How to Prepare Financially for Surrogacy

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Once a couple decides that surrogacy is the best option to start a family when it is not possible to conceive on their own, times can be stressful. This is both an exciting and fearful experience at the same time. Why did it say fearfully? because at the same time you have to prepare financially for surrogacy. The couple who has opted to use a Surrogate need to start preparing for the baby that is coming before confirming pregnancy. There is a period of nine months to prepare yourself. Ensure to take all appropriate steps during this time is very important. 

Financial preparation is something that is critical. The couple who is about to become new parents needs to ensure that they prepare themselves financially for when the baby arrives. This will help decrease the stress that comes with welcoming a new baby into the world.   It also ensures things will go smoothly, allowing the couple to spend time with their newborn baby, instead of having to constantly worry about how they are going to make ends meet. 

We are going to share some important tips that will help you and your partner be financially prepared for your surrogacy journey, and when the baby arrives. Take each of these tips into consideration to ensure you are both ready and to help prevent stress from turning things into chaos.

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Start with A Baby and Mommy Fund

One of the first things you should focus on is starting a fund that will cater toward the early needs of both mommy and the baby before confirming pregnancy. During your surrogacy journey, you and your partner along with their physician will be responsible for overseeing the well-being of the Surrogate mother in the majority of cases. Even when your Surrogate is healthy, complications do sometimes arise. When anything happens, you need to ensure that you have adequate funds available to address these problems immediately. 

The mommy and baby fund can go further than just providing for the Surrogate during the pregnancy. You can even extend this fund to help alleviate costs during the initial months following the birth of the baby. The fund will not necessarily go to food and diapers for the baby but could rather be set up as an emergency account that can be utilized in case the baby requires medical services. So, this will be the first step to preparing yourself financially for surrogacy.

Act Like the Baby Has Arrived

Once the baby arrives, things usually change. A lot of people do not realize just how much money is needed in order to care for a newborn baby properly. Thus, while you await the arrival of your baby, you might want to “practice” living how you would live once the baby has been born. 

Set up a budget and consider everything that you will need to buy for the baby once he or she is home. This would include milk, food, diapers, and more. There will also be medical expenses to take into consideration.  Determine how much money this may cost – then set this amount of money aside each month. You could add it to the baby and mommy fund, for example. The remaining money is what you live on each month. 

This will help you understand where in your current budget, you need to make adjustments in order to better provide for your baby. You will also get a better idea of what your finances will look like once the baby arrives. In turn, you end up being much more prepared financially once your Surrogate gives birth, and by that time, you have already adjusted to your new way of living, as well as the budget that you have compiled. 

Plan Ahead

A lot of couples think that when they prepare themselves financially for the arrival of their new baby, they should only think ahead a couple of months. They need to ensure they will be able to buy diapers, food, clothes, and other items that the baby will require. While this is very important, it is also important not to overlook the many expenses that also come along as the child gets older. 

Once the child has been born, you will be very busy. Nights will become shorter with the newest member of your family demanding all your attention.  During the pregnancy, take some time to investigate the future of the child as well. 

Once you go back to work, you will likely need some to watch your little one. You could also look into using a daycare as well. Doing your research beforehand can help to avoid a rush and ensure you choose a centre or a person who is highly experienced and able to provide your child with the best care. 

Many couples prefer to plan even before their Surrogate is even pregnant. When you have a solid plan in place, it makes things much easier – and there will be much less confusion once your child has arrived.  

Contact Your Health Insurance Provider

Health insurance is a crucial element when becoming new parents. Your baby needs to be registered as a beneficiary on your health insurance policy. Once born, you may have a significant amount of medical bills and expenses if your baby is not covered by your existing policy. Make sure you contact your health insurance provider before the baby is born – some agencies may even provide coverage for the birth of your baby and allow you to add the child to your policy prior to their birth. 

You can always call your health insurance provider to ensure that you understand what your policy covers. There are usually different levels of medical insurance plans available, and they do not all provide the same coverage. 

If the plan you are currently on does not provide adequate coverage for all the essential medical needs that your baby might have, consider upgrading to a different plan. While this will incur extra monthly fees, the costs involved will be far less compared to having to pay everything out of pocket. 

Take A Closer Look at Your Life Insurance Policy

Even though a life insurance policy will not help you cover the costs of the baby once he or she arrives, this is still something that you should have in place – for both parents. There are many things in life, which you do not expect, and things can happen at any time.  When something happens to you or your partner, you need to ensure that your child will be cared for. This is where a life insurance policy can help. 

A life insurance policy will provide a lump sum as a payout in case something were to happen to you. The same goes for your partner. This ensures that life can continue without suffering from a huge financial loss. 

Talk to Your Employer About Paternity Leave

Finally, do not overlook the importance of talking to your employer about paternity leave. Even though you are not carrying the baby yourself, which means you will not be able to take maternity leave, many employers will have a policy in place that allows you to take a certain period of time off after your baby is born.  

It is important to you confirm with your employer if you will need to take unpaid leave during this time, as some companies will not pay you for the days you take off for paternity leave.  However, there are some employers who will provide you with paid leave for a couple of weeks following the birth of your baby. 

You obviously want to spend some time with your newborn once they arrive. Thus, if your employer is not willing to provide you with paid leave during this time, be sure to plan ahead for this financially. This way, you can ensure you have adequate funds stored away to cover for the loss that will incur during the few weeks you take off. 


Awaiting the arrival of a baby during surrogacy can be stressful, but this time should be taken to ensure you are prepared for the journey that awaits you. We have provided a comprehensive list of tips that you should take into account while preparing financially for surrogacy, as well as for the arrival of the baby. Implementing these steps can help to reduce financial stress and give you more time to enjoy your new family. 

If you and your partner are looking to start a family, Physician’s Surrogacy provides an integrated solution and will be with you throughout your entire surrogacy journey. We have professionals that will help you find the perfect surrogate and provide valuable education and support on this exciting journey. You can visit us at or call (858) 299-4580 to learn more.

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