Paycheck Wipeouts, Your Entire Paycheck Just Vanished—Here’s What the Law Says About Illegal Deductions
A paycheck wipeout happens when illegal employer deductions, excessive wage garnishments, or unauthorized withholdings completely or nearly deplete your wages. Federal law (Fair Labor Standards Act and Consumer Credit Protection Act) limits garnishments to 25% of disposable earnings and prohibits deductions that drop you below minimum wage. If your paycheck has been wiped out, immediately…









