What is Attachment of Earnings Order?

Full Definition

An Attachment of Earnings Order (AEO) is a legal mechanism under the Attachment of Earnings Act 1971 that compels an employer to make deductions from an employee's pay and pass those deductions directly to the collecting body (a court, the Child Maintenance Service, or a local authority). AEOs are used to recover a range of debts: unpaid county court judgments, council tax arrears, fines, and child maintenance payments. There are several types: the Consolidated Attachment of Earnings Order (covers multiple judgment debts), the Community Charge (Council Tax) Attachment, and Child Support deductions from earnings. A key protection for employees is the Protected Earnings Rate (PER): the court sets a minimum net income below which deductions cannot reduce the employee's take-home pay. If the employee's net earnings fall below the PER in any pay period, the employer must not make any deduction for that period (or only a partial deduction). Employers are legally obliged to comply with an AEO upon receipt; non-compliance can result in the employer being held in contempt of court. Employees have the right to apply to the court to vary or suspend the order if their circumstances change. Where an employee has multiple AEOs, there is a priority order: child maintenance deductions generally take priority over other AEOs, but PAYE income tax and National Insurance deductions always take precedence over all attachments. Employers receive an administrative fee (currently £1 per deduction) to compensate for the administrative burden.