{"id":3221,"date":"2025-03-31T10:48:00","date_gmt":"2025-03-31T10:48:00","guid":{"rendered":"https:\/\/getirshelp.com\/?p=3221"},"modified":"2026-05-20T21:46:33","modified_gmt":"2026-05-20T21:46:33","slug":"understanding-the-federal-payment-levy-program-fplp-how-the-irs-can-levy-federal-payments-without-warning","status":"publish","type":"post","link":"https:\/\/getirshelp.com\/blog\/understanding-the-federal-payment-levy-program-fplp-how-the-irs-can-levy-federal-payments-without-warning\/","title":{"rendered":"Understanding the Federal Payment Levy Program (FPLP): How the IRS Can Levy Federal Payments Without Warning"},"content":{"rendered":"

I’m Darrin Mish. Tampa tax attorney, 32 years in, more than $100 million in IRS debt resolved.<\/strong> What follows isn’t theory – it’s what I’ve actually watched work.<\/p>\n\n\n

IIf you owe back taxes, you might assume you’ll get plenty of warning before the IRS takes action. Think again.<\/p>\n\n\n\n

For certain federal payments – like Social Security benefits, federal salaries, and government contractor payments – the IRS uses a fast-track collection method<\/strong> called the Federal Payment Levy Program (FPLP)<\/strong> to seize your money automatically<\/strong> – even if the levy notice was sent years ago<\/strong>.<\/p>\n\n\n\n

In this article, we’ll uncover:<\/strong><\/h2>\n\n\n\n

\u2714\ufe0f What the FPLP is and how it operates
\u2714\ufe0f Which payments the IRS can and cannot<\/strong> seize
\u2714\ufe0f How much they can take
\u2714\ufe0f The five best strategies<\/strong> to stop an FPLP levy
\u2714\ufe0f Insider secrets<\/strong> the IRS doesn’t want you to know<\/p>\n\n\n\n

\ud83d\udca1 If your federal payments are at risk, time is critical – keep reading to learn how to protect your money!<\/em><\/p>\n\n\n\n

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What Is the Federal Payment Levy Program (FPLP)?<\/strong><\/h2>\n\n\n\n

The Federal Payment Levy Program (FPLP)<\/strong> is an automated<\/strong> IRS collection process that seizes<\/strong> certain federal payments to satisfy delinquent tax debts.<\/p>\n\n\n\n

How It Works:<\/strong><\/h3>\n\n\n\n

1\ufe0f\u20e3 The IRS flags your account<\/strong> as “seriously delinquent” ($59,000+ in unpaid taxes).
2\ufe0f\u20e3 The Bureau of the Fiscal Service (BFS)<\/strong> matches your information with any federal payments<\/strong> you’re set to receive.
3\ufe0f\u20e3 The IRS automatically levies<\/strong> those payments – no new warning required<\/strong>.<\/p>\n\n\n\n

Key Facts You MUST Know About the FPLP:<\/strong><\/h3>\n\n\n\n

\ud83d\udea8 No new notice is required<\/strong> – If you ever received a Final Notice of Intent to Levy (LT11 or CP90)<\/strong> – even years ago – the IRS does not<\/strong> have to send another one.
\ud83d\udea8 Automatic & Ongoing<\/strong> – The levy continues until your tax debt is paid or you take action to stop it<\/strong>.
\ud83d\udea8 Not limited to just one payment<\/strong> – The IRS can seize 15% of multiple federal payments at once<\/strong>.<\/p>\n\n\n\n

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Which Federal Payments Can the IRS Seize Under FPLP?<\/strong><\/h2>\n\n\n\n

If your tax debt is flagged for FPLP, the IRS can levy<\/strong> the following federal payments:<\/p>\n\n\n\n

\u2705 Payments the IRS CAN Take:<\/strong>
\ud83d\udd39 Social Security Benefits<\/strong> (excluding SSI<\/em>)
\ud83d\udd39 Federal Salaries<\/strong> (current and former employees<\/em>)
\ud83d\udd39 Federal Retirement Benefits<\/strong> (including OPM annuities<\/em>)
\ud83d\udd39 Military Retirement Pay<\/strong>
\ud83d\udd39 Government Contractor & Vendor Payments<\/strong>
\ud83d\udd39 Certain Railroad Retirement Benefits<\/strong>
\ud83d\udd39 Medicare Provider & Supplier Payments<\/strong><\/p>\n\n\n\n

\u274c Payments the IRS CANNOT Take:<\/strong>
\ud83d\udeab Supplemental Security Income (SSI)<\/strong>
\ud83d\udeab Veterans Affairs (VA) Benefits<\/strong>
\ud83d\udeab Federal Student Loans<\/strong>
\ud83d\udeab Some Military Disability Payments<\/strong><\/p>\n\n\n\n

\ud83d\udd0e A common mistake? Thinking your Social Security is protected. It’s NOT! The IRS can legally take 15% of it every single month.<\/em><\/p>\n\n\n\n

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How Much Can the IRS Take?<\/strong><\/h2>\n\n\n\n

