A garnishee order is an order made by the court allowing the judgment creditor to get money from:
The garnishee order will be addressed to your employer, your bank or the person who owes you money. They are called 'the garnishee'.
If the judgment creditor applies for a garnishee order you may not find out until you check your bank account and find money missing. The judgment creditor does not have to notify you of the garnishee order.
The most common garnishee order is for wages or salary. This order is served on your employer. If an employer receives a garnishee order they must take an amount of money from your wage and pay it to the judgment creditor. This will continue each time you are due to be paid your wages, until the whole of the judgment debt has been paid or until the court stops the order.
When your employer gets a garnishee order, they have to leave you with a minimum amount of money to live on, known as the 'weekly compensation amount'. The current weekly compensation amount is $484.10 (as at October 2016). The weekly compensation amount is adjusted in April and October each year.
You can check the current amount on the
Local Court website.
Your employer is also allowed to deduct a further $13.00 for administration expenses.
If there is a garnishee order against your wages, you can still apply to the court to pay the debt by instalments in smaller amounts (leaving you with more take home pay) For more information, see
Payment by instalments - Debtor and
Payment by instalments - Step by step guide.
A Garnishee Order for Debts is used when someone owes you money or holds money on your behalf. For example:
A Garnishee Order for Wages or Salary allows money to be deducted from each wage payment until the judgment debt is paid. A Garnishee Order for Debt directs the garnishee to make a single payment to the judgment creditor, up to the value of the judgment debt.
The garnishee is allowed to deduct $13.00 for administration expenses.
If you receive Centrelink payments, all or part of the money in your bank account may be protected from a garnishee order. For further information, contact the
Welfare Rights Centre.
For more information, see
Responding to garnishee orders - Frequently Asked Questions.