ABLE accounts have been in the news in a great deal lately, but many do not know how ABLE accounts can benefit individuals with disabilities. A January 4, 2017 Time Magazine article summed up the benefits of ABLE accounts:
Until recently, accumulating as little as $2,000 in savings spelled disaster for the millions who rely on federal assistance with medical bills and living costs—because even that modest amount was enough to render them ineligible for disability benefits through Medicaid or Supplemental Security Income (SSI).
That’s now changed. The federal ABLE Act, passed in 2014, made way for new state programs—modeled after 529 savings plans—that let those with disabilities, and their families, put aside up to $14,000 a year to be used for a wide variety of disability-related costs, including living expenses. The most important shift: Money in these accounts won’t count against the $2,000 asset limit.
Any individual who is blind or diagnosed with a disability before age 26 and getting benefits through the Social Security disability program is automatically eligible. You may only have one account—but it can be in any state that allows it.
Megan LeonHardt – Time Magazine http://time.com/money/4618317/529-able-savings-account-states/?iid=sr-link1
In Pennsylvania, an ABLE account can be opened with a minimum deposit of $25 and allowable contributions up to $14,000/year with an account maximum of $511,758. Also, anyone can contribute to an individual’s ABLE account; allowing family and friends to give a gift to someone without jeopardizing their benefits.
Do you have questions? Want to learn more about PA ABLE? Be sure to attend the PA ABLE Community Event on Thursday September 28, 2017 from 4:30-8:00 PM at the Circuit Center & Ballroom (IBED#5, Five Hot Metal Street, Pittsburgh, PA 15203). For more information on the event and registration: http://paable.gov/pittsburgh/#section-intro
Can’t make the event on September 28th but want to learn more? On Friday, November 10, 2017 from 9:00-11:00 AM, the ACHIEVA Family Trust Speakers Series will cover “What’s New with Special Needs Trusts and ABLE Accounts” featuring Kelly Davis from the PA Treasury ABLE Program and Jacquelyn Connell an attorney at the ACHIEVA Family Trust. For information and registration: https://events.r20.constantcontact.com/register/eventReg?oeidk=a07eefttpp9e65e070a&oseq=&c=&ch=
This post brought to you by Alison Karabin, Jewish Residential Services