After resounding passing votes in the House and Senate, Sens. Richard Burr (R-N.C.) and Bob Casey (D-Penn.) said Wednesday that their Achieving a Better Life Experience (ABLE) Act is headed to the president’s desk for final approval.
The legislation ABLE Act will allow families with a disabled child to save funds for long-term care in special 529 savings accounts.
“Some have called the ABLE Act the most significant piece of legislation affecting the disabled since passage of the Americans with Disabilities Act nearly 25 years ago,” Burr said. “Most middle-class families don’t have the money to spend on lawyers and financial planners to set up sophisticated trusts to make sure that their disabled child will be OK long after they are gone.”
“What’s worse,” he said, “is that current federal law actually discourages parents from putting any assets in the name of their disabled child in fear of disqualifying them from federal programs down the road. It’s utterly unacceptable that our current laws doom a child born with a disability to a lifetime of poverty and dependence. The ABLE Act will take the first critical step in ending this injustice.”
The language in the ABLE Act amends Section 529 of the Internal Revenue Service Code to allow use of tax-free savings accounts for individuals with disabilities.
“I could not be more proud of the support the ABLE Act has received from members of both parties in the House and Senate, and from all of the families who worked with us to achieve this historic goal,” Casey said. “I look forward to President Obama quickly signing this bill into law so that countless families and individuals can have the tools they need to live a full life and have a bright future.”