IRS Wage Garnishment (Form 668-W): How It Works and How to Get It Released
If your employer says the IRS is taking part of your paycheck, you've received a wage levy, often called a wage garnishment. It keeps going every payday until it's released.
Get help releasing my wage levyAn IRS wage garnishment is a levy sent to your employer on Form 668-W. Your employer is legally required to send part of each paycheck to the IRS and pay you only an exempt amount, based on your filing status and number of dependents.
Unlike a bank levy, a wage levy is continuous. It stays in place every payday until the IRS releases it. The IRS can release it when you set up a payment plan, qualify for hardship status, pay the balance, or meet another release condition.
Where this notice falls in the IRS process
- CP504 — Notice of intent to levy
- LT11 / Letter 1058 / CP90 — Final notice, 30-day hearing rights
- Levy issued to your employer or bank — you are here
- Levy released (paid, payment plan, hardship, or other reason)
What the IRS can do now
- Take everything above your exempt amount from each paycheck, every payday.
- Keep the levy in place until the balance is paid or the levy is released.
- Levy other income or accounts at the same time, such as a bank account.
What the IRS generally can't do yet
- Take your entire paycheck. You always keep an exempt amount based on your filing status and dependents.
- Refuse to release the levy if it's causing an economic hardship that keeps you from paying basic living expenses.
- Keep the levy in place after you've set up an installment agreement, in most cases.
Your options
Payment plan
Setting up an installment agreement is the most common way to get a wage levy released. Your payment becomes a set monthly amount instead of most of your paycheck.
Hardship release
If the levy leaves you unable to cover basic living expenses, the IRS can release it and mark your account Currently Not Collectible.
Claim your exemptions
Make sure your employer has your completed exemption statement. Claiming all your dependents raises the amount you keep.
Offer in Compromise
If you truly can't pay the full balance, an offer may resolve the debt. The levy is often released while an offer is considered.
Pay in full
Paying the balance releases the levy. Confirm the balance is correct first.
What not to do
- Wait for it to stop on its own. A wage levy continues until it's released.
- Quit your job to avoid it. The IRS can levy your next employer, and other assets, too.
- Ignore your employer's exemption form. Not returning it shrinks the amount you keep.
- Leave returns unfiled. The IRS will expect current filing before agreeing to most resolutions.
Is the IRS taking your paycheck? Let's get it released.
Tiffany V., CPA can contact the IRS, set up the resolution that fits your budget, and request the levy release.
Book my CPA reviewFrequently asked questions
How much of my paycheck can the IRS take?
Everything above an exempt amount based on your filing status, pay frequency, and number of dependents. The IRS publishes the exempt amounts each year in Publication 1494.
How do I stop an IRS wage garnishment?
Usually by setting up a payment plan, qualifying for hardship status, or paying the balance. Once that's in place, the IRS can send your employer a levy release.
Can I get money back that was already garnished?
Generally not if it was correctly levied. The faster you act, the less is taken. In limited cases, such as a levy issued in error, money can be returned.
Can my employer fire me over an IRS levy?
Federal law prohibits firing an employee because their wages are subject to garnishment for a single debt. If you're worried, talk to an employment attorney.
Written by Tiffany V., CPA, founder of Cents Savvy LLC. Last reviewed October 2026. This page is general information, not tax or legal advice for your situation. Cents Savvy LLC is a private CPA firm and is not affiliated with the IRS. Always follow the dates printed on your own notice.