Savings and Budgeting
Be mindful of cash flow
Trust that God will provide.
"For I know the plans I have for you," declares the Lord.
"Plan to prosper you and not to harm you. Plans to
give you hope and a future." Jeremiah 19:11
One of the major roadblocks in making the decision whether to adopt a child is the cost of adoption. Adoption fees vary greatly and sometimes depend on whether you adopt an infant or an older child. Whether you use a private or public agency, an attorney, or intermediary also affects adoption fees. There are many sources of help for adoption costs.
Federal tax credits and tax exclusion
A federal income tax credit and a tax exclusion may be available to defray some adoption costs. The IRS provides a tax credit up to $10,390 for qualified expenses paid to adopt an eligible child. Prospective adoptive parents can find information about tax rules regarding adoption at the IRS website. Parents should look for information at the listed website.
Many employers provide a range of benefits for families who adopt, including paid or unpaid leave when a child arrives in the home, reimbursement of some portion of adoption expenses, or assistance with adoption services. Corporate human resource departments can provide employees with information about any benefits available.
Subsidies and reimbursements for children with special needs
For the adoption of a special-needs child from the foster care system, the State of Texas offers Medicaid health care coverage, reimbursement of one-time adoption-related expenses, and monthly payments to assist with the child’s needs.
The military provides active-duty personnel a reimbursement for most one-time adoption costs up to $2,000 per child. The maximum amount available in a given year is $5,000, even if both parents are in the military. Reimbursement is made after the adoption if finalized.
Adoption Loans and GrantsAdoptive parents may be eligible to receive a loan or grant to offset some of their adoption costs. Such programs may have specific requirements or financial need considerations. Many agencies also have adoption grant programs.
Resources for Funding
There is a wealth of information available to adoptive parents or those considering adoption. Sometimes there is too much information to consider. The ministry team has selected a set of web links to aid Christian families in their journey.
www.howtoadopt.org - An excellent resource that describes the entire adoption process
The Spirit of Adoption - An overview of Christian adoption. Answers key questions about infertility and God’s plan for families.
www.affordingadoption.com/grants.php - this site provides a tremendous amount of information pertaining to grants, no interest loans, etc.
http://members.shaohannahshope.org/site/PageServer - this final site for now is the organization that Steven Curtis Chapman started and provides some good information as well. Also, families can apply for a grant through this ministry and they can receive up to $7000.
www.abbafund.org - Uniting families through interest free, covenant loans for adoption.
http.//www.nationaladoptionfoundation.org - The National Adoption Foundation provides financial resources, information and services for adoptive and prospective adoptive families.