ABLE Pending Legislation

In March 2016, the following three bills were introduced in Congress. CCT will continue to update this page as new information is made available regarding pending legislation relating to ABLE accounts.

1.  H.R.4795 – ABLE to Work Act of 2016: The legislation would allow individuals and their families to save more money in an ABLE account if the beneficiary works. Each year, an ABLE beneficiary who earns income from a job could save up to the amount of the Federal Poverty Level, which is currently $11,770. This would be in addition to the $14,000 per year limit from other third-party sources. The bill would also allow an ABLE beneficiary to qualify for the existing Saver’s Credit when they put savings in an ABLE account. More information is available here.

Status: This bill has advanced from the Senate Finance Committee and is now headed to the Senate floor.

2.  H.R.4794 – ABLE Financial Planning Act:  This legislation would allow families to rollover funds in a 529 college savings plan into an ABLE account. More information is available here.

Status: This bill has advanced from the Senate Finance Committee and is now headed to the Senate floor.

3.  S.2704 – ABLE Age Adjustment Act: This legislation would raise the age limit for ABLE accounts to age 46.  Currently, an eligible individual must have a disability that occurred before age 26. More information is available here.

Status: This bill was introduced but has not yet moved from the Senate Finance Committee.