Glossary · UK
What is Attachment of Earnings?
A court order requiring an employer to deduct money directly from an employee's wages to repay a debt or unpaid fine.
Full Definition
An attachment of earnings order (AEO) is a legal instruction, usually issued by a court, that requires an employer to deduct sums directly from an employee's pay and send them to a creditor or the court. It is commonly used to recover county court judgment debts, unpaid council tax, magistrates' court fines, or child maintenance arrears. The employer becomes responsible for calculating and remitting the deductions each pay period, applying any protected earnings rate so the employee retains a minimum income to live on. Deductions are taken after tax and National Insurance. Failure by the employer to comply can result in penalties. For employees, an AEO signals serious debt enforcement and can affect take-home pay significantly; for employers it creates a payroll administration duty. Multiple orders may run at once, with priority rules determining which is satisfied first. Anyone facing an AEO should seek free debt advice promptly to understand options.