Sunday, January 16, 2011

If I am garnished and I leave the company will this affect my pension fund payout?

I received this question from a reader on my blog http://www.howtostopgarnishment.com/ and I think it is worth sharing:

Question: If I am garnished and I leave the company will this affect my pension fund payout?

Answer:

According to this US law article a pension can be garnished.

As I am not a lawyer I suggest you get a definite answer by a professional in your own country.


source:

FDIC Law, Regulations, Related Acts

6500 - Consumer Protection

TITLE III—RESTRICTION ON GARNISHMENT

§ 302.  Definitions.

For the purposes of this title:

(a)  The term "earnings" means compensation paid or payable for personal services, whether denominated as wages, salary, commission, bonus, or otherwise, and includes periodic payments pursuant to a pension or retirement program.

...

[Source:  Section 302 of title III of the Act of May 29, 1968 (Pub. L. No. 90-321; 82 Stat. 163), effective July 1, 1970]