How much can be taken from my wages via a Wage Arrestment Order?

What’s the maximum a creditor can take from an Earnings Arrestment?

If you have got into a situation where you’ve fallen behind on debt repayment a creditor has the legal right to seek a Wage Arrestment or Earnings Arrestment against you to recover their debt, in specific circumstances.

However, there are clearly defined limits on how much a creditor can recover from you via a Wage Arrestment Order, and this depends on how much you earn. Different limits apply depending on what you earn and how often you are paid, whether that is daily, weekly or monthly.

First let’s look at the rules as they apply to maximum amounts that can be taken from daily earnings by wage arrestment. 

Finally, let’s review the rules as they apply to maximum wage arrestment amounts that can be taken from monthly wages.

The maximum permitted deductions per month are calculated against net earnings amounts per month, as follows:

• If you earn £566.51 or less per month, nothing can be deducted by wage arrestment.
• If you earn between £566.52 and £2,047.65 (inclusive) per month, £15.00 or 19% of wages over £566.51 (whichever is higher) can be deducted by wage arrestment.
• If you earn between £2,047.66 and £3,078.47 (inclusive) per month, £281.42 plus 23% of wages over £2,047.65 can be deducted by wage arrestment.
• If you earn more than £3,078.47 per month, £518.51 plus 50% of wages over £3,078.47 can be deducted by wage arrestment.

Keep in mind that wage arrestment deductions can be taken from bonuses, commissions and even sick pay.

If you are dealing with a Wage Arrestment Order and would like to consider your alternative options for dealing with your debt, you contact us on 0800 063 9250 to speak with one of our team of debt specialists.