Paul Safarik, 32, of Lincoln, Nebraska, has worked in the food industry since he was 21, serving grocery stores such as Rivising Cane's and Trader Joe's, such as Rivising Cane's and Stock Croceries. With Safarik of Down syndrome, he recently purchased a treadmill to keep active in bad weather and helped pay for the teeth’s cost.
Financially, this is unusual, thanks in part to a little-known savings account called the ABLE account, which puts the disability savings savings exceeding the $2,000 asset limit, in connection with benefits such as supplemental safety income and Medicaid. Without an account, if Safarik saves more than $2,000 in assets at one time in a given month, it may lose government aid.
“With this capable account, we don't have to worry.” Paul's mother, Deb Safarik, lives with him. “It’s great that he was able to work and save, without doing it on him.”
Named after the 2014 law that created them, it enables a better life sage law that has been identified by a doctor since 2016 as disabled persons before the age of 26. Next year, according to Indiana State University resident Elliipersers, they will identify people identified before the age of 46, including one million veterans, including one million. It is estimated that 8 million people across the country are already qualified.
“In the past, individuals could only save up to $2,000 or they could lose their benefits, which really limits a lot of families,” Elliott said. “People are forced into places where they can’t save for futures. Now we’re seeing an average account balance between $11,000 and $12,000.”
Rebecca S. Gratz / AP
Typically, a competent account may reach a total of $100,000 without affecting supplemental security income. The lifetime balance limits in each state may range from about $300,000 to over $500,000. They are managed by the state treasurer and the vast majority can be set up online through their website. Some competent programs also accept paper applications.
Anyone can contribute to a capable account
Anyone can contribute to account owners, friends, family, organizations, nonprofits and employers each year up to $19,000 per year in 2025. If the account owner is able to work and does not contribute to the workplace retirement plan, they can contribute an additional amount equal to their annual income. For 2025, this amount is up to $15,560 to $18,810, according to the state that manages the account.
There is also a tax advantage. Investment income can be maintained as long as the money obtained from the account is used for “qualified disability expenses” such as medical care, education, counseling and vocational training. Account holders can choose from multiple investment options from the funds in their account, or they can hold and save money without further investment.
Awareness is the biggest challenge
Elliot said raising awareness of accounts is the biggest challenge for the National Association of Treasurers (NAST), who is also the secretary treasurer.
“Many people are used to the idea of “If I have a disability or my kid has one, that could harm their interests to save money,” he said. “As a state and a country, we need to start contacting people and say, ‘Look, you can save money now. You can save money to buy a house.” The hardest thing at the moment is to convey the message.
According to NAST, although an estimated 8 million people are eligible, there are only 186,641 capable accounts by the end of 2024. When age limits are added, these accounts will also become disabled people who may be accidents in adulthood or accidents in later life (e.g. after co-infection).
Andrew Warren, senior associate associate research assistant for policy and research that studies the financial status of people with disabilities in the United States, said the vast majority of people in the organization's 2023 report were unaware of the existence of these accounts.
“Less than 1% of those who qualify have these accounts,” Warren said. “Our research shows that one of the major obstacles to staying healthy in this vulnerable group financially is asset restrictions. However, there is information between case workers and direct service providers in the field and (the administrators of Able Accounters).
This is something to know.
How do I know if I'm eligible for a competent account?
Two online resources (National Resource Centers with Capacity and Capacity today) can guide you on the question of whether you or friends or family are eligible.
Currently, the capable accounts are:
- People with disabilities started before the age of 26, and
- People with disabilities are “terminal or long-term (more than 12 months)” and disability causes “marked and severe functional limitations”.
Qualified persons must also meet one of the following criteria:
- Eligible for Supplementary Safety Income (SSI) or Social Security Disability Insurance (SSDI) due to disability; or
- The doctor has diagnosed a disability (physical or mental).
In 2026, the age limit for capability accounts will rise to 46.
What should I do if I or my family are eligible next year?
You can now start educating on the process of setting up your account, so you can add money and fund your account immediately starting in January 2026. Family, friends and organizations can also start putting funds on hold so that as of January 1, its purpose is to donate in the name of an individual.
