If you are caring for a child or thinking about it, you may be weighing foster care against legal guardianship and wondering which path is the right fit. Both provide a child with a safe, stable home, but they work differently and lead to different outcomes for children and families.

This page will help you understand how each option works, how they compare, and what resources and support are available to you in Wisconsin. If you have questions or are not sure where to start, we are here to help.

What is Foster Care?

Foster care is a temporary arrangement in which a licensed caregiver provides a safe home for a child while their family works toward reunification or another permanent solution is identified. In Wisconsin, foster care is managed through the child welfare system and requires formal licensing through a county, tribal, or private agency.

The primary goal of foster care is always reunification with the child’s birth family whenever it is safe and possible. Foster parents work closely with caseworkers, the child’s birth family, and the court throughout the process. A caseworker remains actively involved in the child’s case, and permanency goals are reviewed regularly by the court.

If reunification is not possible, foster parents may be considered for guardianship or adoption.

What is Legal Guardianship?

Legal guardianship is a court-ordered arrangement that gives a caregiver the legal authority to make important decisions for a child, including decisions about their education, medical care, and daily needs. Unlike foster care, guardianship is a permanency option. It does not end the child’s legal relationship with their birth parents, and parents may still have visitation rights and financial responsibilities.

Guardianship is often pursued when reunification and adoption are not in the child’s best interest, and a trusted caregiver, most often a relative or family friend, is ready to provide long-term stability. Once guardianship is established, a caseworker is no longer assigned to monitor the case, which many families find gives them a greater sense of normalcy.

Wisconsin law (Wis. Stat. § 48.9795) offers four types of guardianship to fit different situations and timeframes: emergency, temporary, limited, and full.

How Do Foster Care and Guardianship Compare?

Category Foster Care Legal Guardianship
Purpose Temporary placement while permanency is determined Long-term or permanent arrangement
Parental Rights Remain intact Remain intact (unless separately terminated)
Caseworker Involvement Ongoing through placement Ends after guardianship is established
Licensing required? Yes No (unless pursuing Subsidized Guardianship)
Child’s last name Unchanged Unchanged (child keeps their birth name)
Financial support Monthly foster care reimbursement May qualify for Subsidized Guardianship payments
Can it lead to adoption? Yes, if reunification is not possible Guardianship can be a step toward adoption in some cases

How Does Guardianship Compare to Adoption

Guardianship and adoption are both ways to create a permanent, loving home for a child, but they are different in some important ways.

Adoption creates a full parent-child relationship. The court terminates the birth parents’ legal rights, and the adoptive parent takes on complete legal and financial responsibility for the child. Adoption cannot be reversed once finalized.

Guardianship gives you the same day-to-day legal authority as a parent, but the child’s legal relationship with their birth parents is not ended. Birth parents may still have visitation rights and financial obligations. Either parent or the guardian can petition the court to change or dissolve the guardianship, and a judge will decide whether to grant the request.

There is no single right answer. The best choice depends on your family’s circumstances, the child’s wishes, and what will support the child’s long-term well-being and sense of identity. Our tip sheet, Is Adoption or Guardianship a Better Fit?, walks through the key differences and questions to help your family think it through.

Some questions worth considering:

  • Does the child have a strong connection to their birth family that guardianship would help preserve?
  • Does the child have an opinion, and do they fully understand the difference between the two options?
  • What level of permanency and financial responsibility makes sense for your family right now?
  • How might this decision affect the child’s sense of identity as they grow up?

Guardianship and adoption are both legal relationships created through the court system. For questions specific to your situation, we recommend speaking with an attorney.

What is Subsidized Guardianship in Wisconsin?

Is you are a relative or fictive kin caregiver of a child in foster care, you may be eligible for Wisconsin’s Subsidized Guardianship (SG) program. This program provides a monthly payment to help offset the cost of caring for the child after guardianship is established, along with continued Medicaid coverage for the child.

Fictive kin is defined as a person who had a significant relationship with the child or their family before or during the child’s placement in out-of-home care. The child and their family determine who their fictive kin are.

