Managing the high costs of adoption and fertility treatments

Before you get too far along in either the adoption process or fertility treatments, it pays to do a little research upfront. You want to make smart financial decisions from the outset because you don't know what will lie ahead, Mendall says. 

When starting fertility treatment, "ask the difficult questions and believe the answers," Mendall says. While it may be disappointing to learn that a particular procedure has only a remote chance of resulting in a pregnancy, you can more intelligently decide whether it makes sense to move forward. That's particularly key if it's expensive.

If you plan to try fertility treatments and then move to adoption if the treatments aren't successful, keep in mind the costs you might face at that point. "A lot of people come to adoption after having spent $30,000 to $60,000 on infertility and then have nothing left," says Mardie Caldwell, director of Lifetime Adoption Center in Rough and Ready, Calif. 

• Head abroad. Prospective parents can look outside the United States for fertility treatments. Wendy and Max Lieberman were living in Argentina when Wendy first turned to fertility treatments to help her conceive her son, now 20 months old. About a year later, after having moved to Phoenix to be near family and again having trouble conceiving, Wendy returned to her doctor in Argentina. Even with travel costs, the expense totaled about $7,000, or about half what it would have been here, Lieberman says.
• Check your benefits. If you or your partner are employed, check your insurance coverage, says Patricia Mendell, a New York-based licensed clinical social worker who works with prospective parents. Even if just some treatments are covered, that can mean thousands off your final bill. 
• Be a wise consumer. The costs for procedures can vary widely. Wakulat found that an IUI was $300 at one doctor and $600 at another. When working with a doctor, ask what each procedure is for and if all are necessary, Collura advises. Be vigilant about getting second opinions and don't hesitate to ask about and compare treatment pricing.
• Participate in studies. Some fertility specialists conduct studies of different treatments and will offer a price break if you participate. Wakulat did this and was able to shave about $8,000 off the total cost of an IVF treatment. 
• Grants. Several organizations provide grants to help families pay for fertility treatments, including The International Council on Infertility Information Dissemination, and Fertile Dreams.

• Adoption tax credit. Depending on your income level, you may qualify for a federal tax credit for adoption expenses of up to $12,170 in 2010. This credit is scheduled to expire at the end of 2011, although it may be extended, says Rita Soronen of the Dave Thomas Foundation for Adoption.
• Adopting through foster care. Completing an adoption through the foster care system can be much more affordable than other avenues, says Soronen. In 2007, 56 percent of foster care adoptions imposed no cost on the parents, according to Adoption USA, a publication of the U.S. Department of Health and Human Services. That said, prospective parents should be aware of the challenges that can accompany foster care system adoptions. Many of the children are older, and some have special needs that can require ongoing care, Soronen says. Some may be part of a sibling group that the government agency prefers not to break up. To help parents cover these costs, many government agencies offer ongoing subsidies. The North American Council on Adoptable Children provides a state-by-state guide to the adoption assistance available.   
• Adoption grants. A number of organizations offer grants to prospective adoptive parents. Among these are showhope.org. and brittanyshope.org.
• Employer benefits. Check whether your employer offers adoption benefits. The Dave Thomas Foundation has compiled a list of the most adoption-friendly workplaces.