Though utilized as a routine source of revenue for many state and local governments, increasing reliance on fines and fees to fill budget gaps and raise additional revenue as a response to recent federal policy developments, may actually deepen financial hardships without improving budgets. Building on recent research from How Fines and Fees Impact Family Well-Being and Ability to Pay and the Affordability of Fines and Fees, this brief examines the prevalence of fines and fees and people’s ability to pay them. Using data from the Urban Institute’s 2024 Well-Being and Basic Needs Survey, findings suggest that governments will face difficulty raising revenue from the imposition of fines and fees, particularly where the costs are disproportionately imposed on people without the means to pay.
Key Findings:
- In December 2024, nearly one in five working-age adults (18 percent) reported that they or a household member were charged fines or fees in the past 12 months, most commonly traffic and parking tickets.
- More than half of adults (54 percent) who incurred court or incarceration-related costs in 2024 were charged $500 or more.
- Nearly one in four adults (24 percent) who were charged fines or fees in 2024 reported owing money for unpaid fines or fees from that year or prior years. Among adults who incurred court or incarceration-related costs, 55 percent reported owing money for unpaid fines or fees. For those with family incomes below 200 percent of the federal poverty level who incurred court or incarceration-related costs, 71 percent reported owing money for unpaid fines or fees.
- Adults who were charged court or incarceration-related costs were most likely to experience food insecurity (61 percent) and face housing, utility, and health care hardships (around 50 percent each) in 2024. Adults whose households incurred these types of fines or fees also had higher rates of participation in public benefit programs.
- Five percent of adults charged or owing money for fines and fees reported that court or government staff asked whether they could afford to pay their parking tickets, traffic tickets, or criminal justice fines, fees, or court costs. One in four adults (26 percent) charged or owed money for fines and fees reported they were offered at least one option to afford their fines and fees.
Read the full brief here.