summary
Introduced
02/19/2019
02/19/2019
In Committee
04/16/2019
04/16/2019
Crossed Over
04/10/2019
04/10/2019
Passed
05/14/2019
05/14/2019
Dead
Signed/Enacted/Adopted
05/20/2019
05/20/2019
Introduced Session
2019 Regular Session
Bill Summary
Under current law, the amount of an individual's disposable SENATE HOUSE April 22, 2019 April 9, 2019 earnings subject to garnishment is either 25% of the individual's disposable earnings for a week or the amount an individual's disposable earnings for a week exceed 30 times the state or federal minimum wage, whichever is less. The bill changes the amount subject to garnishment from 25% to 15% of the individual's disposable weekly earnings and from 30 times to 50 times the amount an individual's disposable earnings for a week exceed the state or federal minimum wage. Currently, the cost of court-ordered health insurance for a child provided by an individual is deducted from the individual's disposable earnings subject to garnishment. The bill also deducts from an individual's disposable earnings subject to garnishment the cost of any health insurance that is provided by the individual's employer and voluntarily withheld from the individual's earnings. The bill creates an exemption that would permit individuals to prove that the amount of their pay subject to garnishment should be further reduced or eliminated altogether if the individual can establish that such reductions are necessary to support the individual or the individual's family. The bill also requires clearer and more timely notice to an individual whose wages are being garnished and gives the individual more time after receiving the notice before garnishment starts.
AI Summary
This bill makes several changes to the laws governing wage garnishment in Colorado. The key provisions are:
1. The amount of an individual's disposable earnings subject to garnishment is reduced from 25% to 15% or the amount exceeding 40 times the minimum wage, whichever is less (down from 30 times the minimum wage).
2. The cost of any health insurance provided by the employer and voluntarily withheld from the employee's earnings can now be deducted from the disposable earnings subject to garnishment.
3. The bill creates an exemption that allows individuals to prove their pay should be further reduced or eliminated if the garnishment would not leave enough to support the individual or their family. The court must consider the individual's actual living expenses in making this determination.
4. The bill requires more detailed and timely notice to individuals whose wages are being garnished, including information on their rights and options. It also gives the individual more time before garnishment can start.
Overall, the bill aims to provide greater protections for individuals subject to wage garnishment and ensure they have enough income to meet their basic living expenses.
Committee Categories
Budget and Finance
Sponsors (4)
Last Action
Governor Signed (on 05/20/2019)
Official Document
bill text
bill summary
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bill summary
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bill summary
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