IRS wage garnishment (wage levy): how it works and how to stop it

IRS wage garnishment

An IRS wage levy, often called wage garnishment, tells your employer to send part of every paycheck to the IRS. It’s continuous: it applies to each pay period until the IRS releases it. Part of your pay is exempt, based on your filing status and number of dependents.

Reviewed by [REVIEWER NAME], Enrolled Agent · Last reviewed [DATE]

How it works

The IRS sends a levy to your employer.
Your employer withholds part of each paycheck and sends it to the IRS.
It continues every pay period until the IRS releases the levy.
Part of your pay is exempt, calculated from your standard deduction and number of dependents.

Before a wage levy

Like other levies, a wage levy generally comes after a balance-due notice, a notice of intent to levy, and a Final Notice of Intent to Levy and Notice of Your Right to a Hearing sent at least 30 days ahead. If you got an LT11 or Letter 1058 recently, you may still be within the 30 days to request a hearing.

How to get it released

Show economic hardship: the levy keeps you from paying basic, reasonable living expenses.
Resolve the balance: pay it, or set up an installment agreement or another resolution.
Show it was issued in error.

Unfiled years make it harder

Many people with wage levies also have unfiled years. The IRS generally wants every required return filed before it agrees to a payment plan, so the fastest path often runs through catch-up filing and an Enrolled Agent working the levy at the same time. If your pay is being levied now, get urgent help.

Common questions

How much can the IRS take from my paycheck?

The IRS takes what’s left after an exempt amount, which is based on your standard deduction and the number of dependents you claim. The IRS publishes the exempt amounts in Publication 1494.

Will my employer find out?

Yes. Your employer receives the levy and must follow it.

Does a payment plan stop wage garnishment?

Setting up an agreement that resolves the balance is one of the main ways to get a levy released. The IRS generally requires every return to be filed first.