What does “Base Fee” or “Base Compensation” really mean in a surrogacy arrangement?
We get it, surrogacy terminology can be confusing! Today let’s turn our attention to untangling what people mean when they refer to “base compensation or “base fee” regarding surrogacy. Per SEEDS (The Society for Egg Donation and Surrogacy) Base compensation is “the minimum base fee the surrogate will receive for completing her services as specified in her surrogacy agreement without any additional milestone or contingent payments.”
First, we need to take a step back and define two other terms. Per SEEDS once again, a base compensation package is defined as “Base Compensation plus all payments a Surrogate is guaranteed to receive for milestone services completed as specified in her surrogacy agreement (eg, medication start, embryo transfer, nonaccountable monthly allowance). It does not include contingent compensation payments.” SEED goes on to define contingent compensation as “additional payments that may or may not be paid to the Surrogate depending on whether certain contingencies occur (eg, doctor-ordered bed rest, lost wages, cesarean section, loss of reproductive organs, invasive procedures, miscarriage, multiple gestation, repeat journeys, the status of the Surrogate’s insurance coverage, etc…)”
You can see why comparing surrogacy compensation packages can be confusing! When speaking to a surrogacy agency or reviewing their benefits package it is important to note whether they subtract their milestone payments from the base compensation (hint: They shouldn’t be, but some do!). Also, when you see surrogacy agencies offering giant sums of money, are they advertising their base compensation? Or are they adding every possible scenario that could go wrong all together?
We believe in full transparency. As a gestational carrier you deserve to be informed from the start exactly what you expect. Considering another agency and having trouble understanding their benefits package? Reach out to us, we’re still happy to help, even if you ultimately decide to move forward with that other agency. We believe that educated surrogates are happy surrogates and will do everything we can to make that happen. Are you curious about what typical base compensation looks like? Check out our worksheet that you can find here. Of course, if you feel more comfortable chatting, reach out for more information or to schedule an appointment here.