HB 19-1189: Wage Garnishment Reform

• Reduces disposable earnings subject to garnishment by including deductions for employer-provided health insurance premiums for the employee or household members, in addition to existing individual health insurance deductions.

• Increases the wage protection threshold from 30 times to 40 times the federal and state minimum hourly wage when calculating garnishable earnings.

• Establishes that tips are not subject to garnishment and garnishees are not required to collect or control employee tips.

• Requires detailed notice to judgment debtors explaining garnishment rights, protections, calculation methods, and options including the ability to request a hearing without consulting the garnishee if financial hardship exists.

• Allows judgment debtors to file written objections and request court hearings to establish that greater portions of disposable earnings should be exempt based on actual living expenses for supporting themselves and their families.