What's Happening?
Legal Tax Defense, Inc., a tax law firm based in Los Angeles, has announced new strategies to help individuals protect their Social Security benefits from garnishment. With increasing debt collection activities
amid economic uncertainty, the firm aims to educate retirees and fixed-income Americans on federal protections for Social Security benefits. While federal law generally protects these benefits from most private creditors, exceptions exist for obligations such as unpaid federal taxes, defaulted federal student loans, child support, alimony, and court-ordered restitution. Legal Tax Defense emphasizes the importance of proactive financial and legal planning, such as ensuring Social Security payments are directly deposited into a bank account to protect eligible funds. The firm also advises addressing outstanding debts early to prevent escalation into legal actions.
Why It's Important?
The strategies provided by Legal Tax Defense are crucial for retirees and fixed-income Americans who rely heavily on Social Security benefits as a primary income source. Understanding the protections and exceptions under federal law can prevent unnecessary financial stress and potential loss of income due to garnishment. As economic pressures like inflation and medical expenses continue to rise, safeguarding these benefits becomes increasingly important. The firm's guidance on proactive debt management can help individuals avoid legal complications and maintain financial stability.
