Tuesday, March 13, 2018
The Tax Cuts and Jobs Acts incorporates two provisions that strengthen Achieving a Better Life Experience (ABLE) accounts for those with disabilities: the ABLE Financial Planning Act and the ABLE to Work Act. Natasha Hickman, a senior advisor to Sen. Richard Burr, R-N.C., noted that the Achieving a Better Life Experience Act of 2014 has “evolved over time, but the key goal was to allow families who have a child with a disability to have a savings ability, like folks who were saving for college.” The Financial Planning Act allows families to transfer funds from a 529 plan to an ABLE account as long as the beneficiary remains the same. The ABLE to Work Act promotes employment among the disabled by allowing account holders to contribute more than the $15,000 annual limit. Hickman remarked that “are many in the disability community who want to work but are told to stay home because [they’d] those their [Supplemental Security Income or Medicaid] benefits by working and earning too much.”
See Melanie Waddell, ABLE Accounts Get Boost Under New Tax Law, Think Advisor, February 20, 2018.
Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.) for bringing this article to my attention.