Law

Minnesota Statutes §144.586

Minnesota law requires nonprofit hospitals to maintain financial assistance programs and sets minimum sliding-fee discount requirements for lower-income patients.

Threshold

Up to 275% FPL

The state sliding-fee requirement extends meaningful discounts to patients up to 275% FPL at most Minnesota nonprofit hospitals.

Large systems

Mayo, Allina go further

Mayo Clinic, Allina Health, and M Health Fairview all maintain generous financial assistance programs that extend well above the state minimum.

Applies to

Nonprofit hospitals

The Minnesota sliding-fee requirement applies to nonprofit hospitals; for-profit hospitals are subject to federal 501(r) rules only.

Income thresholds

Minnesota's charity care income thresholds

Minnesota's law sets a sliding-fee floor, but practice at major systems often exceeds it:

Income levelTypical benefit
Under 100% FPL ($15,960 for 1 person)100% free care at most hospitals
100%–200% FPLSubstantial discount (often 75–100%)
200%–275% FPLSliding-scale discount required by state law
Above 275% FPLVaries — many major systems extend further

Mayo Clinic's financial assistance program extends discounts to patients up to 300% FPL and offers payment plans to those above that threshold. Allina Health and M Health Fairview also maintain programs that go beyond the state minimum. Always check the specific hospital's published policy.

Key protections

Key Minnesota patient protections

  • Sliding-fee mandate

    State law requires meaningful sliding-fee discounts up to 275% FPL — not just free care at the very bottom, but real discounts for working-income patients.

    Required
  • 240-day federal window

    Nonprofit hospitals must observe the federal 240-day window before sending bills to collections or adverse credit reporting.

    Federal right
  • Medical hardship provisions

    Many Minnesota hospitals include medical hardship provisions — if your medical bills are a significant share of your income, you may qualify even above the standard threshold.

    Available
  • Written policy required

    All Minnesota nonprofit hospitals must maintain a written Financial Assistance Policy and make it publicly available.

    Required

Medical Assistance (Medicaid) first

Minnesota's Medical Assistance (Medicaid) program covers a broad range of residents. Before applying for charity care, check if you qualify — especially if you have children or a disability. MinnesotaCare also provides low-cost coverage for those who don't qualify for Medical Assistance. Hospitals can help screen you for both programs.

Find your hospital's policy

How to look up a specific hospital's rules

The Minnesota Department of Health oversees hospital licensing. To find your hospital's financial assistance policy, search the hospital's name plus "financial assistance policy" online — all nonprofit hospitals must post this document. For Mayo Clinic, visit mayoclinic.org. For Allina Health, visit their patient financial services page directly. You can also call the hospital billing department and ask for the "financial assistance application."

Sources

Where this page's claims come from

  1. 1.Minnesota Statutes §144.586 — Hospital Financial Assistance — revisor.mn.gov
  2. 2.Minnesota Dept of Health, Hospital Licensing — health.state.mn.us
  3. 3.IRS Section 501(r) Requirements for Nonprofit Hospitals — irs.gov

General information, not legal advice

State law and hospital policies change regularly. Confirm current details with your state health department or the specific hospital's financial assistance office.