This month, Congress enacted a new law, expanding who is eligible to open an ABLE account.
ABLE accounts are a kind of tax deferred savings account, where the money deposited in the account can be withdrawn tax free if the person with the disability uses the dollars for “qualified disabilities expenses”. Qualified disabilities expenses are a broad range of products and services identified by the Social Security Administration on the list on their website.
If you or a family member has a disability, and you were diagnosed before age 46, the person with the disability may be eligible to open an ABLE Account. This important change will almost double the number of Americans who can qualify to open an ABLE Account, from only people who were diagnosed with a disability before age 26 to people who were diagnosed before age 46. This new law is not effective yet. It does not become effective until January 1, 2026, but it is extremely important for the future of people with disabilities.
To schedule an appointment with Nicole C. Tomlin, Esq. or Fredrick P. Niemann, Esq. to discuss how an ABLE account may help you or your loved one with a disability save, while remaining eligible for important means-tested government benefit programs like Medicaid, please call toll-free (855) 376-5291 or email fniemann@hnlawfirm.com or ntomlin@hnlawfirm.com. Please ask us about our video conferencing or telephone consultations if you are unable to come to our office.