To qualify, the following generally must be true:

  • The child is in the foster care system, and reunification or adoption are not viable options.
  • You are a relative, or fictive kin caregiver who has had a relationship with the child for at least two years.
  • You have been licensed as a foster parent for the child for at least six months before the court orders guardianship.
  • You and the child welfare agency have entered into a Subsidized Guardianship Agreement before the court appoints you as guardianship.

The monthly payment is based on Wisconsin’s Foster Care Rate Setting Policy and cannot exceed the foster care rate the child received prior to guardianship being established. Caregivers are strong encouraged to be certified at Level 2 or higher, as Level 1 licensed caregivers aren’t eligible to have the supplemental and exceptional portion of the rate included in their total payment. The child also continues to be eligible for Medicaid coverage for the duration of the subsidized guardianship agreement.

For more information, visit the Subsidized Guardianship Resource for Caregivers resources or the Wisconsin DCF Subsidized Guardianship page.

Benefits and Challenges of Guardianship

Guardianship offers meaningful stability for children and caregivers. Many families find that establishing a legal relationship deepens their bond with the child and provides a sense of security, while still preserving the child’s connection to their birth family. Without an active caseworker involved, families often experience a greater sense of normalcy in daily life.

There are also real challenges to consider. Funding may be limited if birth parents cannot contribute financially and subsidized guardianship is not an option. Because the child keeps their birth name, families respond differently — some find it helps the child stay connected to their identity, while others find it creates a sense of distance from the guardian’s family. When the guardian is a relative, it can also affect broader family dynamics.

Our tip sheet Is Adoption or Guardianship a Better Fit? goes deeper on both options and includes questions to help your family work through the decision together.

What Families Say About Guardianship

Families who have chosen guardianship often describe it as a meaningful way to create stability and deepen their bond with a child, while still honoring the child’s connection to their birth family.

“One of the benefits that I wasn’t expecting was the added emotional connection. I was proud to be her legal guardian, and it gave us both a sense of security without threatening the relationship she had with her mom.” — A Wisconsin foster parent

“We built an additional emotional connection through guardianship. It forms a legal relationship that helped foster a bond and made our child feel like a part of our family.” — A Wisconsin foster parent

“I adopted two siblings, but their youngest sister was adamant that she didn’t want to be adopted. Even her mom wanted me to adopt her. Guardianship was a good solution for us.” — A Wisconsin foster parent

Which Path is Right for My Family?

The right path depends on your situation, your relationship with the child, and what will best support the child’s long-term stability and sense of belonging. Here are a few common scenarios:

You are a relative who has stepped in to care for a child and wants legal authority to make decisions for them. Guardianship may be a strong fit, especially if the child has an important relationship with their birth parents that you want to protect, or if the child is not ready for or interested in adoption.

You want to open your home to a child who needs temporary care while their family stabilizes. Foster care is designed for this. It may also lead to guardianship or adoption if reunification is not possible.

You are already a licensed foster parent caring for a child and want to provide a permanent home. If reunification and adoption are not the right options, Subsidized Guardianship may allow you to move into a permanent role while continuing to receive financial support.

Not sure which path makes sense for your family? A Resource Specialist at the Wisconsin Family Connections Center can help you think through your options and connect you with the right next steps.

Resources and Support

No matter which path you take, you do not have to navigate it alone. The Wisconsin Family Connections Center offers resources, training, and personalized support for foster parents, relative caregivers, and guardianship families across Wisconsin.

Tip Sheets

Recorded Trainings

More Links and Resources

Frequently Asked Questions

Foster Care

What is the difference between foster care and guardianship?

Foster care is a temporary arrangement managed through the child welfare system, with the primary goal of reunifying the child with their birth family. Guardianship is a court-ordered permanency option that gives a caregiver legal authority to make decisions for a child on a long-term basis, without ending the child’s legal relationship with their birth parents.

Do I need to be licensed to become a foster parent in Wisconsin?

Yes. Foster parents in Wisconsin must be licensed through a county, tribal, or private agency. The licensing process includes background checks, home assessments, and required training. You can use our licensing contacts page to find the right agency for your situation.

Can foster care lead to adoption or guardianship?

Yes. While the primary goal of foster care is reunification, if reunification is not possible, foster parents may be considered for guardianship or adoption. If you are a licensed foster parent who has cared for a child for at least six months, you may also be eligible for Subsidized Guardianship.

