ABLE lifts PA burden
Herald-StandardJul 18, 2017
If you have a child with a physical or intellectual disability, saving for their future comes with a multitude of price tags.
If you have a child with a physical or intellectual disability, saving for their future comes with a multitude of price tags.
You have to monitor every dollar saved for them right down to the penny, otherwise, if they have more than
If they're over that amount, be prepared to draw down the money before applying for
Oh, and another thing, you must provide receipts of what the money was spent on or show proof of where it went. Simply closing a bank account is not an option.
That's where PA ABLE comes in.
The PA Achieving a Better Life Experience (ABLE) Savings Program was launched in April by the state treasury department.
It allows individuals diagnosed with a severe disability before age 26 to enroll in a new tax-free savings account specifically designed for them.
This includes my son, who is receiving the opportunity with an ABLE account to have more independence that he and others with disabilities deserve.
The account enables individuals with physical and intellectual disabilities and their families to contribute up to
Although the maximum amount over the life of the account is
Some examples the money could be used for include housing, education, transportation, legal fees and funeral and burial costs not covered by the insurance if it's related to the person's disability.
Qualified withdrawals from ABLE accounts are exempt from federal and state income tax.
Like some Special Needs Trusts, the law permits states to take any remaining assets in an ABLE account to payback Medicaid.
The good news is that
There is no enrollment fee with ABLE, however the account requires an initial contribution of
Accounts are also limited to one beneficiary and withdrawals can be made online, using a debit card, by calling or writing.
It's long overdue, but the push to include people with disabilities in the community setting is getting a shove by local legislators who are there to help.
Families of people with disabilities also need to be aware of the number of community resources that advocate and provide services to individuals with disabilities like
The treasury department is encouraging questions and input on PA ABLE by calling 1-855-529-2253 or by email at info@paable.gov.
They are also planning to host a public forum tentatively set for September in