An Act to amend and reenact § 34-29 of the Code of Virginia, relating to exemptions from garnishment; exemptions in bankruptcy proceedings; disposable earnings.
HB445 amends Virginia’s garnishment law in § 34-29 to restate and clarify the limits on how much of a person’s disposable earnings may be taken to satisfy debts. The bill preserves the general rule that garnishment may not exceed the lesser of 25% of disposable earnings or the amount above 40 times the applicable minimum wage, while continuing exceptions for child or spousal support, taxes, and bankruptcy-related orders. It also defines key terms such as “earnings,” “disposable earnings,” and “garnishment,” and confirms that certain assignments or transfers of exempt wages are void and unenforceable.
The bill further clarifies that wages deposited in a bank or other depository remain protected to the extent provided by the exemption, and that employers may not discharge an employee because wages were garnished for a single debt. It also states that the wage exemption applies in bankruptcy proceedings unless otherwise provided in the section. Overall, the measure is a consumer-protection and debtor-relief statute that limits creditor access to wages while preserving support and tax collection remedies.
HB445 updates and reenacts Virginia Code § 34-29, affecting wage garnishment procedures, employer obligations, and the treatment of earnings in bankruptcy. It applies to wages, salary, commissions, bonuses, independent contractor payments, and certain pension or retirement payments, and it limits what creditors can reach through garnishment. The bill also reinforces protections for deposited earnings and prohibits employer retaliation for a single garnishment, while leaving intact stronger collection rules for support obligations and tax debts.
Based on the bill text and the absence of recorded committee debate or roll-call votes in the provided materials, the bill appears to have been noncontroversial and administrative in nature. Its provisions are consistent with longstanding wage-exemption and debtor-protection policy, suggesting general support for preserving a basic portion of workers’ earnings from creditor collection. No opposing viewpoints are documented in the supplied context.
No specific points of contention are shown in the provided transcripts or voting history. If any concerns existed, they would likely have centered on the balance between debtor protections and creditor collection rights, especially the scope of exemptions for wages, deposited earnings, and bankruptcy proceedings. The bill’s exceptions for child support, spousal support, and taxes reduce the likelihood of major dispute because they preserve key public-policy collection tools.