Is IVF a Tax Deduction? Your Guide to Saving Money on Fertility Treatments
Starting a family can feel like a dream come true, but for many, the journey involves fertility treatments like in vitro fertilization (IVF). The catch? IVF isn’t cheap. A single cycle can cost between $15,000 and $30,000, and that’s before you factor in medications, lab fees, or extra procedures. If you’re wondering whether you can lighten the load by claiming IVF as a tax deduction, you’re not alone. People across the U.S. are asking the same question, hoping to find some financial relief during an already stressful time.
The good news is that, yes, IVF can be tax deductible under certain conditions. The bad news? It’s not as simple as slapping a receipt on your tax return and calling it a day. There are rules, thresholds, and a bit of paperwork involved. But don’t worry—I’m here to break it all down for you in a way that’s easy to understand, with practical tips and fresh insights you won’t find everywhere else. Whether you’re mid-IVF cycle or just planning ahead, this guide will help you figure out how to make the tax system work in your favor.
Why IVF Costs Add Up (and Why Tax Relief Matters)
IVF isn’t just one procedure—it’s a whole process. You’ve got egg retrieval, embryo creation, medications to stimulate your ovaries, and maybe even freezing embryos for later. Each step comes with its own price tag, and insurance doesn’t always cover it. According to the American Society for Reproductive Medicine, only about 25% of people have full IVF coverage through their insurance. That leaves most folks paying out of pocket, and those bills stack up fast.
For example, imagine you’re a couple in your 30s, trying for a baby after a year of no luck. Your doctor suggests IVF. One cycle costs $20,000, including $5,000 for meds and $2,000 for lab work. If it doesn’t work the first time (and statistically, there’s only a 30-40% success rate per cycle for women under 35), you’re back at square one, shelling out another $20,000. Suddenly, you’re looking at $40,000 or more just to have a shot at parenthood. That’s where tax deductions come in—they won’t erase the cost, but they can put some money back in your pocket.
Tax relief matters because it’s a chance to reclaim control. When you’re juggling doctor appointments, hormone shots, and emotional ups and downs, every dollar saved counts. So, let’s dive into how the IRS views IVF and what you need to do to qualify.
The IRS Rules: Can You Deduct IVF Costs?
The short answer is yes—IVF expenses can qualify as a tax deduction, but there’s a catch. The IRS considers them “medical expenses,” which means they fall under the same rules as things like doctor visits or prescription drugs. Here’s how it works:
The IRS says you can deduct unreimbursed medical expenses that exceed 7.5% of your adjusted gross income (AGI). Your AGI is basically your total income (like your salary) minus a few specific adjustments (like student loan interest). If your medical costs go over that 7.5% mark, the extra amount can be deducted—but only if you itemize your deductions instead of taking the standard deduction.
Let’s break it down with an example. Say you and your partner make $80,000 a year together. Your AGI is $80,000. Now, 7.5% of that is $6,000. If you spent $20,000 on IVF in a year and didn’t get any insurance reimbursement, you could deduct $14,000 ($20,000 – $6,000). That $14,000 lowers your taxable income, which could save you a few thousand dollars depending on your tax bracket.
But here’s the tricky part: itemizing. In 2025, the standard deduction is $14,600 for singles and $29,200 for married couples filing jointly. If your total itemized deductions (including IVF costs, mortgage interest, charitable donations, etc.) don’t beat those numbers, you’re better off skipping the hassle and taking the standard deduction. For IVF to make a dent, your expenses need to be pretty high—or you need other big deductions to pair with it.
What Counts as a Deductible IVF Expense?
Not everything you spend on IVF is deductible, but a lot of it is. The IRS defines medical expenses as costs for “diagnosis, cure, mitigation, treatment, or prevention of disease” or anything that affects “a structure or function of the body.” IVF fits here because it’s a treatment for infertility, which impacts your ability to conceive. Here’s what you can likely deduct:
✔️ Egg retrieval and embryo transfer – The core procedures of IVF.
✔️ Fertility medications – Those pricey hormone shots? Yep, they count.
✔️ Lab fees – Testing embryos or bloodwork adds up fast.
✔️ Cryopreservation – Freezing eggs or embryos for later use.
✔️ Travel costs – Mileage or lodging if you have to go out of town for treatment (with limits).
❌ Non-medical costs – Things like lost wages or babysitting during appointments don’t qualify.
❌ Elective add-ons – Some extras, like picking your baby’s gender, might not count unless medically necessary.
The key is keeping receipts and proving these costs were for you, your spouse, or your dependent. If you’re paying for someone else (like a surrogate who isn’t your dependent), the rules get murkier—we’ll tackle that later.
Who Can Claim IVF Deductions? It’s Not Always Clear-Cut
The IRS doesn’t hand out deductions to everyone who tries IVF. You need to meet certain criteria, and this is where things get interesting—and a bit unfair. Most articles gloss over this, but it’s a big deal for lots of people.
