ABLE accounts

An ABLE account is a savings and investment account for a person with a disability. The person owns it. Money in it grows tax free and can be spent tax free on disability-related expenses. For SSI, the first $100,000 does not count against the $2,000 savings limit.

• Since January 1, 2026: anyone whose disability started before age 46 (it used to be before 26).
• The person must get SSI or SSDI because of that disability, or have a doctor's note that meets the rules.
• Each person can have one ABLE account. There is no income limit.
• A parent, guardian, or person with power of attorney can open it for them.

• Anyone can put money in: the person, family, friends, or an employer. Total yearly deposits in 2026: $20,000.
• SSI: the first $100,000 does not count. Above that, the SSI check is paused, not ended, until the balance drops. Medicaid keeps going.
• Rollovers: money from a 529 college savings account can be moved into an ABLE account, within the yearly limit.
• After the owner dies, some states can ask for money back for Medicaid costs. Several states do not. Check your plan.

• An account owner who works and does not put money into a retirement plan at work can add more from their own pay, up to $34,064 in 2026 in most states (more in Alaska and Hawaii).
• Working owners who save in their own account may also get the federal Saver's Credit at tax time.
• A smart pattern: have part of each paycheck go straight into your ABLE account.

"Qualified disability expenses" is broad. It includes housing and rent, food, transportation, education and job training, health care, assistive technology, personal support, and legal fees. Things that help you get or keep a job, like work clothes or a car, count too.