Categories
Uncategorized

BLOG

July 6, 2021

ABLE ACCOUNTS (Achieving a Better Life Experience )

Achieving a Better Life Experience, ABLE Accounts, can be an integral part of your special needs child’s financial life when considering savings for expenses while keeping their SSI (Supplemental Security Income), and MediCal/Medicaid benefits in place.

As special needs parents, one of our main concerns is the well being of our children.  No different from any other parent, but, I’m sure you would agree, that there can be, depending on the disability, a great number of added concerns and needs that we are challenged with on a daily basis. So, how can we know that we are doing the best for them now, and be preparing for their needs in the future, without adding more to our already full plate? That is where an ABLE Account can help.

ABLE Accounts were first introduced through the Achieving a Better Life Experience (ABLE) Act of 2013. (S. 313/H.R.647)  On December 3, 2014, the ABLE Act passed in the House of Representatives, and then by the Senate on December 19, 2014.  Giving special needs adults more independence through the accessibility of funds to pay for their everyday expenses. Meaning; since they will be the beneficiary of the account, they will  have direct access to their own money to pay for their own needs.  There have been a few amendments to the original law over the past few years, but the changes have been minimal, and what we have in place today can give you and your child another tool towards independence.

What is an ABLE account?  Briefly, it is safe harbor for funds that would otherwise endanger your child’s benefits.  What do I mean by that?  Well, one of the biggest problems facing most on SSI and MediCal/Medicaid is going over the $2,000 threshold of assets. That is the amount of money the Government says you can not have more than before they come for your benefits.  Trust me, they will come!

So how can an ABLE account help prevent this from happening?  I’m glad you asked.  You can put that “dangerous” surplus of money, that you have accumulated in your bank account, into the ABLE account, and it is sheltered from being counted against you, to the tune of $15,000 per calendar year ( January-December) and $100,000 in total!  Anyone can contribute, the disabled child or adult is the beneficiary, and it is sheltered from taxes when taken out for QDE’s (Qualified Disability Expenses), and if it grows over time the taxes are deferred.

Some of the ways that an ABLE account can help foster independence in your special needs child/adult, is it gives them access to “their” own money so they can supplement their monthly expenses.  For example: money for transportation, medical co-pays, also prescriptions. This gives them a sense of personal freedom, that can only come from taking care of your own immediate financial needs.  Not having to ask for help can give anyone a feeling of personal satisfaction, especially a person with a disability who has had to rely on others most of their lives.  Being an included, and productive member of society is what we want for our children, and an ABLE account can be one of the tools to help get them there.

If you would like more information about ABLE accounts please email us at ConsultWithMark@yahoo.com

January 3, 2022:

How Your Goals Can Free Your From Financial BONDAGE!!

January 11, 2022:

How To Tame Your Spending and Control Over Your Money!

January 18, 2022

How To Cure Your ”SAVINGS’ Cancer!

January 25, 2022

How To “GUARANTEE” Your Financial Plan Will Out Live You!

February 8, 2022

How To Understand ABLE Accounts!

February 15, 2022

How To Save Using an ABLE Account and Special Needs Trusts!

February 22,2022

How To Create Long Term Savings In A Special Needs Trust And An ABLE Account!

March 1, 2022

The Key To Financial Security For You and Your Special Needs Child!

March 8, 2022

How To Get Out Of DEBT!

March 15,2022

How You Think About Money, Will Affect Your Special Needs Child

March 22, 2022

How The Child Tax Credit and Tax Refund Affect Your Benefits

March 29, 2022

How To Double Your SSI Income, And Keep Your Benefits!

April 5, 2022

How To Know What Investment Is Best For Your Child’s Future!

April 12, 2022

How To Invest and Fund Your Child’s ABLE Account!

April 19,2022

How Saving Is Important For You!

May 3, 2022

How To Build Financial Security For Your Special Needs Child!

May 17, 2022

How To Save For Your Child, Long Term!

June 7, 2022

How ABLE Accounts Are Important!

June 14, 20222

How A Special Needs Trust Fits Into Your Financial Plan!

June 21, 2022

How An ABLE Account and A Special Needs Trust Work Together!

June 28, 2022

How To Get The Most Out Of Your Child’s ABLE Account!

July 12, 2022

How Adding Money To Your Budget, Can Secure Your Child’s Future!

July 19, 2022

How Understanding, Life Insurance, Can Secure Your Family’s Future!

July 26, 2022

How To Use An ABLE Account As An Emergency Fund!

Aug 9, 2022

How Your Financial Plan, Can Change Your Special Needs Families

By Mark Solomon

Financial Guide for Special Needs Families

Leave a Reply