Student loan wage garnishment, how much can be taken.

The two limits

When the Department of Education garnishes wages for a defaulted federal student loan, two federal rules cap the amount for each pay period:

• 15% of disposable pay. The statute that authorises administrative wage garnishment, 31 U.S.C. 3720D(b)(1), says the amount deducted "may not exceed 15 percent of disposable pay, except that a greater percentage may be deducted with the written consent of the individual." The Department's rules repeat the 15% ceiling where it issues several orders (34 CFR 34.20(c)(2)).
• Protected pay. The employer must withhold the lesser of the amount in the order or "the amount by which a debtor's disposable pay exceeds an amount equal to 30 times the minimum wage" (34 CFR 34.19(b), citing 15 U.S.C. 1673(a)(2)). At the federal minimum wage of $7.25 an hour, that is $217.50 a week. For a longer pay period, 29 CFR 870.10(c) multiplies by the number of workweeks, counting a month as 4⅓ weeks: $435.00 every two weeks and $942.50 a month.

The smaller of the two results is the most that can be withheld. At low pay the protected-pay rule is usually the binding one; at higher pay the 15% cap is.

What disposable pay means

Under 34 CFR 34.3 it is the part of your compensation that remains after "the deduction of health insurance premiums and any amounts required by law to be withheld", such as Social Security tax and income tax withholding. It does not subtract amounts withheld under a court order. It includes salary, bonuses, commissions and vacation pay.

Worked examples

• Weekly disposable pay of $600. 15% is $90.00. Protected pay is $217.50, so $382.50 sits above it. The binding limit is the 15% cap: at most $90.00 a week, leaving $510.00.
• Weekly disposable pay of $250. 15% is $37.50, but only $32.50 sits above the $217.50 protected amount. The protected-pay rule binds: at most $32.50 a week.
• Monthly disposable pay of $2,400. 15% is $360.00 and $1,457.50 sits above $942.50, so the cap is $360.00 a month.

Your rights before and during garnishment

• Notice. The statute requires written notice at least 30 days before proceedings start, describing the debt and the right to inspect records, get a hearing and enter a repayment agreement.
• Hardship objection. You can object that withholding at the stated amount would cause financial hardship, meaning an inability to meet basic living expenses for you, your spouse and dependents (34 CFR 34.3, 34.7 and 34.24). You carry the burden of proving it; an objection to an order already in effect is heard after six months, or earlier in extraordinary circumstances such as injury, divorce or catastrophic illness. If the Department finds hardship it reduces the amount to one that allows you to meet proven basic living expenses (34 CFR 34.25).
• Recent job loss. The Department does not garnish wages if it has credible evidence that you were involuntarily separated from employment and have not yet been reemployed continuously for at least 12 months. You must tell it about the circumstances (34 CFR 34.23).
• Rehabilitation. Rehabilitating a defaulted loan can stop garnishment. The 2026 final rule explains that borrowers can rehabilitate a defaulted federal loan up to two times beginning July 1, 2027, and that garnishment is suspended while a borrower makes voluntary rehabilitation payments, a maximum of two times per loan.
• State law. Part 34 applies notwithstanding any state law (34 CFR 34.2(b)).

What this page does not cover

It covers Department of Education administrative garnishment only. It does not model garnishment under a court judgment, a private student loan, child support, or tax levies, which follow other rules. It uses the federal minimum wage of $7.25 from 29 U.S.C. 206(a)(1)(C). For other debts, try the general wage garnishment limit calculator, and see the interest accrual calculator for what a default balance costs.

FAQ

How much can be garnished for a federal student loan?

No more than 15% of disposable pay in a pay period, and never so much that your disposable pay falls below 30 times the federal minimum wage ($217.50 a week). The lesser of the two applies, and also the amount stated in the order.

What is disposable pay?

Pay left after health insurance premiums and amounts required by law to be withheld, such as Social Security and income tax withholding. Amounts withheld under a court order are not subtracted.

Can the Department take more than 15%?

Only with your written consent. The statute allows a greater percentage with the written consent of the individual.

How much notice do I get before garnishment?

The statute requires written notice at least 30 days before proceedings start, describing the debt and your rights to inspect records, request a hearing and enter a repayment agreement.

Can I reduce the amount if it causes hardship?

You can object that withholding at the stated amount would cause financial hardship, defined as an inability to meet basic living expenses for you, your spouse and your dependents, and you must prove it. If the Department agrees it reduces the amount to one that lets you meet proven basic living expenses.

Is garnishment allowed right after I lose a job?

Not if the Department has credible evidence that you were involuntarily separated from employment and have not yet been reemployed continuously for at least 12 months. You are responsible for telling it about the separation.

Does rehabilitating a loan stop wage garnishment?

The Department's 2026 final rule says garnishment is suspended while a borrower makes voluntary rehabilitation payments, and that from July 1, 2027 a loan can be rehabilitated up to two times.

Does this apply to private student loans?

No. This page covers Department of Education administrative wage garnishment of federal student loans. Private loans and court judgments follow different rules.

Sources

Retrieved 2026-11-02. Each link was opened and checked against the claim next to it.

• 34 CFR Part 34, Administrative wage garnishment (eCFR, current to 2026-10-29): Definition of disposable pay, sections 34.2, 34.7, 34.19, 34.20, 34.23, 34.24 and 34.25
• 31 U.S.C. 3720D, Garnishment: 15% cap, written consent, 30-day notice
• 29 CFR 870.10, Maximum part of disposable earnings subject to garnishment: Multiples of the minimum wage for longer pay periods; a month counts as 4 1/3 workweeks
• 29 U.S.C. 206, Minimum wage: The $7.25 federal minimum hourly wage
• Federal Register, Reimagining and Improving Student Education final regulations (May 1, 2026): Rehabilitation and garnishment-suspension discussion