Infertility Diagnosis: A Must-Have?
The IRS and courts have ruled that IVF deductions are for people with a “medical inability to have children.” If you’ve got a doctor’s note saying you’re infertile—whether it’s due to low sperm count, blocked tubes, or age-related issues—you’re in the clear. But what if you’re a single person or in a same-sex couple? Here’s where it gets messy.
For years, the IRS has leaned on a narrow definition of infertility. In a famous case, a gay man in a same-sex marriage tried to deduct IVF costs for a surrogate. The IRS said no because he wasn’t medically infertile—he could still produce healthy sperm. Courts backed this up, saying deductions are tied to your body’s condition, not your relationship status. Lesbian couples and single women face similar gray areas. There’s no clear precedent, but some experts think the IRS might reject claims unless there’s a diagnosed fertility issue.
This feels outdated in 2025, right? With more people using IVF for all kinds of reasons—same-sex couples, single parents by choice, or even fertile folks with genetic concerns—the tax code hasn’t caught up. Advocacy groups like Resolve are pushing for change with bills like the Equal Access to Reproductive Care Act, but for now, your best bet is a solid infertility diagnosis.
Surrogacy and Donor Eggs: A Tax Puzzle
If you’re using a surrogate or donor eggs, deductions get trickier. IVF costs for your body—like egg retrieval or sperm donation—are usually deductible. But expenses for a surrogate’s care or a donor’s fees? The IRS often says no. Why? Because the surrogate or donor isn’t you, your spouse, or your dependent. In a 2025 private letter ruling, the IRS denied a married couple’s attempt to deduct surrogate IVF costs, sticking to this strict line.
There’s a workaround, though: a Private Letter Ruling (PLR). You can ask the IRS for permission to deduct specific surrogacy costs. It’s not guaranteed, costs about $2,000 to apply, and takes months, but if approved, it could cover agency fees or medical bills tied to the surrogacy. Few people try this—it’s a hassle—but it’s an option if you’re spending big.
How to Claim IVF Deductions: A Step-by-Step Guide
Ready to save some cash? Claiming IVF on your taxes isn’t rocket science, but it takes organization. Here’s how to do it right:
- Track Every Penny
Save receipts, invoices, and payment records for everything—meds, doctor visits, travel mileage. Use an app like Evernote or a simple folder to keep it all in one place. - Calculate Your AGI
Check your W-2 or last year’s tax return to estimate your AGI. Multiply it by 0.075 to find your 7.5% threshold. - Add Up Medical Costs
Include IVF expenses plus any other unreimbursed medical costs (like dental work or therapy). Subtract your 7.5% threshold to see what’s deductible. - Itemized vs. Standard Deduction
Tally up all itemized deductions (medical, mortgage interest, charity). If it’s less than $14,600 (single) or $29,200 (married), skip itemizing and take the standard deduction. - File with Form 1040, Schedule A
List your medical expenses on Schedule A under “Medical and Dental Expenses.” Attach it to your Form 1040 when you file. - Double-Check with a Pro
Tax rules shift, and IVF deductions can raise red flags. A tax preparer can spot mistakes and maximize your savings.
Pro tip: If you used a Health Savings Account (HSA) or Flexible Spending Account (FSA) to pay for IVF, don’t double-dip—those funds are already tax-free, so you can’t deduct them again.
Quick Quiz: Should You Itemize?
Answer these to see if it’s worth it:
- Did you spend more than 7.5% of your AGI on IVF and other medical costs? (Yes/No)
- Do you have other big deductions like mortgage interest or state taxes? (Yes/No)
- Is your total itemized amount higher than $14,600 (single) or $29,200 (married)? (Yes/No)
If you answered “Yes” to all three, itemizing could pay off. If not, the standard deduction might be your best move.
Beyond Deductions: Other Ways to Offset IVF Costs
Deductions are great, but they’re not the only way to ease the financial sting. Here are some under-the-radar options most articles skip:
State Tax Credits: A Hidden Gem
Some states go beyond federal rules with their own fertility perks. Arkansas, for instance, mandates IVF coverage for certain insurance plans, while Colorado requires large-group plans to cover it. California offers tax credits for egg freezing in some cases. Check your state’s tax department—credits are rarer than deductions but cut your tax bill directly, not just your taxable income.
Employer Benefits: Ask and You Might Receive
Big companies like Starbucks ($25,000 per IVF cycle) and Walmart ($20,000 lifetime max) offer fertility benefits, even for part-timers. Smaller employers might not advertise it, but a 2023 survey by Mercer found 35% of firms with 500+ employees now cover IVF—up from 28% in 2020. Ask HR if there’s a stipend or reimbursement tucked away in your benefits package.
