I was adopted as a baby, one of countless children fortunate enough to be welcomed into a loving home. I am not alone: Lifelong Adoptions estimates that 100,000 children are adopted each year in the United States, and the Adoption Network reports that there are currently 4.5 million adopted children nationwide. That’s a lot of children and a lot of joyful parents — and new congressional legislation could send those numbers even higher.
Families Need Support When Cost of Living Is High
Amidst rising inflation, soaring housing prices, and increased living costs, raising a family has become more expensive. Adoption itself is no exception; today, the process can cost between $20,000 and $45,000, making this meaningful path to family formation simply unaffordable for many. A 1985 Washington Post article gives an example of an adoption that cost just $4,000 in 1980, or about $15,000 in today’s dollars, indicating that adoption costs may have outpaced overall inflation rates.
While some outstanding nonprofits help reduce the financial barriers to adoption, the process is still far too costly for many would-be parents. Enter third-party “baby brokers,” firms that sometimes use unethical practices to connect prospective birth mothers with adoptive parents. These brokers are not licensed adoption agencies, have no legal authority to place children, and are inadvertently driving up the cost of adoption.
One such “baby broker” in Sacramento “allegedly collected $245,000 in upfront fees from at least 21 families,” according to a 2023 article in The Imprint. Thirty-two states have laws prohibiting these unlicensed brokers, but sometimes the laws are not enforced. When brokered adoptions go wrong, would-be parents are often left with no recourse except an expensive lawsuit, which most cannot afford.
The broader financial pressures on adoptive parents are stark. Since 2020, housing prices have increased by 47 percent while mortgage rates hover around 6.5 percent. Food prices are up 28 percent since 2019, and the average cost of a public university is nearly $10,000 a year. In this climate, adoption costs can feel insurmountable.
The cost of raising a family even made it to the forefront of the recent presidential election. In the debate between Vice President-elect J.D. Vance and Minnesota Gov. Tim Walz, Vance said, “I want us to make it easier for moms to afford to have babies. I want it to make it easier for young families to afford a home so they can afford a place to raise that family.” Vice President Kamala Harris suggested a plan to give low- and middle-income families a $6,000 tax break if they have a new baby. It is clear that Democrats and Republicans alike are, rightfully so, concerned about the costs associated with raising a family.
Bipartisan Solution
Thankfully, there’s a practical solution that could make adoption more accessible: the Adoption Tax Credit Refundability Act. Introduced in 2023, this bill has garnered bipartisan support, including from Senators Josh Hawley, R-Mo., and Elizabeth Warren, D-Mass. In a hyperpartisan political landscape, and in the aftermath of a divisive presidential race, it is encouraging to see a measure that both sides can rally behind.
National Review Institute Senior Fellow Kathryn Jean Lopez recently said in a webinar, “[A]fter Roe, Dobbs — what it means to be ‘pro-life’ has to be more of an examination of conscience. We have to be more creative about it … and there also is tremendous opportunity for common ground.” The Adoption Tax Credit Refundability Act is common ground and a measure of support for both children and families.
The Adoption Tax Credit Refundability Act would amend the U.S. tax code to provide adoptive parents with a refundable tax credit for adoption-related expenses. The current adoption tax credit, which is non-refundable, functions like a deduction: it reduces a family’s tax liability but doesn’t put money back in their pockets. The new refundable credit will do just that for many low- and middle-income families. Given today’s cost of living, this tax relief could allow more families to pursue adoption and provide loving homes to children.
Family Is the Foundation of Society and Brings Joy to Homes
Family is the foundation of society, and adoption is one more way to build it. This holiday season, before the end of 2025, lawmakers should focus on a bill that will help bring more children into stable, nurturing homes.
My parents adopted me as an infant, and I’m deeply grateful to have been welcomed into their loving family. I hope other families will have the same opportunity to experience the joy that adoption brings. Passing the Adoption Tax Credit Refundability Act would be a step in the right direction.
