On 20 June 2020, the wage garnishment and wage transfer thresholds were raised by 20% in the context of the corona crisis. This gave debtors more financial breathing space. This was not superfluous luxury, as many people ended up in the system of temporary unemployment resulting in lower wages. This measure was not renewed on 1 September. What does this mean to you? 

In Belgium, a creditor can claim a certain percentage of the debtor’s wage. This is the part of the wage that is eligible for garnishment. It is calculated on the basis of the monthly net wage of the debtor. A creditor can obtain this through wage garnishment or wage transfer.

 

What is the difference between wage garnishment and wage transfer?

Wage transfer is a form of amicable recovery, when the debtor and creditor seek a solution out of court. They can enter into an agreement whereby the debtor transfers ownership of the transferable part of his wages to the creditor. The employer then transfers the transferable part of his wage to the creditor every month until the debt and interests have been paid off.

Wage garnishment is a form of judicial recovery and takes place after you have not been able to reach an amicable solution. The judge may decide that the creditor can garnish a part of the debtor’s wage to recover outstanding costs. There are two types of garnishment (third-party garnishment): conservatory and enforceable. In case of a conservatory third-party garnishment, the debtor’s employer must block the transferable part of the salary on a monthly basis. In the case of an enforceable third-party garnishment, this employer must pay the transferable part of the wages directly to the creditor until the debt is paid off.

 

What percentage is the transferable part of the salary?

Since 1 September 2020, the following thresholds apply again. Is there a dependent child? For each child you must deduct 70 EUR form the attachable part of the wages.

 

Monthly net wage

 

Professional income

 

Replacement income

tot 1.138,00 EUR

 

0% 

 

0%

1.138,01 - 1.222,00 EUR

 

20%

 

20%

1.222,01 - 1.349,00 EUR

 

30%

 

40%

1.349,01 - 1.475,00 EUR

 

40%

 

40%

boven 1.475,00 EUR

 

100%

 

100%

 

Do you have any questions about wage garnishment or wage transfer? You can obtain information form the Federal Public Service Employment, Labor and Social Dialogue. You can reach them via info.tsw@werk.belgie.be  or 02 235 55 55.