Financial Assistance for International Adoption
Links and Overview
Adoption Financial Assistance
Grants and Loans
When looking for financial assistance to reduce the cost of international adoption, many organizations can help. Knowing a little about the types of aid and what you need to do to apply can make this process more successful. Here is a list of organizations that provide grants and loans.
Tax Credit – Hope For Children Act HR1836 sec. 202
The federal government allows for a tax credit of up to $13,570 per adopted child. The credit can be claimed on your federal tax return for the year in which the adoption becomes final. The credit is a dollar for dollar reduction in tax liability. For families making less than $150,000 per year in adjusted gross income, they are eligible for the full $13,570 tax credit. For families making over $150,000 in adjusted gross income, the amount is reduced. Singles equally qualify for the same tax credit. For more information regarding this law, visit the IRS website.
Many companies, large and small, now offer adoption benefits to their employees. Those benefits may be financial reimbursements for fees paid during the adoption or just parental leave for adoption. You should always check with your company’s human resources department to see if they offer these benefits and contact us to add them to the list below. For a list of employers offering benefits, go to the National Adoption Center, National Adoption Information Clearinghouse (NAIC).
Military Non-Recurring Program
There is a one-time subsidy for full-time military personnel. Adopting couples or singles can receive up to $2,000 per child or $5,000 for siblings for adoption-related expenses. Eligible military personnel would need to complete DD Form 2673 (Reimbursement Request for Adoption Expenses).
See Defense Finance and Accounting Service Instruction 1341.1 dated November 5, 1993
Budgeting For International Adoption
When you’ve made the decision to adopt, it makes sense to put together a financial plan before you begin the process. Adoptions come with the standard agency, legal and home study fees, but for international adoptions, there are additional travel, visa expenses and a fee to the foreign agency to consider.
Here are a few tips on how to plan and prepare for these expenses