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California Governor Signs Law on Garnishment for Judgment Debtors

Sept. 30, 2022, 8:50 PM

California Gov. Gavin Newsom (D) announced Sept. 29 the signing of S.B. 1477, which reduces the maximum amount of wages subject to garnishment for employees against whom a judgment levy has been issued.

The act sets the maximum rates of weekly garnishment to be the lesser of two amounts, 20% of the individual’s disposable earnings for a week or 40% of the amount by which the individual’s disposable earnings exceed 48 times the state minimum hourly wage.

Existing law sets a higher rate at the lesser of 25% of disposable earnings or 50% of the amount by which disposable earnings ...