Tax Documentation — What to Save and How to File

This is the system of tracking, storing, and organizing all fertility-related expenses so you can:

• Claim eligible deductions
• File correctly for the IRS or your country’s tax authority
• Support applications for employer reimbursement and insurance benefits
• Keep clean records for escrow audits and legal compliance

It matters because the way you document expenses upstream influences your financial planning downstream — including refunds, deductions, and reimbursement speed.

Who It Helps

Signals This Path Is a Good Fit

• You plan to claim medical deductions, FSA/HSA reimbursements, or employer benefits.
• Your journey includes surrogacy, egg donation, embryo creation, or stored genetic material.
• You are paying through escrow and need proof of allowable releases.
• You want to reduce audit risk and avoid scrambling for documents at tax time.

When You Might Choose a Different Path

• Your employer’s fertility benefit processes all documentation for you.
• You are not eligible for medical deductions in your country.
• Your journey is entirely grant-funded or charity-funded.

Step-by-Step (Simple, Stress-Reducing Sequence)

1. Create a Single Digital Folder Before You Start

Include subfolders for:

• Clinic invoices
• Pharmacy receipts
• Travel and lodging (if medically required)
• Donor or surrogate reimbursements
• Legal contracts
• Escrow statements
• Insurance and employer documentation

2. Save Every Document in Real Time

Screenshots, PDFs, emails — save it all. Missing one document often means missing a deduction.

3. Coordinate With Your Employer Benefit Portal

Match receipts to benefit rules before submission. If unclear, ask HR for pre-approval.

4. Collect Year-End Statements

Your clinic, pharmacy, and escrow provider will typically issue year-end summaries.
These consolidate dozens of small items into a few large deductible entries.

5. Review Documentation With a Tax Professional

Preferably one familiar with fertility journeys, surrogacy, or donor arrangements.

6. File On Time With Complete Supporting Evidence

Attach required forms, keep a backup file, and retain all documentation for at least 7 years.

Pros & Cons

Pros

• Maximizes tax deductions and refunds
• Supports employer reimbursement and FSA/HSA claims
• Reduces legal and audit risk
• Creates a clean financial timeline for your journey
• Makes cost forecasting more accurate

Cons

• Requires ongoing documentation discipline
• Some expenses (e.g., surrogate compensation in the U.S.) may not be deductible
• Rules differ by country, requiring professional review
• Employer portals can be slow or ask for repeated evidence

Costs & Logistics

Typical Line Items to Track

• Clinic invoices
• Egg/sperm/embryo storage fees
• Medications (including fertility drugs)
• Travel and lodging for medical necessity
• Legal fees related to medical eligibility
• Escrow fees and transaction charges
• Screening and testing costs for intended parents, donors, or surrogates

Cash-Flow Planning Tips

• Use one credit card for all medical payments to simplify tracking.
• Submit employer claims monthly to avoid backlogs.
• Ask pharmacies to combine prescriptions on fewer invoices when possible.
• Save escrow statements — they often serve as your “master ledger.”

What Improves Outcomes

High-Impact

• Upload receipts immediately (don’t wait until year-end).
• Use a spreadsheet or app to tag each expense as deductible, reimbursable, or both.
• Confirm which expenses your country allows (don’t guess).
• Pre-submit ambiguous items to employer benefit teams for clarification.
• Request consolidated statements from all vendors at year-end.

Low-Impact (Often Overrated)

• Relying only on clinic portals — they often miss pharmacy or travel costs.
• Saving only large items (small receipts can add up to thousands).
• Attempting to file without professional review.

Case Study

A couple undergoing IVF and embryo banking kept scattered receipts in emails and text messages. At tax time, they discovered:

• $4,200 in pharmacy receipts were missing
• Their escrow provider’s year-end report hadn’t been downloaded
• Their employer FSA required receipts older than 90 days (now expired)

They lost access to several reimbursements and under-claimed deductions.

For their second cycle, they implemented a single digital folder and monthly uploads. At filing time, every document was in one place. Their tax professional found:

• Eligible medical deductions exceeding the IRS threshold
• Employer reimbursements they had previously missed

They received a refund thousands higher — simply due to organized documentation and clear timing.

Mistakes to Avoid

• Saving documents only at year-end
• Assuming all fertility expenses are automatically deductible
• Not keeping receipts for lodging, mileage, or parking
• Ignoring escrow statements
• Failing to request year-end summaries
• Mixing personal and medical expenses on the same credit card
• Submitting documents to employer portals without copies

FAQs

Q. Are surrogacy or donor expenses tax-deductible?

Ans : It depends on the country. In the U.S., many related expenses are not deductible — but some medical components may be.

Q. Do I need original paper receipts?

Ans : Digital copies are accepted by most tax authorities as long as they are legible and complete.

Q. How long should I keep fertility-related tax documents?

Ans : Keep everything at least 7 years due to audit timelines.

Q. What if I missed receipts from earlier in the year?

Ans : Ask your clinic, pharmacy, escrow provider, or travel company for reprints — most can resend them.

Q. Do employer benefits require different documentation than taxes?

Ans : Yes. Employer portals often need itemized receipts, not just statements.

Next Steps

• Free 15-min nurse
• consult Upload your labs for review
• Get a personalized cost breakdown for your case

Related Links

• Financing insurance benefits
• Intended Parents
• Become a Surrogate
• Fixed‑Cost Packages
• SART
• CDC ART
• ASRM