INSTRUCTIONS TO 

FEDERAL AGENCIES 

Preparing 

Administrative Wage 

Garnishment Forms 

SF-329E 

December 2016 

U.S. Department of the Treasury 

Bureau of the Fiscal Service

Debt Management Services
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

Purpose.......................................................................Page 1

Background................................................................Page 1

Paperwork Reduction Act.........................................Page 2

Termination of AWG.................................................Page 3

Preparing the Termination Order............................Page 5

How to Obtain AWG Forms.....................................Page 7

Inquiries......................................................................Page 7
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

1

Purpose 

This document explains how Federal Agencies terminate the AWG process 

and, if necessary, prepare a termination order by using the newly created 

Standard Form 329E (SF-329E). Agencies will use SF-329E when a 

debtor’s employer requests an Order of Termination signed by Treasury. 

Background 

Wage garnishment is a process whereby an employer withholds amounts 

from an employee’s wages and pays those amounts to the employee’s creditor 

in satisfaction of a wage garnishment order issued by the creditor. 

A Federal Agency collecting delinquent, non-tax debt may garnish the wages 

of a debtor without first obtaining a court order. This process, known as 

Administrative Wage Garnishment (AWG), is authorized by section 31001(o) 

of the Debt Collection Improvement Act of 1996 (DCIA), Pub. L. 104-134, 110 

Stat. 1321-358 (Apr. 26, 1998), codified at 31 U.S.C. ' 3720D. The rules 

and procedures governing administrative wage garnishment were published 

as a Final Rule in the Federal Register on May 6, 1998 (63 FR 25136). 
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

2

Paperwork Reduction Act 

The administrative wage garnishment process under the DCIA is an 

administrative action taken by a Federal Agency against a debtor’s employer. 

Therefore, any collection of information under the AWG termination process 

is exempt from the requirements of the Paperwork Reduction Act of 1980 

(44 U.S.C. ' 3501 et seq.). 

See 44 U.S.C. ' 3518(c)(1)(B)(ii) 

- Act does not apply to the collection of information during the conduct of an

administrative action involving an agency against specific individuals or entities.
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

3

Termination of AWG 

The wage garnishment action can be terminated for a number of reasons at any point in the 

process, both before the Order has been sent to the Employer and after it has been sent to the 

Employer. The termination can be a result of a request submitted by the Federal Agency, 

an action initiated by the DMS AWG Staff, or an automated system process. 

A. Agency Termination Request

The valid reasons for a termination request are: 

a. Death

b. Disability

c. Bankruptcy

d. Debtor enters into payment plan (repayment agreement, one-time compromise)

e. Debtor works for the Federal Government

f. Debtor is self-employed

g. Prior order(s) in place => 25 %

h. Debtor is no longer with employer

i. Employer goes out of business

j. Wrong employer / wrong debtor

k. AWG started in error

l. Other
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

4

B. Termination by the DMS AWG Staff

The DMS AWG Staff can also terminate the AWG action for various reasons. 

a. Compromise Agreement - When a concurrence with a compromise offer is “granted,”

the AWG is terminated.

b. No AWG Package Request – An agency must submit an AWG Package request within

45 days of the Notice Letter Sent Date; a Hearing Resolution that required a new AWG

Package; or a Fiscal Service Legal Counsel outcome that required a new package.

 If no request for an AWG package is made within 45 days of the Notice Letter,

a Hearing resolution, or the Legal Counsel decision, the AWG staff will terminate

the AWG case. 

C. Automatic System Terminations

When certain actions occur in the DMS collection system, the system terminates the AWG process 

and returns the debt to the originating agency. These actions include: 

a. Debt Paid in Full

b. Debt Settled in Full

c. Debt Recalled
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

5

Preparing the Termination Order 

As soon as the agency receives information that justifies terminating the AWG process, 

the agency is required to send, by first class mail, an AWG Release Letter to the debtor’s 

employer. The AWG Release Letter should be forwarded to the employer within 24 hours 

of the agency’s decision to discontinue AWG collection activities. This timely notification 

will ensure due process for the debtor. 

An agency may use the Notice of Termination of Wage Garnishment Order (SF-329E) 

in place of the AWG Release Letter if a debtor’s employer requests a signed order from a 

Treasury Official. The agency issuing the Order of Termination should mail the document 

to the employer after preparing the order in accordance with the instructions described below.

Box #

1a Date of Notice of Termination. Insert the date the agency issued the 

termination order. The date the agency issued the termination order 

is the date an agency official determines that the AWG process should 

be stopped. 

1b Date of Order/Amended Order. Insert the date the agency issued an 

amended AWG Order. The originating agency may hold a hearing and 

decide that the ongoing AWG action should continue, but the amount 

and/or the terms of the AWG Order should be modified in 

consideration of the debtor’s current financial status. 

2 Date Notice of Termination Mailed to Employer. Insert the date 

the agency mailed the termination order. Agencies should take the 

necessary steps to ensure that the termination order is mailed the same 

day as the date inserted in this box.

3 Creditor Agency Tracking No. Insert the number used by the agency 

to identify the existing AWG Order being administered by the debtor’s 

employer.
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

6

Box #

4 Employee Name / Employee Alias Name. Insert the full name of the 

debtor on file and any alias names by which the debtor may be known 

at his place of employment.

5 Employee Social Security No. Insert the debtor’s social security 

number.

6-7 Employer and Employer Mailing Address. Insert the complete 

legal name and mailing address of the debtor’s employer. 

Agencies should not abbreviate the name of the employer. 

8-9 Creditor Agency and Creditor Agency Mailing Address for 

Correspondence. Insert the complete name and mailing address 

of the agency issuing the termination order. 

Agencies should be identified as agencies of the United States, 

for example, U.S. Department of the Treasury rather than 

Department of the Treasury, to avoid confusion with 

State agencies with similar names. 

10-13 Contact Name, Telephone No., Internet e-mail address, and Fax No.

Insert the name, telephone number (with area code), internet e-mail 

address, and fax number (with area code) of a person within the creditor 

agency who can respond promptly to questions about the information 

contained in the termination order.

Creditor Agency Certification. 

The head of the agency, or his or her delegatee, must sign the Order of Termination. 

The delegatee must be an official or employee of the agency. In addition, the signatory’s 

printed name and title should be printed or typed where indicated. 
Instructions to Federal Agencies 

Preparing Administrative Wage Garnishment Forms 

Department of the Treasury

Bureau of the Fiscal Service

Rev. December 2016 

7

How to Obtain AWG Forms 

Creditor agencies may obtain AWG forms (SF-329) from DMS’ web site at:

https://fiscal.treasury.gov/debt-management/resources/guides-forms-downloads.html 

Inquiries 

Any inquiries may be made to: 

U. S. Department of the Treasury 

Bureau of the Fiscal Service 

Debt Management Service 

Government Wide Debt Collection Policy Branch 

401 14th St, SW 

Washington, DC 20227 

Attn: Alberta Holloway, Branch Manager 

Telephone: 202-874-7025

Fascimile: 202-874-8024

For additional information on AWG and or the entire debt collection program, please 

visit: https://fiscal.treasury.gov/cross-servicing/awg/awg-background.html