Washington, D.C. – Today, U.S. Congressman Sam Johnson (TX-03) voted in support of H.R. 647, the Achieving a Better Life Experience (ABLE) Act, legislation that seeks to help families and individuals more easily cover the costs associated with disabilities. The bill passed the House by a vote of 404 to 17.
“Individuals with disabilities – and their families – face what can seem to be insurmountable financial struggles when it comes to paying for the costs associated with disabilities,” said Johnson. “The ABLE Act would ease that burden by allowing families and individuals to set up tax-free accounts to pay for such costs. Today I was proud to join my colleagues to help those who, despite their disabilities, are trying to live their lives to their fullest.”
Michael Thomas, Executive Director for My Possibilities of Plano, stated, "This is a wonderful opportunity for families with children with special needs. The ABLE Act helps level the playing field for so very many families with children with disabilities that may not have the access or funds to set up a special needs trust. It will simplify the process and make it accessible to all families across all income brackets, to set something up for their loved one with a disability, while preserving benefits. This is a BIG win for the disability community!"
The ABLE Act would allow individuals with disabilities to open an ABLE savings account.
• Contributions to an ABLE account could be made by any person;
• Contributions would not be tax deductible;
• Income earned by the accounts would not be taxed;
• Account withdrawals to pay for qualified* expenses would not be taxable.
* Qualified expenses are those related to the individual’s disability (i.e. health, education, housing, transportation, training, assistive technology, and personal support).
