Adoption Funding
The costs associated with adoption may seem overwhelming at first. But with the help of the federal adoption tax credit of up to $13,360 (for tax year 2011) and a variety of other available funding sources, adopting may be more affordable than you think!
Below are several funding resources to consider.
To learn more about our adoption programs, you can request an adoption information packet, attend an information meeting or schedule a consultation, or call 1.800.677.2367.
Federal Adoption Tax Credit
Internal Revenue Service
Phone: Toll-Free, 1-800-829-1040
Hours of Operation: Monday – Friday, 7:00 a.m. – 10:00 p.m. your local time
Web site: http://www.irs.ustreas.gov
The Affordable Care Act, passed on March 22, 2010, raised the maximum adoption credit to $13,360 per child for 2011, and at least $12,170 for 2012. It also made the credit refundable through 2011, meaning that eligible taxpayers can get it even if they owe no tax for that year. In general, the credit is based on the reasonable and necessary expenses related to a legal adoption, including adoption fees, court costs, attorney’s fees and travel expenses. Income limits and other special rules apply.
Brief Summary:
- The Adoption Tax Credit has been extended through December 31, 2012. Beyond 2012, the tax credit will revert to the previous credit that was in place prior to 2002.
- Adoption Tax Credit Amounts (if Congress makes no changes):
2011: $13,360 (indexed for inflation, refundable)
2012: at least $12,170 (indexed for inflation, non-refundable)
2013: $6,000 for a special needs child - The Adoption Tax Credit is refundable only through 2011.
For more information on the tax credit, see Form 8839, Qualified Adoption Expenses (PDF), and the worksheets located in the instructions (PDF), both available at the IRS web site listed above.
For information about contacting Congress or the media to advocate to extend the Adoption Tax Credit, see The Future of the Adoption Tax Credit in the February 2012 issue of the Adoption Associates Quarterly Newsletter.
For detailed advice regarding the credit, contact a tax advisor.
Links to additional resources:
Tax Benefits for Adoption: the Adoption Tax Credit - article in Adoption Advocate, a publication of the National Council for Adoption
Questions and Answers on Adoption Benefits
Adoption Credit, IRS Tax Topic 607 – information on qualifying expenses paid to adopt
State Tax Credits
Many states also offer adoption tax credits. Visit your state’s web site or contact your tax advisor to find out if a state tax credit may be available to you.
Employer Reimbursement
Check with your employer to see if your workplace has an adoption benefit. If they do not, the “Adoption-Friendly Workplace” program listed in the resources below offers information and tools to propose one to your employer. A listing of the best adoption-friendly workplaces is also available on their web site.
Resources For Adoption
Web site: http://www.resources4adoption.com/
Download this comprehensive, up to date free Financial Resources Chart that contains detailed information on approximately 67 adoption grants. Families who sign up to download the chart will be notified by resources4adoption.com when an update is made.
America’s Christian Credit Union
2100 E. Route 66
PO Box 5100
Glendora, CA 91740-0808
Phone: 1-800-343-6328
E-mail: info@americasccu.com
Web site: https://www.americaschristiancu.com
America’s Christian Credit Union (ACCU) offers adoption loans for families who are pursuing international or domestic adoption. Applicants are required to become members of the credit union and must sign ACCU’s Statement of Faith.
Adoption loans are available up to $50,000 for terms up to 60 months at competitive interest rates. Applicants must meet credit standards set by ACCU. Once approved, loan proceeds will be immediately available to the borrower. Repayment of principle + interest begins as soon as the loan is disbursed.
For more information, visit the ACCU website or contact ACCU at the phone number or e-mail above.
The ABBA Fund
P.O. Box 78800
Charlotte, NC 28271-704
Phone: 1-888-775-3422
E-mail: kevin@abbafund.org
They provide financial assistance for parents who believe that God is calling them to grow their families through adoption and need help with the “cash flow crunch” posed by adoption expenses. Help churches establish adoption funds.
Adoption Friendly Workplace
4150 Tuller Road
Suite 204
Dublin, Ohio 43017
Phone: 1-877-777-4222
E-mail: info@adoptionfriendlyworkplace.org
Web site: http://www.adoptionfriendlyworkplace.org
The “Adoption-Friendly Workplace” program offers information and tools to help you establish an adoption benefits policy for your employees or propose one to your employer.
A Child Waits Foundation
1136 Barker Road
Pittsfield, MA 01201
Phone: 866-999-2445 (866-999-CHILD)
Fax: 518-794-6243
E-mail: cnelson@achildwaits.org
Web site: http://www.achildwaits.org
Provides low interest loans for families who have exhausted other financial options and could not proceed with their adoption without this help.
A Child’s Desire
1735 1/2 Washington Street
Natchitoches, LA 71457
Phone: 318-354-1229
E-mail: grants@achildsdesire.org
Web site: http://www.achildsdesire.org
A Child’s Desire offers grants to parents adopting hard to place children, special needs children, and children over the age of eight. Offers adoption grants to nonprofit agencies as well as an adoption fundraising program to adopting families.
