Adoption Subsidy

I’ve had a lot of people ask how in the world we can afford to adopt six kids. Kids are expensive. That is true. And, so, in order to help get typically less adoptable kids adopted and out of foster care, the state does help a little bit to offset those costs through the adoption subsidy.

The adoption subsidy applies to what they call special needs adoptions. The Six qualify as special needs because they are a sibling group. Since they are minorities, being adopted individually four of them would qualify because they will be over the age of two at adoption (white children have to be six or older).

In Texas, for a kid who was basic level of care while in DFPS conservatorship (as The Six are), you get the following:
-$400 a month until the child turns 18
-Medicaid until the child turns 18*
-Tuition and fee waiver at any public college or university in the state**
-One time $1200 payment per kid paid to the adoption attorney
-Qualify for entire federal adoption tax credit***
-Post-adoption services until the child turns 18****

*They will also be on our regular insurance. Medicaid will be secondary, but that means unless we take them to an out of network doctor, we won’t have to pay co-pays or deductibles.
**They have to take at least one class by 25, but then they can take as many classes as they want for as long as they want. Theoretically they could become a doctor or lawyer by going only to Texas universities.
***The adoption credit is a non-refundable credit that reduces the taxes you owe. Basically, we won’t pay federal income tax for the next few years because of that tax credit because if the adoption was a special needs adoption – meaning the child qualified for the state subsidy – you get the entire credit regardless of how much you actually paid to adopt the kids.
****Post-adopt includes things like training, support groups, counseling, residential placement services, therapeutic camps, and other such things we might need as the children get older.

Obviously the adoption subsidy doesn’t cover all – or even a large part – of the costs associated with raising a child. But it does make it so people who might not otherwise be able to adopt can and those kids get forever families.

One thought on “Adoption Subsidy

  1. Pingback: Medicaid and WIC | Smaller on the Outside

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