Able Account Means and Resource Test Guide

The Able Account Means and Resource Test is a crucial step in determining eligibility for certain government benefits. The test assesses an individual's ability to provide for their own needs.

To pass the test, you must have a certain amount of resources, which are assets like cash, stocks, and bonds. The test also considers your income and expenses.

Your primary residence, one vehicle, and household goods are generally exempt from the resource test. This means you can keep these items and still qualify for benefits.

The resource limit varies depending on your state and the type of benefit you're applying for.

An ABLE account is a tax-advantaged savings account designed for individuals with disabilities. ABLE stands for Achieving a Better Life Experience, and it's a way for people with disabilities to save money without jeopardizing their eligibility for government benefits.

To be eligible for an ABLE account, you must have a disability that began before age 26, although this criterion is expanding to before the age of 46 on 1/1/2026. This means that individuals with disabilities can save money for qualified disability expenses without affecting their eligibility for Medicaid and Supplemental Security Income (SSI).

ABLE accounts allow individuals to contribute up to $15,000 per year, and the funds in the account can be used for a wide range of qualified disability expenses, including education, housing, transportation, healthcare, and more.

Here are some examples of qualified disability expenses that can be covered by an ABLE account:

Note that assets in an ABLE account and distributions for qualified disability expenses are disregarded or given special treatment when determining eligibility for most federal means-tested benefits, including SSI benefits and Medicaid.

To be eligible for an ABLE account, you must have developed a disability before the age of 26. This is the primary eligibility requirement for an ABLE account.

The ABLE Act limits eligibility to individuals with significant disabilities, but it's worth noting that the age of onset requirement is being expanded to include people who have a disability that began before age 46, starting from 2026.

If you're receiving benefits under SSI and/or SSDI, you're automatically eligible to establish an ABLE account. This is a great benefit for those who are already receiving government assistance.

To be eligible if you're not receiving SSI and/or SSDI, you must meet Social Security's definition and criteria regarding significant functional limitations. You'll also need a letter of certification from a licensed physician to support your eligibility.

Earnings from employment are still counted as earned income or substantial gainful activity, and this will be taken into consideration when determining your eligibility or continued eligibility for certain public benefits.

ABLE accounts provide a way for individuals with disabilities to save and invest money without affecting their eligibility for government benefits such as Medicaid and Supplemental Security Income (SSI). These accounts allow individuals to contribute after-tax dollars into an account that can then be used to pay for qualified disability expenses.

With an ABLE account, you can save for expenses like healthcare, education, housing, and transportation. You can even have the peace of mind knowing that you have a savings safety net and can plan for a brighter financial future.

Contributions to an ABLE account are not made with pre-tax dollars, but the earnings on those contributions grow tax-free. This means you can save and invest for your future without worrying about taxes eating into your savings.

ABLE accounts are designed to provide individuals with disabilities a tax-advantaged way to save money for qualifying expenses related to their disability.

A wide range of expenses qualify, including housing, transportation, education, assistive technology, personal support services, and even basic living expenses like groceries and utility bills.

You can use ABLE account funds to pay for expenses related to education, housing, transportation, employment training and supports, assistive technology, personal support services, health care expenses, financial management and administrative services.

Funds in ABLE accounts can be used to support your employees' ability to work, and increase their productivity and ability to get to and from work.

Expenses related to health care, such as medical care and health-related financial emergencies, are also eligible for funding from an ABLE account.

Consistent access to medical care can help individuals avoid absences from work, health-related financial emergencies, or other health-related barriers to employment.

ABLE accounts provide a way for individuals with disabilities to save and invest money without affecting their eligibility for government benefits such as Medicaid and Supplemental Security Income (SSI).

Contributions to an ABLE account are made with after-tax dollars, which means you'll pay taxes on the money you put in.

The funds in an ABLE account can be used to pay for qualified disability expenses, including healthcare, education, housing, and transportation.

These qualified expenses are essential for improving the quality of life for individuals with disabilities, giving them greater independence and autonomy.

Individuals with disabilities can have the peace of mind knowing they have a savings safety net and can plan for a brighter financial future with an ABLE account.

The ABLE National Resource Center is here to help. They were founded by National Disability Institute to provide reliable information about ABLE programs and accounts.

You can find the latest information on ABLE, including state-by-state program updates, through the ABLE National Resource Center. They also offer informational videos, webinars, and policy summaries.

The ABLE National Resource Center is a valuable resource for those looking for answers to frequently asked questions about ABLE.

There are over 40 ABLE programs nationwide that currently allow eligible individuals with disabilities to open an ABLE account. This means you have plenty of options to choose from when setting up your account.

Opening an ABLE account can be a great way to take control of your financial future. With an ABLE account, you can save up to $15,000 per year without affecting your eligibility for certain federal benefits.

To get started, you can visit the ABLE National Resource Center website, where you can download resources and learn more about how an ABLE account can help you build a better financial future.

Here are some key benefits of having an ABLE account:

Employers can contribute to an employee's family member's ABLE account, which is a big plus for those who want to help out a loved one.

This type of contribution is not considered "income" by federally funded means-tested benefit programs, as long as it doesn't represent the employee's earnings or bonus.

In fact, this is a great way to support a family member's independence and financial stability without affecting their eligibility for benefits.

Taking control of your financial future is a huge step towards a better life. You can open an ABLE account to help you get on the path to financial independence.

There are over 40 ABLE programs nationwide that allow eligible individuals with disabilities to open an ABLE account. This means you can review the Road Map to Enrollment or the Road Map to Independence to get started.

If you have questions about ABLE accounts, you can fill out the ABLE National Resource Center Contact Form. The ABLE National Resource Center is a great resource for learning more about ABLE accounts and finding out how you can enroll.

You can save up to $15,000 per year in an ABLE account without putting your eligibility for certain federal benefits at risk. This makes it a great way to plan for a brighter financial future.

Here are some examples of qualified disability expenses (QDEs) that you can use ABLE account funds for:

These expenses can help improve your health, independence, and quality of life, which is exactly what an ABLE account is designed to help with.