The price of providing a child with a forever home may seem expensive, but know that most of the fees involved go to the care and prenatal care of your prospective child and ensure the safety and well-being of that child. And there’s good news. For families open to foster care, the cost of foster-to-adopt is around $2,500, thanks to federal and state adoption assistance programs. Know too that there are a number of grants, subsidies, and tax credits available for qualifying adoptive families.


Why does adoption cost so much? How do some families adopt at no cost? Questions about the costs of adopting are often one of the first questions that hopeful Adopting Parents looking to adopt ask. With so many different types of adoption programs and different costs associated with the process, one family’s cost to adopt may be completely different from another’s. Every adoption is unique and the costs will vary, but it is important that you get an understanding of all the services involved and a range of what fees may look like.
I think part of what’s so hard about the high cost of adoption is that it brings to mind the frightening idea of buying a child (especially when you see the catalogs of kids needing to be adopted, complete with pictures and descriptions). That’s not what’s happening here, and most agencies seem to go to great lengths to make that clear. The birth mother is not receiving a payment (though her medical bills, legal and counseling needs will be covered). The adoption agency is not getting rich (our agency pointed out that their nice new building was funded completely by donations–not a penny of adoption fees went to the construction costs).
A: The costs really depend on the type of adoption, and, to some extent, the length of time it takes to adopt. Costs can range from $0 to $50,000. Child Welfare Information Gateway has an excellent review of adoption costs with references. Many employers also offer adoption benefits to help offset the cost. In 2013 the Federal Adoption Tax Credit was created to help families cover the adoption costs, as well.
When asked a question that feels too personal or improper, you have the right not to answer it -- particularly if it compromises your child's, the birth mother's, or your own privacy. But sometimes you can find a way to respond to a question that's in the best interest of your family and offers some important information about adoption. For instance, when asked "How much did you pay for your baby?" you can explain that the fees you paid your agency and/or orphanage (you don't have to disclose the amount) went toward the facilitation of your adoption and to the early care of your child. In a sense, they're similar to what a pregnant woman pays to her doctor and hospital, you can add.
This is a tax credit offered to adoptive parents to encourage their adoption. The United States International Revenue code offers a credit for “qualified adoption expenses” paid or incurred by individual taxpayers. The credit apply’s for all types of adoption except step-parent adoption and is available in the  year the adoption is finalized. In 2017, the maximum adoption tax credit was $13,570 per child. The amount changes year over year due to inflation. Talk with your tax adviser to understand more about the Adoption Tax Credit and how it can work for you. The Adoption Tax Credit is not refundable, but it does provide financial assistance to many families each year.
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