“We are pleased that the Achieving a Better Life Experience Act, H.R. 647, has been approved by the U.S. House of Representatives, and is one step closer to reaching President Obama’s desk. We appreciate the untiring work of the chief sponsors of the bill and the support of a large and broad representation in Congress. The ABLE Act is a good example of how members of both political parties can work together to craft legislation that benefits people with disabilities, as disability knows no political, geographic, gender, or ethnic boundaries.
“While the legislation was narrowed due to the constraints from the cost analysis, the approved bill will provide a vehicle for some families and people with intellectual and developmental disabilities to save for the future. The Arc will continue to work with the leadership and chief sponsors of this effort in Congress to expand this program in the future to ensure that everyone in need can get the maximum benefit from this legislation. Our goal is to ensure that people with disabilities get the full use of the ABLE Act. We still have concerns about certain pay-fors in the bill, and hope that the House and Senate can resolve these issues,” said Peter V. Berns, CEO of The Arc.
The ABLE Act aims to change the tax code to allow for tax advantaged savings accounts for individuals with disabilities for certain expenses, like education, housing, and transportation. Similar to existing “Section 529” education savings accounts, ABLE accounts would let families save for disability-related expenses on behalf of qualified beneficiaries with disabilities that will supplement, but not replace, benefits provided through the Medicaid program, the Supplemental Security Income program, the beneficiary’s employment, and other sources. If properly managed, funds in the ABLE accounts would not jeopardize eligibility for critical federal benefits. With full understanding of its features, individuals and families could use the ABLE accounts as another tool in planning for the lifetime needs of an individual with long term disabilities. The version of the bill that passed the U.S. House of Representatives includes age limitations and a cap on contributions, added in July by the Committee on Ways and Means to reduce the costs of the bill.
Source: The Arc