[2forus]

I was just wondering how everyone came up with the money to adopt. My husband and I sat down and looked at the info from the agency we are considering last night and we figured up what it was going to cost us for 1 vs 2. We're not sure how we're going to pay for 2 or if we should wait until later.

[Kasey]

First adoption, we refinanced our home (to lower interest rate) and took equity out at that time, our family also hosted a fund raising party to help us with travel costs and orphanage donations (that netted 7k!), My dad also gave us a generous christmas present that year which we put in a CD.

This adoption, we just opened a home equity line of credit, which we will pull from as we need to.
We also opened 0% interest rate credit card (rate is good for one year), so we plan to use this for our travel (air and hotel).

The adoption tax credit really helped us, since it was essentially a full refund (doesn't work that way for everyone though), so we paid back a good chunk of what we borrowed.

Best wishes!!

[jkkclinton]

we refinanced our home to lower interest rate, we found a vehicle that cost us $200 less per month, we had a million garage sales with donated stuff from friends and family, and I'm sure there is more that I'm not thinking of right now.

First thing is to downsize any bills you have...you'll be amazed at all of the extras you can find...is there a cheaper electric company? cheaper internet? etc

And pray. God will bless this road if you are doing His will!!

Krista

[Ebadge90]

We took a home equity loan. Part of that was spent on fertility treatments, which did not work. We are hoping that the tax credit will assist us in paying down the loan.

[deere1]

We took out Home Equity Loan. After into the process family began to gift us money as well (we did not ask and did not expect ahead).

My husband received small amount of reimbursement from his work. I was able to get my employer to set up Adoption FSA. I put aside a portion of pre-tax dollars and got small reimbursement back. We did not go over the amount where we are still able to take full credit on taxes and amount received in reimbursements was not taxed.

[torussiawithlove]

Boy does this all sound soooo familiar....

We refinanced our home for a lower intrest rate. ( which also helped us pay off an IVF bill)
Donations from family memnbers and close friends. (unsolicited donations)
Now trying to pay off some other misc bills.

[cathvash]

Kim, Be sure to ask about the Adoption Tax Credit for TWO children. I think this could really help you pay down your loans after the adoption(s) completion.

[Jim_in_PA]

Please be sure you understand how the adoption tax credit works before you count on it relative to funding payoff of any adoption related debt. It's a tax credit. That means it only balances against taxes owed. If your normal tax bill is low, it could be up to five years before you realize the full benefit and in some circumstances, the tax bill is low enough that a family may not be able to receive the entire credit, even over the maxium number of years. You do not "get a check" from the government, per se...you get a refund of taxes owed up to the amount you paid in...and that only happens after you file your tax return for the year your adoption is complete.

Additionally, the credit phases out for higher income families starting at an AGI (Adjusted Gross Income) of $159K and is completely gone at about $199K. (In some areas of the country, that is not functionally high income due to cost of living, including housing costs...)

Granted, there are many, many families that find financial relief from this credit, but again...know your own situation. And be sure you either have professional help to prepare your returns or use softeware like TurboTax to insure they are done correctly.
-----

BTW, check with your employer to see if there is any adoption benefit available. Although most small to mid-sized businesses don't have it, many major corporations do offer some amount of money to employees who complete adoptions. My employer, for example, provides $3500 per child. Relative to the above discussion, there is an addional tax benefit for families who qualify that forgives Federal taxes on up to a certain amount of employer adoption benefits. It is calculated on the same form as the adoption credit.

[chucknfw]

We adopted three siblings at once. There wasn't a significant difference in cost in adopting three versus one. The adoption tax credit has benefitted us greatly. We have had no income tax liability for the last three years.

[ddahl]

The million dollar question. We adopted one after a lengthy consideration of two. Nine months later we are still kicking ourselves for not adopting two at a time. I believe it would have been significantly less expensive to do it all at once.

[pequele]

Jim is that your hair?
I am new here so just curious

[DaniJ]

(I think Jim is wearing a "Ruski" hat)

As for the topic: I worked a second job and all that money went into an account for adoption expenses.

We also took out a loan, with the intention of paying it off with our tax refunds... HAHAHA! (adoption didn't go through... had a debt, no tax refund, and no kid!) That was a painful bill to pay off!

Danielle

[Pinkie]

My Mum was very generous and my bank manager was very accommodating with a loan. Apart from that I downsized everything I possibly could, saved like crazy and opened a market stall selling off anything and everything I could get my hands on (like your garage sales).

[Jim_in_PA]

Originally Posted by pequele

Jim is that your hair?
I am new here so just curious

More like "haire" as in "rabbit"...750 rubles worth (about $25).

[mcanvasback]

Originally Posted by Jim_in_PA

More like "haire" as in "rabbit"...750 rubles worth (about $25).

Jim, I know you are a good sport and won't mind that these last few posts were a good laugh (and these days, I need all the laughs I can get!)

Pequele, I am not laughing at you - this forum has had lots of discussion abut Jim's "haire" so it was funny!!!

Welcome!