Funding The Baby Adoption Process

y adoption is not an inexpensive process. ManyBoth federal employees and military personnel are
hopeful parents discard the idea of a baby adoptioneligible for baby adoption benefits, which vary from
early because they do not realize that there are bothextended leaves and/or reimbursement of up to
private and government resources that are available$2,000.00 after the baby adoption is finalized.
to help prospective adoptive parents, which will aid inEmployees of Harvard University are also eligible for
the costs associated with travel, agency fees andbaby adoption assistance directly from the Harvard
additional spending.Adoption Assistance Plan. Under this program, up to
There are several tax benefits associated with baby$5,000.00 may be granted for expenses relating to
adoption, which include the Federal Adoption Taxthe adoption of a child with financial need not being a
Credit. This amount is a credit issued for adoptivefactor.
families on qualified expenses related to a babyIn addition to these options, there are grants
adoption. Allowable expenses, in this case, arespecifically designed to help prospective parents with
subtracted from the current tax liability. In addition, aexpenses relating to the adoption. These include A
number of states offer a tax credit in addition to theChild Waits Foundation, Hebrew Free Loan
previously mentioned federal tax credit. When itAssociation, Funds 4 Families, A Mother’s
comes to taxes, adoptive parents are allowed toLove Fundraising, Community Fundraisers, The
claim the same dependency exemption as for theirNational Adoption Foundation, Ours By Grace and
biological children. This exemption provides a reductionUnited Way International.
in taxable income.As a final option in assistance with funding a baby
In addition to tax assistance, a number of employersadoption, individuals may consult with their local bank
participate in the Adoption Assistance Benefitsor credit union regarding loan programs for adoptive
Program. This program allows employers to reimbursefamilies. Others may choose to use their savings
a baby adoption with a cash benefit. If youraccount or cash out the equity in their home to
employer does not participate in this program, youmake an adoption happen. If you ask most adoptive
may request material to provide your employer in anparents, money is no object when it comes to the
effort to request adoption assistance by contactinglove of a child and the joy that he/she brings into the
the National Adoption Center.life of loving parents.