NBC12 – RICHMOND, Va. (WWBT) - If you have a child with disabilities, a new savings program will open for you on Dec. 19.
It's essentially a savings venue for you to save for a child with disabilities with tax advantages, the same way you might save for a child headed to college.
The new financial tool helps individuals with disabilities and their families to save, invest and pay for qualified disability-related expenses.
There are often added expenses to living with a disability: accessibility renovations, transportation, in-home care, medication and therapies, assistive technology devices, and the list goes on.
The ABLE savings program is administered by Virginia 529. Eligible individuals can open an account online at able-now.com starting Dec. 19. Virginia will be one of the first states in the country to offer the program.
Here's what Virginia 529 shared about the start of national enrollment:
Opening for national enrollment on December 19, ABLEnow is the Virginia-sponsored ABLE savings program administered by Virginia529, the nation's largest college savings plan. It's a groundbreaking new financial tool for individuals with disabilities and their families to save, invest and pay for qualified disability-related expenses.
Fast facts about ABLEnow:
- National enrollment
- Available to eligible individuals who developed the onset of their disability before age 26
- Save up to $14,000 a year without endangering eligibility for certain disability benefits
- Open an account with as little as $25
- Earnings grow free from federal taxes
- Virginians may receive an annual state income tax deduction of up to $2,000 per contributor
- Use the ABLEnow Card to pay for qualified disability expenses, beyond just medical care
- Administered by Virginia529, the nation's largest college savings plan
"We're proud that the idea for ABLE accounts emerged about a decade ago from a group of Virginia parents," said Mary Morris, CEO of Virginia529, the agency that will administer the new ABLEnow program. "After years of working alongside disability advocates on federal and state-level ABLE legislation, Virginia529 is thrilled to open ABLEnow for individuals with disabilities and their families, both in Virginia and across the country."
To follow ABLEnow updates, learn more and open an account after launch, please visit able-now.com.