Millions of People Just Became Eligible For This Tax-Advantaged Savings Account

Core Insights - Starting in 2023, approximately 6 million additional individuals with disabilities became eligible for ABLE accounts, expanding eligibility to those who become disabled before age 46 [1][8] - ABLE accounts allow tax-free growth and withdrawals for qualified disability expenses, including transportation, food, education, and healthcare [2][8] - Contributions to ABLE accounts are capped annually, with a limit of $20,000 for 2026, and additional contributions allowed for working individuals without access to employer retirement plans [5][8] Eligibility and Benefits - To qualify for an ABLE account, individuals must have experienced their disability before age 46, and eligibility includes those receiving SSI or disability insurance benefits [6][8] - Assets in an ABLE account up to $100,000 do not affect eligibility for Supplemental Social Security Income (SSI) or other programs like Medicaid and SNAP [4][5] - Nearly all states offer ABLE accounts, with exceptions being Idaho, North Dakota, South Dakota, and Wisconsin [7]