Enter the garnishment rate and the person’s gross pay into the calculator to determine the wage garnishment amount. This calculator can also evaluate any of the variables given the others are known.
Wage Garnishment Formula
The following formula is used to calculate the wage garnishment amount.
WG = (G * P) / 100
Variables:
- WG is the wage garnishment amount ($) G is the garnishment rate (%) P is the person’s gross pay ($)
To calculate the wage garnishment amount, multiply the garnishment rate by the person’s gross pay, then divide the result by 100. This will give you the amount of money that will be deducted from the person’s paycheck for wage garnishment.
What is a Wage Garnishment?
A wage garnishment is a legal procedure through which a portion of a person’s earnings is withheld by an employer for the payment of a debt. This is typically initiated by a court order and is often used for debts such as child support, student loans, taxes, or unpaid court fines. The garnishment continues until the entire debt is paid or arrangements are made to pay off the debt.
How to Calculate Wage Garnishment?
The following steps outline how to calculate the Wage Garnishment amount.
- First, determine the garnishment rate (%).
- Next, determine the person’s gross pay ($).
- Next, gather the formula from above = WG = (G * P) / 100.
- Finally, calculate the Wage Garnishment amount.
- After inserting the variables and calculating the result, check your answer with the calculator above.
Example Problem :
Use the following variables as an example problem to test your knowledge.
garnishment rate (%) = 15
person’s gross pay ($) = 2000
