Treasurer Fitzgerald Announces IAble Price Reduction
Des Moines, Iowa – State Treasurer Michael L. Fitzgerald is excited to announce a reduction to the Program Management Fee for Iowa’s Achieving a Better Life Experience (IAble) plan. The already low-cost program lowered fees by 4 basis points, which averages to an over 12% decrease in the Program Management Fee. Effective immediately, fees will range from 30 to 34 basis points, depending on the investment option(s) an account owner selects. “Giving individuals with disabilities the opportunity to save money to improve their quality of life has always been the goal of IAble,” said Fitzgerald. “Providing them with professionally managed investment options at an affordable rate is just another great benefit of the plan.”
IAble, administered by Fitzgerald, provides individuals with disabilities and their support systems a way to save money while still maintaining crucial benefits for programs such as Supplemental Security Income (SSI) and Medicaid. Account owners can choose to house their contributions in one of six investment options or a checking account, which can then be withdrawn to cover assistive technology, support services, medical bills, housing, food and other qualified disability expenses.*
The plan is a part of the National ABLE Alliance (NAA), which is a partnership of States dedicated to providing persons with disabilities ABLE programs at a low cost. As a result of the Alliance meeting the $250 million threshold, the asset-based fee for NAA ABLE plans was lowered. Of the total assets, IAble contributes $13.1 million across 1,449 accounts. “In a relatively short span of time, IAble has grown its assets, increased its annual contribution limit and reduced fees,” commented Fitzgerald. “I hope this encourages more individuals to check out the plan and start their path to saving.”
*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.