greater of 75 percent of your disposable earnings or the amount by which weekly earnings exceed 30 times the federal minimum wage, matching the federal floor.

  4. 4

    Laborers and mechanics get extra protection. Under section 16-66-208 the first 25 dollars per week of a laborer's or mechanic's net wages is absolutely exempt, and up to 60 days of wages can be exempt within the state constitutional limits.

  5. 5

    Supporting a family raises the personal property limit. A married person or head of a family has a 500 dollar constitutional personal property exemption, versus 200 dollars for a single person, which factors into the 60-day wage exemption for laborers and mechanics.

  6. 6

    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 those funds if a bank has frozen them.

  7. 7

    Filing can lead to a hearing. A hearing is held only if the creditor contests your claim within 10 days, where you show the money is protected and the creditor must justify the garnishment.

Key decisions before you file

Before you file a Claim of Exemption in Arkansas, a few decisions shape the document: which option to choose and what each one means. The Claim of Exemption guide walks through them.

Open the Claim of Exemption guide

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CLAIM OF EXEMPTION (ARKANSAS - WAGE GARNISHMENT)

Filed under Arkansas Code sections 16-110-401 et seq. (garnishment) and 16-66-201 et seq. (exemptions), including section 16-66-208 and Article 9 of the Arkansas Constitution. The judgment debtor claims that some or all of the wages or funds being garnished are exempt and asks the court to release them and to stop or reduce the garnishment.

  1. COURT AND CASE Court that issued the writ: [COURT NAME] Case number: [CASE NUMBER] Writ of garnishment number: [WRIT NUMBER, IF ANY]

  2. PARTIES Judgment creditor: [CREDITOR NAME] Judgment debtor (you): [DEBTOR NAME] Debtor address: [DEBTOR ADDRESS] Employer or bank served with the writ (garnishee): [GARNISHEE NAME]

  3. EXEMPTION CLAIMED I claim that the money is exempt for the following reason(s): [ ] The greater of 75 percent of my disposable earnings or the federal 30-times-minimum-wage amount is protected. [ ] I am a laborer or mechanic, so the first 25 dollars per week of my net wages is absolutely exempt, and up to 60 days of wages may be exempt within the constitutional limit. [ ] I am a married person or head of a family, with a 500 dollar constitutional personal property exemption. [ ] The funds come from an exempt source: [SOCIAL SECURITY / DISABILITY / VETERANS BENEFITS / PENSION / OTHER]. Amount I ask the court to protect: $[AMOUNT CLAIMED EXEMPT]

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

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

  6. NOTICE AND REQUEST FOR HEARING I will notify the judgment creditor of this claim within 5 days of filing. I ask the court to protect the exempt money and, if the creditor contests this claim, to set a hearing.

  7. VERIFICATION I declare under penalty of perjury under the laws of the State of Arkansas that the statements above are true and correct.

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

Note: File your Claim of Exemption with the clerk of the court that issued the writ of garnishment, then notify the creditor within 5 days. The creditor has 10 days to contest, and a hearing is held only if the claim is contested. Confirm the current form and procedure, or have this reviewed by an attorney, before you file.

Arkansas Requirements for Claim of Exemption

Arkansas Filing Deadline and Office

File the Arkansas claim of exemption with the correct office, the court or the levying officer as Arkansas directs, within the state's window after the garnishment is served. Money is usually held until the claim is decided, so filing late can forfeit wages the law would otherwise protect.

Frequently Asked Questions

An Arkansas claim of exemption is a form you file with the clerk of 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 let a creditor take it. Under section 16-110-402 you may file it after the writ of garnishment is served on the garnishee, then notify the creditor within 5 days.

An objection challenges whether the garnishment itself is proper, such as a wrong amount, the wrong person, or a defective writ. An Arkansas claim of exemption accepts that the debt exists but says the specific wages or funds are legally protected, for example the 75 percent of earnings the law exempts. You can point out a defect and claim your exemption in the same filing.

For most debtors Arkansas follows the federal rule, so a creditor can take at most the lesser of 25 percent of your disposable earnings or the amount by which weekly earnings exceed 30 times the federal minimum wage. That leaves the greater of 75 percent of disposable earnings protected. Laborers and mechanics keep the first 25 dollars per week absolutely exempt on top of that.

Arkansas does not set a fixed number of days to file. Under section 16-110-402 you may claim your exemptions after the writ of garnishment is served on the garnishee. You must notify the creditor within 5 days of filing, and the creditor then has 10 days to contest, so file 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. Arkansas also protects 75 percent of ordinary wages, plus the first 25 dollars per week for laborers and mechanics. If exempt benefits are frozen in a bank account, a claim of exemption is how you get them released.

Arkansas gives a married person or head of a family a 500 dollar constitutional personal property exemption, versus 200 dollars for a single person. That larger limit lets laborers and mechanics protect up to 60 days of wages when their wages plus other personal property stay within it. The standard 75 percent wage protection applies to you whether or not you support dependents.

You file your Arkansas claim of exemption with the clerk of the court that issued the writ of garnishment. After filing, you must notify the judgment creditor within 5 days. The creditor then has 10 days to file a written contest, and only a contested claim goes to a hearing.

After you file, you notify the creditor, who has 10 days to contest your claim. If the creditor does not contest it, your exemption stands and the protected money is released. If the creditor contests, the court holds a hearing to decide whether the claimed exemptions are valid, and the creditor must justify the garnishment. Money can be held until the claim is resolved.