\ud83d\udcb8 Federal benefits (Social Security<\/a>, federal retirement, etc.)<\/strong> – The IRS takes 15%<\/strong> of each payment, every month.
\ud83d\udcb0 Federal contractor & vendor payments, Medicare reimbursements<\/strong> – The IRS can take 100%<\/strong>!<\/p>\n\n\n\n

Example: How an FPLP Levy Affects Your Benefits<\/strong><\/h3>\n\n\n\n
Federal Payment Type<\/th>Monthly Benefit<\/th>15% IRS Levy<\/th>Amount Received After Levy<\/th><\/tr><\/thead>
Social Security<\/strong><\/td>$2,000<\/td>$300<\/td>$1,700<\/td><\/tr>
Federal Retirement<\/strong><\/td>$3,500<\/td>$525<\/td>$2,975<\/td><\/tr>
Military Retirement<\/strong><\/td>$2,800<\/td>$420<\/td>$2,380<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

\ud83d\udea8 The levy is ongoing – meaning this deduction continues until your tax debt is gone or you take action!<\/em><\/p>\n\n\n\n

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How to STOP an FPLP Levy (Before It’s Too Late!)<\/strong><\/h2>\n\n\n\n

If your federal payments are being seized under the FPLP, you must act FAST<\/strong> to stop the levy. Here are five proven strategies<\/strong> to get your money back:<\/p>\n\n\n\n

1\ufe0f\u20e3 Pay the Balance or Set Up a Payment Plan<\/strong><\/h3>\n\n\n\n

\ud83d\udca1 Fastest way to stop the levy<\/strong>: Pay off your balance in full<\/strong> OR set up an Installment Agreement<\/a> (IA)<\/strong>.
\u2714\ufe0f Call the IRS at 1-800-829-1040<\/strong> to set up a plan.
\u2714\ufe0f Once approved, the IRS must<\/strong> release the FPLP levy.<\/p>\n\n\n\n

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2\ufe0f\u20e3 Request “Currently Not Collectible” (CNC) Status<\/strong><\/h3>\n\n\n\n

If you can’t afford basic living expenses<\/strong>, the IRS must stop collections<\/strong> – including FPLP levies.
\u2714\ufe0f File Form 433-F<\/strong> to prove financial hardship.
\u2714\ufe0f Call 1-800-829-7650<\/strong> to request CNC status<\/a>.<\/p>\n\n\n\n

\u23f3 This stops levies temporarily, but the IRS will check your finances annually.<\/em><\/p>\n\n\n\n

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3\ufe0f\u20e3 Apply for an Offer in Compromise (OIC)<\/strong><\/h3>\n\n\n\n

\ud83d\udd25 Settle your tax debt for LESS than you owe!<\/strong>
\u2714\ufe0f If the IRS accepts your Offer in Compromise<\/a><\/strong>, collections STOP immediately<\/strong>.
\u2714\ufe0f Use the IRS OIC Pre-Qualifier Tool<\/strong> to see if you qualify: irs.gov<\/a>.<\/p>\n\n\n\n

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4\ufe0f\u20e3 Appeal the Levy (If IRS Procedures Were Violated)<\/strong><\/h3>\n\n\n\n

\ud83d\udea8 If the IRS never<\/strong> sent you a Final Notice of Intent to Levy (LT11 or CP90)<\/strong>, you may<\/strong> be able to challenge the levy.
\u2714\ufe0f File a Collection Due Process (CDP) hearing request (Form 12153)<\/strong>.
\u2714\ufe0f This temporarily stops enforcement<\/strong> while the IRS reviews your case.<\/p>\n\n\n\n

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5\ufe0f\u20e3 Prove Financial Hardship for Social Security Levies<\/strong><\/h3>\n\n\n\n

If the 15% levy on Social Security<\/strong> creates extreme hardship<\/strong>, you can request a full or partial release<\/strong>.
\u2714\ufe0f Call 1-800-829-7650<\/strong> and explain your hardship.
\u2714\ufe0f You must provide financial proof<\/strong> (rent, medical bills, etc.).<\/p>\n\n\n\n

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Final Thoughts: Protect Your Money from the FPLP<\/strong><\/h2>\n\n\n\n

\ud83d\udea8 The Federal Payment Levy Program (FPLP) is one of the IRS’s most aggressive collection tools<\/strong> – and it does not<\/strong> require a new warning once your account is flagged.<\/p>\n\n\n\n

\ud83d\udca1 The best way to avoid an FPLP levy?<\/strong> Resolve your tax debt NOW<\/strong> before enforcement begins. Whether it’s a payment plan, hardship request, or tax settlement, taking action is the only way to protect your income.<\/strong><\/p>\n\n\n\n

If your payments are already being levied<\/strong>, time is critical<\/strong> – consider working with a tax professional to stop the IRS from taking your money.<\/strong><\/p>\n\n\n\n

\ud83d\udce2 Have questions? Drop them in the comments below!<\/strong><\/p>\n\n\n\n

<\/p>\n\n\n\n