Yes, your boss will know if your wages are garnished. Employers are directly involved in the wage garnishment process as they are legally required to administer the withholding.
How Employers Are Notified of Wage Garnishment
When a wage garnishment is initiated, your employer receives official notification from the entity that issued the garnishment. This is a standard procedure, as employers are responsible for implementing the garnishment.
Common forms of notification include:
- Court Order: For garnishments resulting from civil judgments, such as unpaid debts, child support, or spousal support, your employer will typically receive a formal court order. This legal document instructs them on the amount to withhold from your pay.
- IRS Levy: If the garnishment is for unpaid federal taxes, the Internal Revenue Service (IRS) will issue a wage levy. Your employer will receive official IRS paperwork detailing the specific amount to be deducted from your wages.
Employer's Obligation to Comply
Upon receiving a valid court order or an IRS levy, your employer has a legal obligation to comply with the garnishment request. This means they must:
- Begin Withholding: Start deducting the specified amount from your wages.
- Remit Funds: Forward the withheld funds directly to the designated recipient, whether it's a court, the IRS, or a creditor, as outlined in the garnishment order.
- Follow Instructions: The official garnishment or levy paperwork is designed to guide employers through the necessary steps for completing the wage garnishment process correctly. This ensures they understand their responsibilities and the precise method for withholding and remitting payment as soon as the order is received.
Because employers receive direct, formal notification and are legally required to act on it, they will be aware that your wages are being garnished.
