ABLE Act soon to be up and running
Earlier this year, the Achieving a Better Life Experience Act – the ABLE Act -- passed the House and the Senate and was signed into law by Gov. Tom Wolf. The law is aimed at helping people living with disabilities and their families be more financially secure.
The ABLE Act provides families with a savings account without jeopardizing eligibility for important programs that their loved ones depend on. Under the new law, benefits of the program include:
- Savings of up to $14,000 each year;
- Tax-free growth;
- Use of the account to pay for a wide range of disability-related expenses;
- Federal and state income tax-free withdrawals when used for qualified disability expenses; and
- Exemption from the Pennsylvania inheritance tax.
The Office of State Treasurer hopes to offer enrollment in the PA ABLE Savings Program in December. Please visit this website for more information, including updates and enrollment materials as the ABLE Act nears implementation.