Christian Advocates for Adoption, Inc. (CAFA)
P.O. Box 364
Hudsonville, MI 49426-0364
Phone: 616-669-0655
E-mail: info@cafadopt.org
This organization works with Christian couples. They start with a homestudy and application that is reviewed by CAFA board members. Then they send funding packets to clients who contact friends, family and acquaintances requesting help with the costs of the pending adoption. As a 501(c)(3) ministry donations to CAFA are tax deductible. Money is then distributed to our clients for use in paying for the adoption.
Gift of Adoption Fund, Inc.
P.O. Bos 567
Techny, Illinois 60082
Phone: 847-205-2784 or toll-free at 877-905-2367
E-mail: grants@giftofadoption.org
The Gift of Adoption Fund provides grants to families with financial need who are seeking to adopt.
Global Orphan Outreach
c/o Donna Barber
W6126 Hraban Road
Tony, WI 54563
Phone: 715.415.4401 or 715.749.3607
E-mail: globalorphanoutreach@yahoo.com
Web site: http://www.globalorphanoutreach.com
Global Orphan Outreach exists to help adoptive families find and apply for adoption grants. This organization will research which grants are best for you, apply and fill out all paperwork for those grants for you, have them ready for your signature, and have them ready to be mailed in pre-addressed envelopes.
God’s Grace Adoption Ministry
P.O. Box 4
Modesto, CA 95353
Phone: (209) 572-4539
E-mail: info@ggam.org
God’s Grace Adoption Ministry is a non-profit organization helping adoptive parents overcome the financial burden of adopting children. It is not an adoption agency, but rather works in cooperation with the agency to assist the family with their financial needs. Depending on the individual family needs, financial assistance is available in the form of grants and interest free loans.
Helpusadopt.org
P.O Bos 20435
New York, NY 10021
Phone: 1-917-684-5484
E-mail: info@helpusadopt.org
Web site: http://www.helpusadopt.org
HelpUsAdopt.org is a national non-profit 501 (c)3 financial assistance grant program that will provide qualified couples and individuals with grants of up to $15,000 towards their adoption expenses. Grants are awarded twice a year in June and December.
His Kids Too!
Teresa Fillmon
219 B. Delta Court
Tallahassee, FL 32303
Phone# 1-850-524-5437
E-mail: director@hiskidstoo.org
Web site: http://www.hiskidstoo.org
His Kids Too!, a 501(c)(3) charity, is a wonderful grant program designed so that your friends and family can assist you financially with adoption costs. Donors make tax-deductible donations to His Kids Too!, and adoptive families apply for a grant from the funds generated by donors. The benefit of this program is that you are in control of your fundraising efforts and donors will have complete confidence that donations will go directly towards adoption expenses.
Home for Good Foundation
697 E. Intervale Rd.
Grants Pass, OR 97527-9022
(541) 479-5926
E-mail: adopt@hfgf.org
Web site: http://www.hfgf.org
Home for Good is involved in the ongoing work of planting adoption ministries in churches around the world. These ministries are created to support families who would like to adopt but are burdened by the cost.
Kingdom Kids Adoption Ministries
1417 N. Lincoln
Spokane, WA 99201
509-465-3520
E-mail: ministry@kingdomkidsadoption.org
Web site: http://www.kingdomkidsadoption.org
Determination of grant amounts is based on a combination of the needs of the child, cost of the adoption, financial situation of the family and fundraising efforts.
Lifesong for Orphans
202 N. Ford St.
Gridley, IL 61744
Phone: 309.747.3556
E-mail: info@lifesongfororphans.org
Web site: http://www.lifesongfororphans.org
Lifesong for Orphans offers a “matching grants” program as well as interest free loans.
Our Creator’s Hope, Inc.
939 Cedar Bend Rd S
Southside, AL 35907
E-mail: administration@ourcreatorshope.com
Web site: http://www.ourcreatorshope.com
Our Creator’s Hope believes that going into debt to give a child a home should not be necessary, so based on fund availability, OCH awards financial grants in the amount of $1,000-$10,000 to qualified families for domestic and international adoptions. OCH is a non-profit organization.
Saving Children, Building Families
Web site: www.savingchildren.net/
The Saving Children, Building Families Foundation believes that every child deserves a home. Their goal is to direct the limited funds available to where it will do the most good based on the available information. They prefer to fund international adoptions.
Sea of Faces
6920-B Bradlick Shopping Center #200
Annandale, VA 22003
E-mail: director@seaoffaces.org
Web site: http://www.seaoffaces.org/grants.htm
In order to be good stewards of the finances we’ve been given, applicants must meet the below criteria to be considered for a grant:
- You are adopting a child from a developing country
- You have a completed home study
- You are a married couple, one man and one woman
- Both individuals are professing Christians
Shaohannah’s Hope
PO Box 647
Franklin, TN 37065
Phone: 615-550-5600
Web site: http://www.showhope.org
Awards financial adoption grants to qualified families already in the process of adopting. The size of the grant awarded is determined by several factors, the most important being need.
