Did You Go Into Debt to Adopt?
How in the world can an average family afford domestic infant or international adoption? The average cost of a domestic infant adoption in the US is $30-35,000 and the average for an international adoption in the US is $42-44,000. These costs are in range with the cost of pregnancy and birth (with vaginal birth about $30,000 and C-section about $50,000), but the difference is that medical insurance usually covers most of the cost for pregnancy and adoptive parents cover most of the cost for adoption. Ouch!
Not many adoptive families have $30-40,000 sitting unmarked in a savings account just waiting to be used. Families wanting to adopt privately from the US or abroad should definitely listen to this week’s Creating a Family show where we talked about adoption loans, interest free adoption loans, adoption grants, and adoption fundraising.
Cobbling Together the Money
I wish I could tell you that the Creating a Family show on Paying for Adoption offers a magic bullet that will solve all your adoption financing problems. Alas, I can’t. Most people use many sources to fund their adoption–savings, budgeting, borrowing from family, loans, grants, and fundraising. We talk about adoption loans, interest free adoption loans, adoption grants, and fundraising for adoption in this show. We have an upcoming show in August with the Dave Ramsey Financial Peace University to talk about Saving Money for Adoption and Infertility the Dave Ramsey Way.
People seem to be very divided on the appropriateness of fundraising for adoption. Our guests on the Paying for Adoption Creating a Family show gave specific suggestions and also specific cautions about over-sharing personal information on your child. I also highly recommend this popular blog I wrote: Adoption Fundraising Etiquette- How Not to Be a Pest.
Adoption Tax Credit
Don’t forget that you may be eligible for the Adoption Tax Credit to help pay for adoption. It is no longer a refundable credit, but is still useful in lowering the cost of adoption. We have tons of resources on this topic, including an FAQ page and an annual Creating a Family show.
Be Wary of Debt
It is tempting to become so focused on adoption, that it is tempting to slip into the mindset of adoption at any cost. Yes, children are a great investment; yes, we spend money on lots of less important things such as new cars and houses; BUT you still need to be careful about the amount of debt you are taking on. New parenting is stressful enough without adding the additional stress of debt.
How did you pay for your adoption?
P.S. To get more information on the upcoming show on Saving Money for Adoption and Infertility the Dave Ramsey Way and to send in questions for me to ask on air, sign up for our twice weekly newsletter at the top of this page.