What is a Garnishee?

  1. OnPay
  2. Payroll software
  3. Terms and Definitions
  4. Garnishee

Garnishee definition and meaning

A garnishee is a third party that holds money or property that belongs to a debtor subject to an attachment proceeding by a creditor. Money or assets are typically in the form of earned wages. Garnishees tend to be employers required pay a portion of this money to a creditor, as determined by a court order.

 

More about garnishees

A garnishee is a third party that holds money or property that belongs to a debtor subject to an attachment proceeding by a creditor. Money or assets are typically in the form of earned wages. Garnishees tend to be employers required pay a portion of this money to a creditor, as determined by a court order.

 
When the terms of a court ruling requires that money be taken directly from an employee’s wages and paid to another party, this is performed by the garnishee, and paid to a party determined by the court. It is commonly used to force the repayment of debt to a bank or a creditor, as well as in child support or divorce settlements.

Some examples of when a garnishee holds back funds for repayment of debt to a bank or creditor, can include child support, divorce settlements or back rent.

Using garnishee in a sentence

“Even though the IRS is garnishing my employee’s wages, because I’m the garnishee, I’m responsible for collecting and paying the garnishment.”

LET'S DO THIS

Your first month’s on us

Just share some basic information, then we’ll set everything up and import your employees’ information for you. It couldn’t be easier.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.