Wage Garnishment Limits in Indiana

At a glance

Requirements one by one

Governing law

IC 24-4.5-5-104 bars a creditor from garnishing unpaid earnings before judgment. Section 105 sets the cap; § 106 protects against discharge.

Maximum that can be garnished

Section 105(2) limits aggregate disposable earnings garnished for one or more judgments to the lesser of 25% of weekly disposable earnings or the amount above 30 times the federal minimum hourly wage. Upon a showing of good cause, a court may reduce the percentage to a figure below 25% but at least 10%.

Support, tax & student loan debts

Section 105(3) allows 50% or 60% of disposable earnings for support, rising to 55% or 65% for the specified older arrears. Section 105(8) gives support withholding priority over an ordinary garnishment regardless of their dates. Federal § 1673(b)(1)(C) excludes state and federal tax debt from the ordinary CCPA cap. A separate federal route allows up to 15% for qualifying federal student loans under 20 U.S.C. § 1095a(a)(1), absent written consent to more.

Multiple garnishments at once

The words "one (1) or more judgments" in § 105(2) make the limit aggregate across ordinary judgments. They do not set a payment order or guarantee that a second creditor receives a share while the first order is active. Support withholding, however, has express priority under § 105(8).

Protection from being fired

Section 106 bars discharge because "a creditor or creditors" subjected or tried to subject earnings to garnishment for "a judgment or judgments." Federal § 1674 refers to one indebtedness.

What trips people up

The reduction toward 10% requires a debtor to show good cause; it does not happen automatically. A support withholding order can reduce what remains available under the ordinary garnishment limit even when entered later.

Common questions

Can the court lower the 25% limit? Yes. Section 105(2)(a) permits a percentage below 25%, but no lower than 10%, on a showing of good cause.

Does each creditor get a separate 25% allowance? No. Section 105(2) measures the aggregate garnished for one or more judgments against the same worker.

Does support have to wait behind an existing garnishment? No. Section 105(8) gives a support withholding order priority regardless of their dates.

Statutes and sources

• IC 24-4.5-5-104 — “Prior to entry of judgment in an action against the debtor, no creditor may attach unpaid earnings of the debtor by garnishment or like proceedings.” — https://iga.in.gov/ic/2025/Title_24/Article_4.5/Chapter_5.pdf (accessed 2026-10-07)
• IC 24-4.5-5-105(2) — “Except as provided in subsection (8), the maximum part of the aggregate disposable earnings of an individual for any workweek which is subjected to garnishment to enforce the payment of one (1) or more judgments against the individual may not exceed the lesser of the following amounts: (a) An amount equal to twenty-five percent (25%) of the individual's disposable earnings for that week or, upon a showing of good cause by the individual why the amount should be reduced, an amount equal to: (i) less than twenty-five percent (25%); and (ii) at least ten percent (10%); of the individual's disposable earnings for that week. (b) The amount by which the individual's disposable earnings for that week exceed thirty (30) times the federal minimum hourly wage prescribed by 29 U.S.C. 206(a)(1) in effect at the time the earnings are payable.” — https://iga.in.gov/ic/2025/Title_24/Article_4.5/Chapter_5.pdf (accessed 2026-10-07)
• IC 24-4.5-5-105(3) — “The maximum part of the aggregate disposable earnings of an individual for any workweek which is subject to garnishment or support withholding to enforce any order for the support of any person shall not exceed: (a) where such individual is supporting the individual's spouse or dependent child (other than a spouse or child with respect to whose support such order is used), fifty percent (50%) of such individual's disposable earnings for that week; and (b) where such individual is not supporting such a spouse or dependent child described in subdivision (a), sixty percent (60%) of such individual's disposable earnings for that week; except that, with respect to the disposable earnings of any individual for any workweek, the fifty percent (50%) specified in subdivision (a) shall be deemed to be fifty-five percent (55%) and the sixty percent (60%) specified in subdivision (b) shall be deemed to be sixty-five percent (65%), if and to the extent that such earnings are subject to garnishment or support withholding to enforce a support order with respect to a period which is prior to the twelve (12) week period which ends with the beginning of such workweek.” — https://iga.in.gov/ic/2025/Title_24/Article_4.5/Chapter_5.pdf (accessed 2026-10-07)
• IC 24-4.5-5-105(8) — “A support withholding order takes priority over a garnishment order irrespective of their dates of entry or activation. If a person is subject to a support withholding order and a garnishment order, the garnishment order shall be honored only to the extent that disposable earnings withheld under the support withholding order do not exceed the maximum amount subject to garnishment as computed under subsection (2).” — https://iga.in.gov/ic/2025/Title_24/Article_4.5/Chapter_5.pdf (accessed 2026-10-07)
• IC 24-4.5-5-106 — “No employer shall discharge an employee for the reason that a creditor or creditors of the employee has subjected or attempted to subject unpaid earnings of the employee to garnishment or like proceedings directed to the employer for the purpose of paying a judgment or judgments.” — https://iga.in.gov/ic/2025/Title_24/Article_4.5/Chapter_5.pdf (accessed 2026-10-07)
• 15 U.S.C. § 1673(a) — “Except as provided in subsection (b) and in section 1675 of this title, the maximum part of the aggregate disposable earnings of an individual for any workweek which is subjected to garnishment may not exceed (1) 25 per centum of his disposable earnings for that week, or (2) the amount by which his disposable earnings for that week exceed thirty times the Federal minimum hourly wage prescribed by section 206(a)(1) of title 29 in effect at the time the earnings are payable, whichever is less.” — https://www.govinfo.gov/content/pkg/USCODE-2024-title15/html/USCODE-2024-title15-chap41-subchapII-sec1673.htm (accessed 2026-10-07)
• 15 U.S.C. § 1673(b)(1)(C) — “The restrictions of subsection (a) do not apply in the case of (A) any order for the support of any person issued by a court of competent jurisdiction or in accordance with an administrative procedure, which is established by State law, which affords substantial due process, and which is subject to judicial review. (B) any order of any court of the United States having jurisdiction over cases under chapter 13 of title 11. (C) any debt due for any State or Federal tax.” — https://www.govinfo.gov/content/pkg/USCODE-2024-title15/html/USCODE-2024-title15-chap41-subchapII-sec1673.htm (accessed 2026-10-07)
• 20 U.S.C. § 1095a(a)(1) — “the amount deducted for any pay period may not exceed 15 percent of disposable pay, except that a greater percentage may be deducted with the written consent of the individual involved” — https://www.govinfo.gov/content/pkg/USCODE-2024-title20/html/USCODE-2024-title20-chap28-subchapIV-partG-sec1095a.htm (accessed 2026-10-07)
• 15 U.S.C. § 1674 — “(a) No employer may discharge any employee by reason of the fact that his earnings have been subjected to garnishment for any one indebtedness. (b) Whoever willfully violates subsection (a) of this section shall be fined not more than $1,000, or imprisoned not more than one year, or both.” — https://www.govinfo.gov/content/pkg/USCODE-2024-title15/html/USCODE-2024-title15-chap41-subchapII-sec1674.htm (accessed 2026-10-07)