Cost recovery fee
Minnesota law requires the parent who applied for full child support services to pay a fee to recover costs, called the cost recovery fee. This fee is two percent (2%) of the amount of the support, collected monthly until the yearly maximum is reached.
Who pays the fee?
The parent who applied for child support services pays the cost recovery fee.
If the parent receiving support applied for services, the fee is subtracted from the support sent to that parent. Example: If the child support office collects $150 per month, the fee would be $3 per month. The amount sent to the parent would be $147.
If the parent paying support applied for services, the fee is added to the parent's monthly support obligation. Example: If the child support is $150 per month, the parent's fee would be $3 per month. The monthly amount due would then be $153.
Is the fee ever waived?
If the parent who applied for services or the child living with them receives public assistance, the cost recovery fee is not charged until after public assistance ends.
Parent receiving support is the applicant: The fee is not charged during the time the parent or child receives public assistance. For example, there is no fee if:
Parent paying support is the applicant: The fee is not charged if the parent receives Medical Assistance (MA). One month after assistance from this program ends, the state will charge the fee. Note: The parent must tell the child support office when MA begins or ends.
There is a yearly limit for the cost recovery fee. This limit may change each year. The limit is based on the average cost per case in the Minnesota child support program. When the limit is reached, cost recovery fees will no longer be charged for that case for the rest of the year.
If you do not want to pay the fee
Parents who applied for child support services and do not receive public assistance can ask to have their case closed if they do not want to pay the cost recovery fee.
State laws can be found on the Minnesota Office of Revisor of Statutes website.
- Minnesota Statutes, section 518A.51