The ABLE Act allows individuals who were deemed disabled before the age of 26 to save money in specific accounts and not jeopardize SSI or Medicaid services. Before The ABLE Act was passed, an individual collecting SSI could not save more than $2,000 or else they would lose all their benefits
ABLE accounts allow families to set aside money (up to $15,000 per person annually), and pay no taxes on that money’s growth as long as it’s used for qualified expenses. A “qualified disability expense” means any expense related to the designated beneficiary as a result of living a life with disabilities. These may include education, housing, transportation, employment training and support, assistive technology, personal support services, health care expenses, financial management and administrative services and other expenses which help improve health, independence, and/or quality of life.
To read more about ABLE accounts, visit the MIAble website at: https://www.miable.org/