IAble Protects More Than SSI
Des Moines, Iowa – State Treasurer Michael Fitzgerald wants to make it clear for eligible individuals that IAble protects more than just Supplemental Security Income (SSI) eligibility. “A common myth about IAble is it only safeguards SSI eligibility,” said Fitzgerald. “However, funds invested in the Plan are disregarded when determining eligibility for many more programs; some of which include Medicaid, Supplemental Nutrition Assistance Programs (SNAP), Housing and Urban Development (HUD) and the Free Application for Federal Student Aid (FAFSA).”
IAble, Iowa’s Achieving a Better Life Experience (ABLE) plan, is a savings plan administered by Fitzgerald. The Plan allows individuals with a disability and their support systems to save money without the income limitations of federal benefits. For example, without an ABLE account, individuals receiving SSI benefits are only able to have $2,000 in their name. Asset limits such as this prevent them from achieving financial independence.
With IAble, eligible individuals can save up to $16,000 each year, and the funds in the account are disregarded when qualifying for many federal means tested programs.* The money can be spent on qualified disability expenses such as assistive technology, support services, education, groceries and housing.**
“All of these programs are a great benefit to individuals with disabilities and provide them with necessary income to support themselves,” continued Fitzgerald. “Knowing IAble is there to help protect those benefits means individuals with disabilities can continue to shoot for the stars and chase their dreams without financial limitations.”
*The Federal Annual Contribution Limit is $16,000 in 2022. IAble Account Owners who earn income may exceed the annual contribution limit by an additional $12,880 in 2022, which is adjusted annually by the federal government.
**Earnings on non-qualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as applicable state and local income taxes.