Monday, November 18, 2013

Making Adoption Affordable

Tight on cash? That should not prevent you from adopting. There are many resources out there that can help you expand your family through adoption. We work with families of every income level. We find that most adoptive parents are not wealthy people--but, they have room in their hearts and homes for a child.

Federal Adoption Tax Credit: Did you know that there is a federal tax credit there for you to use?  Thousands of dollars are available that can help with: adoption agency fees, court costs, attorney fees, travel expenses and other things that are directly related to your adoption.  There is an income limit for this credit but it is relatively high. The adoption tax credit is adjusted each year based upon the cost of living allowance. The maximum credit for 2013 is $12,970. The full credit is available to taxpayers with a modified adjusted gross income of $194,580 or less, and the credit will phase out completely at $234,580. 

For most adoptions, you keep track of expenses and claim that amount as the credit.  However, in a foster care adoption, you can claim the entire credit no matter the amount of money you spent.  The credit is available for each child you adopt, so if you adopt siblings, you could claim two credits.

Corporate Grants: Also, you may not realize that the company you work for may offer financial assistance for your adoption.  For a partial list of companies that have benefits, see benefits.adoption.com

Subsidy for Full Time Military Personnel: If you are full time Military, there is a one-time reimbursement program.  You can receive $2,000 per child per calendar year with a cap of $5,000.  No later than one year after the adoption is final you have to have submitted a DD form 2675 in order to apply.  You cannot claim expenses that were reimbursed through the Federal Adoption Tax Credit or a Corporate Matching Grant. A recent change of policy permits a military member adopting a step-child to claim reimbursement.

Loans and Grants: There are several adoption loans and grant programs available.  You might start by looking for a credit union that offers a loan program for adoptive parents. 

Foster Care Adoption Subsidies and Assistance: If your heart is leading you to adopt a special needs child or a child from foster care, the cost is usually significantly less.  There is usually an adoption subsidy available through the state to help pay for everyday expenses and special services such as remedial educational services, physical therapy and medical care.  As we discussed above, you may also take the entire amount of the Federal Adoption Tax Credit even if you don’t incur those costs.  

Adoption is such a beautiful way to expand your family.  Don’t let financial stress be the reason why you end up not adopting.  





Drafted by Brittany Alness, staff member of the Law Offices of Karen S. Law, PLC.

Disclaimer

This web site and the information contained within have been prepared by Law Offices of Karen S. Law, PLC for informational purposes only and does not constitute legal advice. This information is not intended to create, nor does receipt of it constitute an attorney-client relationship. Viewers should not act upon information found here without seeking legal counsel. All photographs shown on this web-site are depictions of clients and are not actual clients of this law firm. Copyright Karen S. Law, 2013.


Monday, November 11, 2013

People Places Inc.


In October 2013, People Places Inc. was chosen as an Angel in Adoption award recipient by the Congressional Coalition on Adoption Institute.  They were given this honor based on their commitment to improving the lives of children in need of permanent loving homes.  People Places Inc. was started 40 years ago in 1973 as one of the pioneers in therapeutic foster care, and was the first such agency in Virginia. The materials they developed for therapeutic foster care are used throughout the country to train other agency workers and support families.

People Places is a private, not-for-profit Licensed Child Placing Agency serving children and youth between the ages of infancy and 21 years and focusing primarily on abused/neglected youngsters with moderate to severe emotional and behavior disorders.  People Places offers programs that help support adoption, such as group and individual counseling, Pygmalion School and independent living assistance.  Not every child who goes through the program is adopted.  Some return home to birth parents or other relatives. 

Children age out of foster care programs at 18 but if they are in school, they are still supported through People Places through their Coach Program.  This program is funded by small donations and is only given to those teens that are still in school.  The need for this program is great--Surprisingly, about 50% of the homeless population is composed of foster care children that have aged out of foster care and don't have permanent homes. About 80 children a day age out of foster care.  "There is no one to go home to, ask advice from or to spend time with during the holidays".

 When a family seeks to adopt, People Places has two different adoption tracks.  One is foster to adopt and the other is relationship to adopt. Foster to adopt has the parents as foster parents first; if the child and family connect, then they start to go through the adoption process.  Relationship to adopt is the track where the birth parents' parental rights have already been terminated and the prospective parents adopt the child without the foster care period.  

It is a privilege to partner with agencies like this in Virginia.  For more information on this program go to http://www.peopleplaces.org  




Drafted by Brittany Alness, staff member of the Law Offices of Karen S. Law, PLC.
Disclaimer This blog and the information contained within have been prepared by Law Offices of Karen S. Law, PLC for informational purposes only and do not constitute legal advice. This information is not intended to create, nor does receipt of it constitute an attorney-client relationship. Viewers should not act upon information found here without seeking legal counsel. All photographs shown on this web-site are depictions of clients and are not actual clients of this law firm. Copyright Karen S. Law, 2013