Wage Garnishment in Arkansas: Know Your Rights and Options

Wage garnishment means a creditor takes money directly from your paycheck to collect a debt. Most creditors need a court order first. Once your employer receives the garnishment order, they must withhold part of your pay and send it to the creditor.

The creditor cannot take your entire paycheck. Federal and state laws set limits on garnishment amounts. Some income types are protected from garnishment entirely.

Who Can Garnish Your Wages in Arkansas

Several types of creditors can garnish wages in Arkansas. The process depends on your debt type.

Consumer creditors like credit card companies must sue you first. They need a court judgment before garnishing wages.

Some creditors skip the lawsuit requirement entirely. The IRS, state tax agencies, federal student loan servicers, and child support enforcers can garnish without suing you first.

Family courts handle support orders separately. Federal agencies follow different procedures than consumer creditors.

The remainder of this guide focuses on consumer debt garnishments in Arkansas.

The Arkansas Wage Garnishment Process

Consumer creditors must complete several steps before garnishing your wages. Understanding these steps helps you protect your rights.

The Lawsuit Stage

The creditor files a lawsuit and serves you with a summons and complaint. Service means formally delivering legal papers to you.

A sheriff’s deputy or professional process server typically handles service. Creditors can also use certified mail.

Your Answer Deadline

You usually have 30 days to file an answer with the court. Filing an answer is critical to protecting yourself.

If you skip this step, the creditor wins by default. A default judgment has the same effect as losing at trial.

Arkansas Law Help offers tools to generate an answer packet. If you need help responding but cannot afford a lawyer, our partner Solo can draft your answer letter for a small fee or free.

Common Legal Defenses

You can include defenses in your answer. Valid defenses may reduce your debt or dismiss the case.

Common defenses include:

• Statute of limitations violations (the creditor waited too long to sue)
• Fair Debt Collection Practices Act violations (illegal collection tactics)
• Identity theft or mistaken identity (the debt is not yours)

The Court Hearing

If you proceed to trial, a judge hears both sides before deciding.

When the creditor wins, the court issues a judgment. The creditor then requests a writ of garnishment from the court. That order allows them to garnish your wages.

Garnishment Begins

Your employer receives the garnishment order. Employers must comply or face court appearances themselves.

Your employer withholds the calculated amount from each paycheck. They send that money to the creditor until the debt is paid, you leave the job, or you file bankruptcy.

In Arkansas, creditors can garnish wages as long as the judgment remains valid.

Judgment creditors can collect for 10 years before renewal. They can renew every 10 years and keep collecting until the debt is paid.

Job Protection Under Federal Law

Federal wage garnishment law prohibits firing employees for one garnishment. However, federal law does not protect you if you have multiple garnishments within 12 months.

Arkansas law offers additional protection. You cannot be fired for multiple garnishments if one is for child support.

Garnishment Limits: How Much Can Be Taken

Federal and state laws cap garnishment amounts. Some income types are completely exempt from garnishment.

Federal law allows creditors to take the lesser of:

• 25% of your weekly disposable income
• The amount your weekly disposable income exceeds $217.50 (30 times the federal minimum wage)

Disposable earnings are what remains after legally required deductions like payroll taxes. Union dues and retirement contributions are not legally required. They count as part of your disposable income.

The total garnished amount cannot exceed the judgment. Judgments typically include the original debt plus fees, costs, and interest.

Special Exemptions for Mechanics and Laborers

Arkansas law provides specific protections for mechanics and laborers. You can exempt the first 60 days of wages if the amount is less than the personal property exemption.

The personal property exemption is $500 for married people or heads of household. For others, the exemption is $200.

Consult an Arkansas attorney to determine if this exemption applies to you. It may only help in rare circumstances.

Protected Government Benefits

Consumer creditors cannot garnish certain government benefits. Protected benefits include Social Security, veterans benefits, and workers’ compensation.

If these are your only income sources, you may be judgment-proof.

How to Stop Wage Garnishment in Arkansas

Only a few methods can stop wage garnishment:

• Pay the debt in full
• Negotiate a settlement with the creditor
• File for bankruptcy

Most people find the first two options difficult or impossible.

If you struggle with multiple debts beyond the garnishment, bankruptcy may be your best option. When you file, an automatic stay takes effect immediately.

The automatic stay stops garnishment right away. It also halts all other collection activities. If the debt qualifies for discharge, the garnishment never returns.

You can speak with a debt lawsuit specialist to explore your options for stopping garnishment.

Arkansas Wage Garnishment Resources

Arkansas offers several legal aid services for people facing garnishment. These organizations provide free or low-cost assistance.

• Arkansas Legal Services Online provides self-help forms, an online library, a helpline, and legal services for low-income individuals
• The Center for Arkansas Legal Services operates eight offices across Arkansas
• The Arkansas Attorney General’s office publishes a useful Guide to Small Claims Court that covers wage garnishment
• The American Bar Association maintains a free legal resources page