National Adoption Foundation
adoption tax credit
Adopting With A Budget
1) Public Adoption
You may have heard of many private agencies that you could work with to adopt, but sometimes people skip over this potential option. Public adoption is run through the government and is funded largely on taxpayer money.
- Most of the children in the public welfare system will either be coming out of the foster care system, are children who have been taken away from their families as a result of abuse or neglect, or are children with special needs.
- These extenuating circumstances, and the fact that the child must be in the system for six months before adoption in a majority of cases, tend to ensure that the child will rarely be a newborn, but will often be a little older.
- They don’t tend to offer as many services as private adoption agencies.
2) Diverse Payment Plans
When researching private agencies and adoption professionals, make sure to keep an eye out for whether they have a range in payment plans. Some agencies desire payment upfront in a single lump some, but many, knowing the difficulty of this, allow for gradual payment plans. This allows families to pay the fees and other payments in set increments over a period of time. This is much more doable for most families as they are able to put aside more funds as paychecks come in on a month to month basis.
If the information that the agency or organization you are looking into doesn’t advertise the way they handle their payments, then definitely make sure to contact them and ask. While many offer a diverse payment plan, it is beneficial to know what to expect in order to align your finances ahead of time. Regardless, many agencies, organizations, and adoption professionals have every desire to place as many children with loving families as possible, which means they will be overjoyed to work with the family on their available budget and financial situation to create a payment plan that works for everyone.
3) Be Informed About Tax Credits
While many people visit their tax advisers after they have started down the path to adoption, it is actually recommended that you do this first to see how tax credits will benefit you and at what level. This tax credit does have a maximum limit, so depending on your situation, it may have a large or a little impact. Regardless, it should help you cover adoption fees, travel expenses, and any necessary attorney or court fees.
Similarly, many employers are also beginning to offer employer adoption benefits that will help you finance the adoption process and afterwards. Check with the human resources department at your employer to see if you could benefit from this kind of credit.
4) Investigate Loans and Grants
There are many avenues that will help you acquire funding for adoption through loans and grants made specifically for people in all sorts of situations.
Here is a list of just a few grants that are aimed at making adoption as affordable and easy as possible for you:
- A Child Waits Foundation: If your combined household income amounts to less than $120,000 and are adopting internationally, then you can qualify for a grant that will help you bring the child to the United States. You can only do this after you have begun the adoption process, but before the child has been brought to
- State assistance: Just enter the name of your state, and this resource will tell you the extent to which your specific state covers adoption fees.
- National Adoption Foundation: The NAF gives grants of up to $2,000, depending on the family’s need, to assist with the adoption process.
These are but a few examples of the many avenues available to you. There are also a great number of faithbased organizations that offer specific grants to families who demonstrate a specific faith and are looking to adopt. Whatever situation, there is a solution for you.
5) Work with the Adoption Network!
We offer free 24/7 adoption support, no matter what stage of the process you are in. Whether you are just starting to search for adoption information, or are well within the adoption process, we can discuss your financial situation in order to create a plan that will work well with everyone.