Wisconsin Rent Late Fee Calculator
Calculate rent late fees and verify compliance with Wisconsin state regulations. Free instant calculator with legal compliance verification.
Wisconsin provides minimal statutory guidance on rent late fees, relying primarily on a 'reasonableness' standard without imposing specific dollar or percentage caps. This landlord-friendly framework is tempered by municipal ordinances in cities like Madison, which impose stricter local limits.(Wis. Admin. Code § ATCP 134.09(8))
Wisconsin Statutes Chapter 704 governs landlord-tenant relationships but does not establish maximum late fee amounts. Instead, late fees must be 'reasonable' under Wisconsin Administrative Code § ATCP 134.09(8), which requires fees to be clearly stated in lease agreements. Courts have broad discretion to invalidate fees deemed excessive or punitive.
Landlord-Tenant Law - Governs leases, evictions, security deposits, and tenant rights
Related Statutes
While Wisconsin law provides no hard cap, landlords should stay within industry norms to avoid court challenges. A $50 fee on $1,000 rent (5%) is conservative; a $200 fee (20%) may be invalidated as excessive.
In the case of Three & One Co. v. Geilfuss (1993), the Wisconsin Court of Appeals upheld a $50/month late fee as proper, providing case law support for reasonable fee amounts. Wisconsin law does not require landlords to provide grace periods before charging late fees, though many offer 5-day grace periods voluntarily.
What Courts Consider 'Reasonable':
- Industry practice: 5% of monthly rent or $50, whichever is greater, is commonly accepted
- Actual costs test: Fees should reflect administrative expenses, not serve as punishment
- Case law precedent: $50/month fee upheld in Three & One Co. v. Geilfuss (1993)
- Proportionality: Fee amount should reasonably relate to monthly rent
- Market comparisons: Fees similar to those charged by comparable properties
Madison
Madison's municipal code caps late fees at 5% of monthly rent (MGO 32.12(11)), making it one of Wisconsin's most tenant-protective cities. Maximum late fee examples: $1,000 rent = $50 max; $1,500 rent = $75 max. This preempts state reasonableness standard within Madison city limits and applies to all residential rentals.
Learn moreMilwaukee
Milwaukee follows state law without imposing additional late fee caps. However, the city advises landlords not to include late fees in 5-day eviction notices, as this may complicate enforcement. Late fees should be pursued separately from rent arrears in eviction proceedings.
Green Bay, Kenosha, and Other Cities
Most Wisconsin municipalities follow state reasonableness standards without additional restrictions. Always check local ordinances when operating in specific cities.
Payment Application Priority Enforcement
Wisconsin law requires landlords to apply rent payments to unpaid rent first, then to late fees. This prevents landlords from manufacturing defaults by applying partial payments to late fees while leaving rent unpaid. Recent court enforcement has strengthened this requirement, ensuring tenants who pay rent but dispute late fees cannot be evicted for non-payment.
Three & One Co. v. Geilfuss
Wisconsin Court of Appeals upheld a $50/month late fee as proper. While not specifically about late fees, this case provides case law support for reasonable fee amounts around $50 being acceptable.
Illinois
No statutory cap, reasonableness standard (similar to Wisconsin)
Minnesota
No cap, reasonableness standard (similar to Wisconsin)
Iowa
No cap, but 5% is common practice (similar to Wisconsin)
Michigan
No cap, reasonableness standard (similar to Wisconsin)
Indiana
8% cap or $20, whichever is greater (more restrictive than Wisconsin)
Landlord Best Practices:
- •Stay within 5% or $50: Conservative approach minimizes legal risk and ensures Madison compliance
- •Provide written disclosure: Include exact late fee amount and timing in every lease
- •Check local ordinances: Verify city-specific caps before setting fees
- •Offer voluntary grace period: 5 days is common practice and reduces disputes
- •Apply payments correctly: Always credit rent first, then late fees
- •Document costs: Maintain records showing administrative expenses from late payments
- •Separate from eviction notices: Don't include late fees in 5-day rent arrears notices
- •Consistent enforcement: Apply late fee policies uniformly to all tenants
Tenant Best Practices:
- •Read lease carefully: Understand exact late fee amount and when it applies
- •Know city rules: Check if your city (e.g., Madison) has stricter caps than state law
- •Request grace period: Ask for 5-day grace period if not already provided
- •Document payments: Keep receipts, bank records, and proof of all rent payments
- •Pay rent separately from late fees: If disputing fees, pay rent in full to avoid eviction
- •Challenge excessive fees: If charged more than 5% or $50, dispute in writing
- •Know your rights: Late fees alone cannot trigger eviction in Wisconsin
- •Seek legal help: Contact Legal Action of Wisconsin for free assistance with disputes
Wisconsin State Legislature
Official source for Wisconsin Statutes Chapter 704 and ATCP Chapter 134
Legal Action of Wisconsin
Provides free legal representation and advice for low-income tenants
Wisconsin Law Help
Offers educational materials, forms, and self-help resources for renters
Tenant Resource Center (Madison)
Nonprofit organization providing counseling and advocacy for Madison-area tenants
Frequently Asked Questions - Wisconsin
5-day grace period. Maximum $20 or 20% of rent, whichever is greater.
View Official State Law →Updated October 2025