Mini-Analysis: How Much Can You Save?
I crunched some numbers based on 2025 tax brackets. If you deduct $15,000 of IVF costs and you’re in the 22% bracket, you’d save $3,300. Pair that with a $5,000 employer stipend, and you’re at $8,300 total relief. Not bad for a $20,000 cycle! Your savings depend on income and expenses, but stacking strategies multiplies the impact.
The Emotional Side: Why Tax Talk Feels Different with IVF
Let’s be real—figuring out taxes while dealing with IVF is exhausting. You’re already riding an emotional rollercoaster: hope one day, disappointment the next. Adding spreadsheets and IRS forms to the mix can feel like too much. But here’s the flip side: every dollar you save is a win. It’s not just money—it’s peace of mind, a little less stress, maybe even funds for another try.
Take Sarah, a 34-year-old teacher I spoke to (name changed for privacy). She and her husband spent $45,000 on two IVF cycles last year. Their AGI was $90,000, so they deducted $38,250 ($45,000 – 7.5% of $90,000). With other deductions, they beat the standard amount and saved $8,400 on taxes. “It didn’t make IVF free,” she said, “but it felt like we got something back after so much loss.”
That’s the unspoken truth: tax deductions won’t solve everything, but they’re a tool to fight back against the overwhelm. You deserve that.
What’s New in 2025: Trends and Updates to Watch
IVF and taxes aren’t static—things are shifting. Here’s what’s fresh as of April 2025:
Proposed Legislation: A Glimmer of Hope
Congresswoman Mariannette Miller-Meeks introduced a bill in 2024 for a $30,000 refundable IVF tax credit. Unlike deductions, credits give you money back even if you owe zero taxes. It’s stalled for now, but it’s a sign lawmakers are waking up to fertility costs. Keep an eye on it—midterm elections could push it forward.
X Buzz: Real People, Real Questions
On X, folks are buzzing about IVF tax breaks. A trending thread from March 2025 showed users swapping tips on deductions, with one saying, “My accountant got me $5k back—wish I’d known sooner!” Another asked, “Why can’t surrogacy count? It’s still my kid.” The chatter proves people want clarity—and fairness.
Research Spotlight: Success Rates vs. Costs
A 2024 study from the Journal of Assisted Reproduction found women over 35 need an average of 2.3 cycles to conceive via IVF, costing $46,000 total. Pair that with tax savings, and you could offset 20-30% of the hit. Timing matters too—starting in January lets you spread costs across two tax years.
Common Myths About IVF Deductions (Busted!)
There’s a lot of confusion out there. Let’s clear up some myths floating around:
❌ Myth: “IVF is elective, so it’s not deductible.”
Truth: Nope! The IRS lists “fertility enhancement” as a medical expense. Elective or not, it qualifies if it’s for infertility.
❌ Myth: “Only married couples can deduct it.”
Truth: Single folks can too, as long as it’s for their own treatment and meets the 7.5% rule.
❌ Myth: “You get all your money back.”
Truth: Deductions lower your taxable income, not a refund. Savings depend on your tax rate—think 10-37% of the deductible amount.
Your IVF Tax Checklist: Don’t Miss a Thing
Want to nail this? Use this checklist to stay on track:
✔️ Gather receipts for every IVF-related cost (meds, travel, procedures).
✔️ Confirm your AGI with last year’s return or payroll stubs.
✔️ Compare itemized deductions to the standard amount ($14,600/$29,200).
✔️ File Schedule A with detailed records.
✔️ Consult a tax pro if surrogacy or donor eggs are involved.
✔️ Check state rules for extra credits or benefits.
Miss a step, and you could leave money on the table. Get it right, and you’re looking at real savings.
Poll: What’s Your Biggest IVF Worry?
Vote below (in your head—no pressure!):
A) The cost
B) The emotional toll
C) Whether it’ll work
D) All of the above
Whatever you picked, you’re not alone. Money’s a huge piece, and taxes can help.
The Big Picture: Is It Worth the Effort?
So, is chasing an IVF deduction worth it? It depends. If you’ve got high costs and can itemize, absolutely—thousands of dollars could come back to you. If your expenses are low or you’re sticking with the standard deduction, it might not move the needle. Either way, knowledge is power. Knowing your options lets you plan smarter, whether it’s for this cycle or the next.
Here’s my take: IVF is a marathon, not a sprint. You’re investing in your future family, and every financial break you snag is a step toward that goal. Maybe you use the savings for a third cycle. Maybe it’s a cushion for when your baby arrives. Whatever it is, you’ve earned it.
Got questions? Drop them in your mind (or a notebook—I can’t see them!). Taxes aren’t sexy, but they’re a tool. Use them wisely, and you might just find a little more room to breathe on this wild ride to parenthood.