Is there financial support available for foster parents?

Yes. Foster parents in Wisconsin receive a monthly reimbursement to help cover the cost of caring for a child. Additional support may be available for children with higher needs or for childcare and respite care. Speak with your licensing agency for details specific to your situation.

Legal Guardianship

What is legal guardianship of a minor child?

Legal guardianship is a court-ordered relationship that gives a caregiver the legal authority to make important decisions for a child, including decisions about their education, medical care, and daily needs. Guardianship transfers decision-making authority to the guardian but does not end the child’s legal relationship with their birth parents.

Is guardianship the same as adoption?

No. Guardianship does not terminate the birth parents’ legal rights. Parents may still have visitation rights and financial responsibilities, and either parent or the guardian can petition the court to change or dissolve the guardianship. Adoption, by contrast, permanently ends the birth parents’ legal rights and cannot be reversed once finalized.

What are the four types of guardianship in Wisconsin?

Wisconsin law (Wis. Stat. § 48.9795) offers four types of guardianship. Emergency guardianship is limited to 60 days and covers only the decisions needed to resolve an immediate crisis. Temporary guardianship lasts up to 180 days and is used when a parent is unable to care for a child for a short period. Limited guardianship transfers only specific decision-making authority to the guardian, and parents may retain some rights. Full guardianship lasts until the child turns 18 and gives the guardian complete legal authority to make decisions for the child.

Do I need an attorney to petition for guardianship?

No, the court does not require you to have an attorney and you can represent yourself. However, guardianship must always be established through the court, and it is important to complete all forms correctly. If the child’s parents disagree with the guardianship, having legal representation may strengthen your case. For more information, visit the Guardianship Process FAQ from Kids Matter Inc.

What if there is an active child safety concern?

If you have immediate concerns about a child’s safety, contact the child protective services reporting line for your county right away. If there is already an open child protection case in court, known as a CHIPS proceeding, a private guardianship petition cannot be used to change the child’s placement.

Does the Indian Child Welfare Act apply to guardianship cases in Wisconsin?

Yes. If the child is a member of or eligible for membership in a federally recognized tribe, ICWA provisions apply. Specific forms and notice requirements differ for Native American children, and the child’s tribe must be notified and involved in proceedings. Use Form IW-1501 instead of Form JN-1501 when filing. For more information, visit the Guardianship Process FAQ from Kids Matter Inc.

Subsidized Guardianship

What is Subsidized Guardianship in Wisconsin?

Subsidized Guardianship (SG) is a Wisconsin program that allows eligible relative or fictive kin caregivers to receive a monthly payment after becoming a child’s legal guardian. It is designed for situations where the child is in foster care and reunification or adoption are not viable options. The child also continues to be eligible for Medicaid coverage under the program.

Who is eligible for Subsidized Guardianship?

To be eligible, you generally must be a relative or a fictive kin caregiver who has had a relationship with the child for at least two years. The child must be in the foster care system, and you must have been licensed as a foster parent for the child for at least six months before the court orders guardianship. You must also enter into a Subsidized Guardianship Agreement with the child welfare agency before the court appoints you as guardian.

How much is the Subsidized Guardianship monthly payment?

The monthly payment is based on Wisconsin’s Foster Care Rate Setting Policy and cannot exceed the foster care rate the child received prior to guardianship being established. Caregivers are strongly encouraged to be certified at Level 2 or higher, as Level 1 licensed caregivers aren’t eligible to have the supplemental and exceptional portion of the rate included in their total payment.

What happens to the Subsidized Guardianship payment if the agreement is terminated?

If the subsidized guardianship agreement is terminated, the monthly payment and associated benefits will end, but your legal guardianship of the child remains intact. The termination of the agreement doesn’t affect your legal authority as the child’s guardian.

Where can I learn more about Subsidized Guardianship?

You can download the Subsidized Guardianship Resource for Caregivers from the Wisconsin Child Welfare Professional Development System, or visit the Wisconsin DCF Subsidized Guardianship page for full program details and eligibility information. You can also contact a Resource Specialist at the Wisconsin Family Connections Center for personalized guidance.