Wage Assignment

Wage Assignment
The procedure of taking money directly from an employee's compensation under the authority of a court order, in order to pay a debt obligation. Wage assignments are typically a last resort of a lender to receive repayment from a borrower who has previously failed to pay their debt obligation.

Typical reasons for a wage assignment may be items such child support payments, court fines and taxes that have gone unpaid for a prolonged period of time. Once mandated by a court and served to an employer, wage assignments are processed as part of an employer's payroll procedure — the employee's regular paycheck is decreased by the amount of the assignment and noted on their pay stub.

Employees may sometimes be able to voluntarily undergo wage assignment to pay for things like union dues or contribute to a retirement fund.


Investment dictionary. . 2012.

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Look at other dictionaries:

  • wage assignment — see assignment Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. wage assignment …   Law dictionary

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  • assignment of wages — n. Assigning the right to collect wages to a creditor of the wage earner. The Essential Law Dictionary. Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008 …   Law dictionary

  • Wage — For other uses, see WAGE (disambiguation). A wage is a compensation, usually financial, received by workers in exchange for their labor. Compensation in terms of wages is given to workers and compensation in terms of salary is given to employees …   Wikipedia

  • wage assignments — The transfer or assignment in advance of one s wages generally in connection with a debt or judgment. Such assignments are governed by statutes in most states. See also assignment (assignment for benefit of creditors) …   Black's law dictionary

  • assignment of wages — Transfer of right to collect wages from wage earner to creditor; generally, statutes govern the extent to which such assignment may be made …   Black's law dictionary

  • assignment of wages — Transfer of right to collect wages from wage earner to creditor; generally, statutes govern the extent to which such assignment may be made …   Black's law dictionary

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