Prepare To Adopt
What Does It Cost To Adopt?
Adoption fees vary from province to province and the territories and may depend on whether you adopt an infant or an older child. Whether you use a private or public child welfare authority or an approved adoption practitioner also affects adoption fees. If a public child welfare adoption authority, which is financed by tax dollars, places a child, fees will be minimal or there may be no fee at all.
Many agencies do not charge service fees to families who adopt children with special needs. However, you will need a home study and because adoption is a legal process, you may need a licensee or adoption agency, if you are not adopting through a public child welfare authority.
The cost of a home study is usually included in the adoption fee, but can be separate in some situations. It can range from no cost to $3,000. Legal costs can range from $1,000 to $2,000 or more and special needs adoptive families often incur additional costs for medical expenses and equipment, counselling, etc. – costs that may continue throughout the child’s lifetime.
In general, infant adoption fees are the costliest as people often adopt through a private agency. Fees may include the cost of all professional services, pre and post natal care costs (if any) and counselling for the birth parents, if necessary. As a result, fees can range from no cost to $15,000 or more.
In Canada, most older children and children with special needs are placed through a public child welfare authority or ministry. When adopting through a public child welfare authority or ministry, there are usually no costs involved to the prospective adoptive family.
Inter-country adoptions can cost families $10,000 to $20,000 in fees or more and that may not include travel and living expenses while in the child’s country of origin.
When working with an agency, an approved adoption practitioner or licensee, it is very important to obtain fee information in writing before beginning the process. You should also request a written detailed explanation of fees, including what they cover and what “extras” may be added later.
Investigate Financial Resources
Employer Benefits - A growing number of companies and government agencies now offer adoption benefits as part of their benefits package. These might include financial reimbursement, unpaid and/or paid leave time and resource and referral services. Also, most health insurance plans cover the adopted child from the time of placement in the home. This is designed to give adoptive parents and children the same benefits as parents with children born to them.
Be sure to check for any exclusions in your benefits policy relating to pre-existing conditions.
Adoption Subsidies - If you adopt a child from foster care, he or she may be eligible for an adoption subsidy (also known as adoption assistance). Adoption assistance payments are designed to help offset the short and long-term costs associated with adopting children who need special services.
Benefits available through subsidy programs vary by province/territory, but commonly include:
• Monthly payments (often nontaxable);
• Monthly cash payments;
• Medical assistance;
• Social services; and/or
• Nonrecurring adoption expenses.
Before adopting a child from foster care, ask your agency about the availability of an adoption subsidy. It is important to negotiate your subsidy agreement before the adoption is finalized - even if there is no current need for financial assistance - because you won’t be able to negotiate a subsidy agreement after the adoption is finalized.
Adoption assistance in Canada is not funded at the national level and therefore all funding for post-adoption support must come from the individual provinces or territories. Subsidies are usually only available when you adopt from a public child welfare authority. Québec and Prince Edward Island do not offer any adoption assistance; however, Québec does have an adoption tax credit based on a percentage of your adoption expenses. Funding in Ontario is at the discretion of the individual 52 Children’s Aid Societies.
For information on adoption assistance, ask your social worker or contact your provincial or territorial adoption director. Visit NACAC’s Adoption Subsidy Resource Center website or contact via e-mail adoption.assistance@NACAC.org or phone (800) 470-6665 or (651) 644-3036.
Federal adoption expense tax credit - The 2009 tax year allows a credit up to $10,909 for eligible adoption expenses related to the adoption of a child who is under 18. Visit Canada Revenue Agency for qualification details.