In Vitro Fertilization Costs
Affordable IVF: Cut Costs in 4 Unique Ways
How much does In Vitro Fertilization (IVF) cost? IVF costs can pile up quickly, especially when you must cover expenses yourself without the benefit of 3rd party payments. Couples trying IVF should understand infertility insurance laws, how the tax code works, and when to use supplemental insurance to make having a baby more affordable.
You will find four strategies to lower what you spend on IVF:
Cost of In Vitro Covered by Insurance
The best way to keep your cost of IVF manageable is to have somebody else pay for it - your employer's group health insurance plan. These plans are very difficult to find, but every couple should start by understanding how state infertility insurance laws work to see if they can get coverage. Take these two steps first:
Fifteen states mandate that certain infertility treatments be covered by group or individual health insurance. The laws apply to employers headquartered in the state. Many people make the mistake of assuming the law pertains to where they live - not so. If one of your employers' are headquartered in these states you may be covered. If you live in a large state without a mandate don't give up. Couples living in Pennsylvania, Michigan, Florida, or any other state without an IVF law should consider where their employer is headquartered.
Costs of IVF Treatment are Tax Deductible
IVF and a variety of infertility treatment costs not covered by insurance are considered tax deductible medical expenses. Proper planning can make a big difference on your total expenditure for getting pregnant. It pays to understand the advantages and disadvantages for two tax saving vehicles. Below is a brief summary. You can learn more by about how to maximize IVF tax deductions on our FSA pages.
Schedule A deductions begin after your un-reimbursed medical expenses exceed 7.5% of your Adjusted Gross Income (AGI). That floor rises to 10% beginning in 2014 thanks to the recently passed Patient Protection and Affordability Act. For couples coping with infertility the new law made getting pregnant more costly - not more affordable.
The tax deductible floor is a key reason why IVF refund programs are tax efficient. One component of these plans is an incentive to purchase multiple cycles up front. In addition to getting a bulk price or quantity discount on each cycle, it encourages you to accumulate all your expenses into a single tax year. $45,000 in deductible expenses all in one year yield a far bigger savings than the amount level of expenses spread over three years. There are other advantages of IVF refund programs which are explored further on another page.
Affording In Vitro Fertilization AND Pregnancy
Supplemental maternity insurance can also reduce your expenditure when you conceive and deliver your IVF baby. Cash payments made directly to you while recovering from childbirth make the policy extremely affordable. Use the surplus to offset what you had to pay your infertility clinic in order to get pregnant.
IVF Cost India
You may see many IVF clinics in India advertising low cost treatments. If you live in the U.S. this may mean extensive travel time and costs. In addition to being able to deduct your IVF costs, travel costs for medical treatment are considered tax deductible as well. Be sure to factor in these tax savings when considering utilizing an IVF clinic in India.
Your Age Determines "How Much is IVF? "
If you are asking "how much is IVF?" consider your age first. Why look at age first? There is a difference between what a clinic will charge you for an IVF cycle with all the trimmings, and what you might spend overall in your quest to have a baby.
The biggest driver of what you might spend is the number of cycles you must complete before bringing a baby home. And the biggest driver of IVF success rates is not the clinic you choose, or the drugs you take, the high tech procedures, or the extra diagnostic monitoring you choose to pay for. Age is the most important factor impacting what you might pay.
Live birth rates pubished by the American Pregnancy Association are depicted in the chart below. At an average estimated cost of $12,000 cycles simple math tells us the projected number of cycles needed for a live birth, and the total expected expenditure.