Fertility costs push Gen Z and Millennials to delay starting families

Northwestern Mutual research indicates that roughly 10% of Generation Z and Millennial adults are postponing the decision to have children due to financial uncertainty. The study identifies cost concerns as a major factor for this demographic, which includes many individuals currently in their peak reproductive years. Kate Michaels, a managing partner at Northwestern Mutual, noted that financial pressure often competes with biological timelines for these couples.

For individuals who face infertility, In Vitro Fertilization represents a major financial and emotional undertaking. Michaels described the process as overwhelming for many patients. She emphasized that the total cost extends well beyond the initial procedure. Medical expenses include monitoring appointments and diagnostic exams that occur before the main treatment begins. These preliminary steps add to the financial burden that couples must manage.

Michaels advised that couples should consider the potential need for fertility treatments when entering a relationship. She stated that financial planning should not wait until a diagnosis is confirmed. Speaking to the importance of preparation, she said, '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.'

Early engagement with a financial advisor can help individuals prepare for a wide range of potential costs. Michaels argued that this proactive approach reduces stress during a physically and emotionally demanding period. She explained, 'That’s where I think the partnering with a financial advisor gives a lot of peace of mind, because again, it’s already such an emotional, emotionally taxing and physically taxing process.' She added that couples should avoid adding financial anxiety to the existing stress of treatment.

A key step in this planning process involves reviewing insurance coverage immediately. This review helps identify which procedures are covered and which require out-of-pocket payment. Costs such as travel or additional medical procedures often fall outside standard insurance benefits. Understanding these gaps allows couples to determine how much money to set aside for potential treatment.

With a clear understanding of insurance limitations, individuals can begin saving for specific expenses. This preparation provides a financial safety net should fertility treatments become necessary. The research underscores the link between financial readiness and the timing of family planning for younger adults.