Fertility Costs: A New Financial Priority for Young Couples

Ten percent of Generation Z and Millennial adults report delaying the decision to have children because of uncertainty regarding affordability and long-term financial implications. This statistic comes from new research released by Northwestern Mutual, which identifies cost as a primary barrier to starting a family for this demographic.

Kate Michaels, a managing partner at Northwestern Mutual, noted that financial concerns are pushing family plans further into the future while fertility timelines continue to advance. She described in vitro fertilization, or IVF, as a procedure that can be both emotionally and financially overwhelming for couples facing infertility.

Michaels emphasized that planning for fertility treatment requires a broader financial strategy than simply budgeting for a single procedure. She explained that medical costs include monitoring appointments and examinations that occur before the main treatment. "It’s not like you can only plan for an IVF cycle. There may be monitoring appointments and medical exams that you need to account for before you even get to this bigger cost that you might be incurring," she said.

The research suggests that couples should consider the potential need for fertility treatments when entering a relationship. Michaels advised that individuals do not need to know if they will require treatment before consulting a financial advisor. An early conversation allows partners to prepare for a wide range of potential costs.

Michaels stated that partnering with a financial advisor provides peace of mind during a process that is already physically and emotionally taxing. "The last thing that you want to be doing with your partner or even yours if you’re going through this process alone or with a significant other, is to be feeling that financial anxiety," she said. Reducing this stress is a key benefit of proactive financial planning.

To manage these expenses, Michaels recommends that couples review their insurance coverage as early as possible. Understanding what a policy will and will not cover helps identify gaps that require out-of-pocket spending. These gaps often include travel expenses and additional procedures not included in standard coverage.

Once couples have a clear picture of their insurance benefits and potential out-of-pocket costs, they can determine how much to set aside for fertility treatments. This approach allows individuals to create a budget that accounts for the full scope of medical care, from initial exams to final procedures.