ABLE Accounts, which are tax-advantaged savings accounts for individuals with disabilities and their families, were created as a result of the passage of the Stephen Beck Jr. Achieving a Better Life Experience Act of 2014 better known as the ABLE Act.
ABLE accounts help those with disabilities save money while remaining eligible for disability benefits.
The beneficiary of the account is the account owner, and income earned by the accounts will not be taxed.
Contributions to the account, which can be made by any person (the account beneficiary, family, friends, Special Needs Trust, or Pooled Trust), must be made using post-taxed dollars and will not be tax deductible for purposes of federal taxes; however, some states may allow for state income tax deductions for contributions made to an ABLE account.
Banking for people with disabilities:
- Save with ABLE
- Set spending limits
- Track your benefits
- Get direct deposits early
ABLE Accounts, which are tax-advantaged savings accounts for individuals with disabilities and their families, were created as a result of the passage of the Stephen Beck Jr. Achieving a Better Life Experience Act of 2014 better known as the ABLE Act.
ABLE accounts help those with disabilities save money while remaining eligible for disability benefits.
Banking for people with disabilities:
- Save with ABLE
- Set spending limits
- Track your benefits
- Get direct deposits early
Who is eligible for an ABLE account?
The ABLE Act limits eligibility to individuals with disabilities with an age of onset of disability before turning 26 years of age. If you meet this age requirement and are also receiving benefits under SSI and/or SSDI, you are automatically eligible to establish an ABLE account.
Click here for eligibility information