Understanding Surrogacy Costs and Reimbursements in Canada

Understanding Surrogacy Costs and Reimbursements

Starting a surrogacy journey is exciting—but it can also feel overwhelming when you start thinking about the financial side. One of the most common questions intended parents have is: what expenses can we cover for our surrogate?

To help you plan with confidence, we’ve put together a simple guide to allowable reimbursements, typical costs, and ways to stay organized throughout the process.

Allowable Reimbursements

In Canada, reimbursing your surrogate is not the same as paying them a wage. Instead, you’re covering reasonable expenses directly tied to the pregnancy and the process. These generally fall into a few categories:

Direct Medical Costs

• Prenatal check-ups and medications

• Delivery and hospital fees

• Medical insurance premiums

• Travel costs for medical appointments

Living Expenses

• Maternity clothing

• Special dietary needs recommended by a doctor

• Childcare during medical appointments

• Lost wages (with proper documentation)

Legal & Professional Fees

• Legal representation for the surrogate and intended parents

• Counselling and emotional support services

• Insurance, including life insurance when needed

Record Keeping

Keeping accurate records is essential for transparency and peace of mind. Make sure to:

• Save all receipts and documentation

• Use a spreadsheet or tracking app to log expenses

• Share regular expense reports so everyone is on the same page

Tax Implications

Reimbursements are typically not considered taxable income for the surrogate. Still, every situation is unique, so it’s best to confirm with a tax professional.

Budget Planning

Based on recent industry data, here’s what you can expect to budget for:

• Total Range: $30,000–$60,000 CAD^[5]

• Medical: $15,000–$25,000

• Legal: $5,000–$10,000

• Living and Other Expenses: $10,000–$25,000

Final Thoughts

Planning for surrogacy costs may feel like a big task, but with clear guidelines, open communication, and good record-keeping, it becomes much more manageable. By covering the necessary expenses, you’re creating a safe and supportive journey for your surrogate—and taking one step closer to welcoming your baby.

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