Tax Policy – ABLE National Resource Center Hosting Webinar Series

The ABLE National Resource Center (ANRC) has declared August as #ABLEtoSave month. During this month, the center will be raising awareness and providing resources relating to ABLE programs. Additionally, they are hosting a series of webinars:

  • Week 1 (July 30 – August 5): Basic Overview of ABLE
  • Week 2 (August 6 -12): Eligibility
    • Wednesday August 9, from 2:00 – 3:00 EDT
  • Week 3 (August 13 – 19): Qualified Disability Expenses
  • Week 4 (August 20 – 26): Financial Literacy
  • Week 5 (August 27 – September 2): Enrollment

To learn more about the #ABLEtoSave campaign and ABLE accounts, visit the ANRC website and be sure to “like” the ANRC on Facebook and Twitter (@theABLENRC).

Tax – Montana and the District of Columbia Open Qualified ABLE Programs

Recently, Montana and the District of Columbia opened qualified ABLE programs, bringing the total number of jurisdictions with ABLE programs to 26. Both plans are open to all eligible individuals nationwide. They have six investment options and a checking account with a debit card. There is a $40 annual account maintenance fee, an annual $15 fee for printing and delivery of statements, and asset-based fees that range from 0.34% to 0.38% for investment options. The minimum initial deposit is $25. More information about state implementation of the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.

Tax Policy – Louisiana Opens Qualified ABLE Program

On June 29, Louisiana became the 23rd state to launch a qualified ABLE Program. This program is currently only open to Louisiana residents. The program has seven investment options. There are no fees associated with the account. The minimum initial deposit is $10. More information about state implementation of the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here

Tax Policy – Georgia Opens Qualified ABLE Program

On June 13, Georgia became the 22nd state to launch a qualified ABLE Program. This program is currently only open to Georgia residents. The program has five investment options. There is a quarterly fee of $3.50 and asset-based fees that range from 0.19% to 0.34% for investment options. The minimum initial deposit is $50. More information about state implementation of the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.

Tax Policy – Massachusetts and Missouri Launch ABLE Programs

Massachusetts and Missouri have launched qualified ABLE programs, bringing the total number of states with ABLE programs to 21. Massachusetts’s program (The Attainable Savings Plan) is open to all eligible individuals nationwide, has eight different investment options, has a minimum initial deposit requirement of $50, and charges an annual fee of $30 as well as asset-based fees ranging from 0.57% to 0.94%.

Missouri’s program (MO ABLE) is currently only open to state residents, has five different investment options, a minimum initial contribution requirement of $50, a monthly fee of $3.50, and asset-based fees ranging from 0.19% to 0.34%. More information about state implementation of the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.

Tax – President Trump Releases Outline of Tax Reform Plan

On April 26, President Trump released a one page outline of his tax reform plan that is billed as “The biggest individual and business tax cut in American History.” Individual reform includes reducing the number of tax brackets, doubling the standard deduction, and providing tax relief for families with child and dependent care expenses. The proposals for corporate tax reform are to lower the top rate to 15%, institute a territorial tax system, provide for a one-time tax on corporate profits held overseas, and to eliminate tax breaks for special interests. The plan also notes that the Trump administration will hold listening sessions with stakeholders throughout the month of May to receive their input and will continue working with the House and Senate to develop the details of a plan. The nonpartisan Committee for a Responsible Federal Budget estimates that the plan will add $3 to $7 trillion to the nation’s deficits and debt over 10 years. Read The Arc’s blog post for more information.

Tax – ABLE Act Improvement Bills Reintroduced

On April 4, three bills to make improvements to the Stephen J. Beck, Jr. Achieving a Better Life Experience (ABLE) Act were introduced:

  • The ABLE Age Adjustment Act (H.R.1874/S.817) would raise the age limit for eligibility for ABLE accounts to individuals disabled before age 46.
  • The ABLE to Work Act (H.R.1896/S.818) would allow individuals and their families to save more money in an ABLE account if the beneficiary works and earns income.
  • The ABLE Financial Planning Act (H.R.1897/S.816) would allow families to rollover savings from a Section 529 college savings plan to an ABLE account.

More information about the bills and The Arc’s position can be found on our blog.

Tax – Pennsylvania Opens ABLE Program

On February 27, Pennsylvania became the 19th state to launch a qualified ABLE Program. This program is open to eligible individuals nationwide. The plan has seven investment options, one of which is an interest-bearing checking account with a debit card. There is a quarterly fee of $15, or $11.25 if program statements and information are sent electronically, along with annual asset-based fees that range from 0.34% to 0.38% for investment options. Additionally, there is a $2 monthly fee for the checking account option unless account holders choose to receive bank statements electronically or maintain an average balance of at least $250 a month. More information about state implementation the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.

Tax – Alabama Opens ABLE Program

On February 27, Alabama became the 18th state to launch a qualified ABLE Program. This program is open to eligible individuals nationwide. The plan has three investment options, a bank savings option, and a checking option. There is a quarterly fee of $11.25 and annual asset-based fees that range from 0.50% to 0.56% for investment options. Additionally, there is a minimum initial deposit of $50. More information about state implementation the ABLE Act can be found here.

General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.

Tax – Vermont Opens ABLE Program

On February 27, Vermont became the 17th state to launch a qualified ABLE Program. This program is currently only open to Vermont residents. The plan has five investment options. There is a monthly fee of $5 and annual asset-based fees that range from 0.19% to 0.34% depending on the investment option. Additionally, there is a minimum initial deposit of $50. More information about state implementation the ABLE Act can be found here. General information about ABLE programs can be found in the National Policy Matters: ABLE Accounts for People with Disabilities here.