How can I help my loved one with special needs save for the future without affecting their state and federal benefits eligibility?
A new federal law allows individuals to help their loved one with special needs save for their future without jeopardizing their public benefits. In December of 2014, the Federal Achieving a Better Life Experience (ABLE) Act passed through Congress. This legislation allows anyone who became disabled before age 26 to save up to $100,000 (a large increase from the previously allowed $2,000) in a tax free account which will not affect their eligibility for state or federal benefits. The money in an ABLE account can be used for education, housing, transportation, employment support, personal support services, legal fees, health expenses, funeral expenses, and financial management. Regulations for these accounts are still in development but accounts should be able to be set up starting around mid-June of 2015.
If you have further questions or need Medicaid planning services for your loved one with special needs, contact Babette Bach, Esq., a Florida Board Certified Elder Law Attorney, at (941) 906-1231.
