Difference between revisions of "Creditors' Remedies against Debtors (10:III)"

70 percent of any wages due by an employer to an employee is exempt from seizure or attachment under a garnishing order. Therefore, only 30 percent of wages after statutory deductions (i.e. Employment Insurance premiums, Canada Pension Plan, Income Tax, etc.) can be garnished (s 3(5)). However, a single person cannot be left with less than $100 per month (or calculated pro rata for a shorter period), and a person with dependants cannot be left with less than $200 per month (or calculated pro rata for a shorter period) (s 5). However, where wages are garnished to pay maintenance or support for the debtor’s family, the exemptions allowed to that person are 50 percent of wages not exceeding $600 per month or 33 and 1/3 percent of wages exceeding $600 per month (''COEA'' s.3(7)). These exemptions must not be less than $100 per month (s 4(6)).