Financial Assistance

“We cannot afford to adopt” is a statement often heard by our volunteers. Because of this statement, made in frustration, many childless families are brokenhearted and children remain in orphanages.

While we cannot change the fact that adopting internationally is expensive, we can assist in securing available Federal tax credits, employee benefits, O% and low interest loans, and adoption grants that are available today.

Federal Adoption Tax Credit

Adoptive parents may be able to claim a tax credit, as high as $10,360,  on their federal income tax return for qualified adoption expenses.

This tax credit is more valuable than a tax deduction because allowable expenses are subtracted dollar for dollar against your tax liability. For example, if you owe $5,000 in federal taxes and have $3,000 in qualified adoption expenses, your tax bill may be reduced to $2,000. If your tax bill is smaller than the credit, the unused portion of the credit may be carried forward for up to five years.

Employee Benefits

Hundreds of corporations offer adoption expense reimbursements to their qualifying employees. Benefits paid, on average, range between $1,700 and $10,000!

International Orphans Foundation maintains a database of nearly 450 employers with adoption benefits—financial reimbursement, paid and/or unpaid leave time, and resource and referral services. 

State Subsidies

Many states offer a tax credit or subsidy in addition to the federal tax credit. There is often an added benefit program for those who adopt children classified as “special needs” (often considered correctable). Sometimes these subsidies can apply to international children.

0% Interest and Low Interest Loans

International Orphans Foundation (IOF) offers 0% interest and Low interest secured loans, with special terms strictly for adoption expenses. The loans are in the form of a secured line of credit.  The interest rates (as low as 0%) are based on the individual financial needs of the applicant.  Loans are intended to be repaid by funds applicants receive from tax reimbursements, employee benefits, State subsidies and grants (by third parties, other than IOF). 

Disclaimer:
Neither IOF, its officers, directors, agents nor employees represent that all applicants will receive a loan from IOF. All loans are awarded with the sole discretion of the Board of Directors.

Grant Writing Assistance

Many people will take out an IOF loan to fund the adoption and find that upon receiving tax reimbursements and employee benefits that much of their IOF loan can be paid back quickly.  However, if the funds received from all tax reimbursements, employee benefits, and State subsidies are not sufficient to pay the outstanding IOF loan amount, IOF will assist applicants in seeking adoption grants, from third party non-profit organizations, to help repay the remaining unpaid IOF loan amount. 

To qualify for grant writing assistance prospective adoptive parents must have received an IOF loan.   

Disclaimer:
Neither IOF, its officers, directors, agents nor employees represent that all applicants will receive grants.