{"id":4233,"date":"2023-09-05T22:08:20","date_gmt":"2023-09-05T22:08:20","guid":{"rendered":"https:\/\/alsoweb.org\/?p=4233"},"modified":"2023-12-29T19:59:22","modified_gmt":"2023-12-29T19:59:22","slug":"how-to-save-money-while-on-disability-open-an-oregon-able-account","status":"publish","type":"post","link":"https:\/\/alsoweb.org\/nonprofit-blog\/how-to-save-money-while-on-disability-open-an-oregon-able-account\/","title":{"rendered":"How to Save Money While on Disability: Open an Oregon ABLE Account!"},"content":{"rendered":"

How to Save Money While on Disability: <\/strong>Open an Oregon ABLE Account!<\/strong><\/h1>\n

Can you save money while on disability? If you receive Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), federal rules dictate that you can\u2019t have resources (including savings accounts) that are worth more than $2,000 for a person or $3,000 for a married couple living together. So the answer to the savings question would seem to be \u201cno,\u201d and it was\u2014until December 2014 and the passage of the \u201cAchieving a Better Life Experience Act,\u201d which allows eligible Americans with disabilities the opportunity to save as much as $17,000 a year (and in some cases, more).<\/p>\n

Many people with disabilities receive some sort of state or federal benefits, like Social Security, Medicaid, or food or housing assistance. Unfortunately, these benefits come with income and asset caps. In other words, people have to choose between saving (or making) money or keeping necessary benefits. The Achieving a Better Life Experience (ABLE) act resolves this issue: Eligible people with disabilities now have the option to save or invest money in a tax-free account without fearing the loss of benefits. They can save up to purchase a service dog,<\/a> apply for a well-paying job without worrying about losing benefits<\/a>, or even buy a new house.<\/p>\n

What Are the Benefits of an ABLE Account?<\/strong><\/h2>\n

\u201cHaving a disability is expensive,\u201d says Kaellen Hessel-Owens, the Oregon State Treasury\u2019s Oregon ABLE Outreach Manager. \u201cResearch from the National Disability Institute shows that households with one adult who has a disability need 28% more income on average to obtain the same standard of living as a similar household without a member who has a disability. Oregon ABLE can help make up for some of that gap.\u201d<\/p>\n

Besides being tax-free, Oregon ABLE\u2019s Cash Option\u2019s current interest rate is higher than most other rates available, and Oregon ABLE account holders qualify for a refundable income tax credit.<\/a><\/p>\n

\u201cABLE accounts seem to be the only way to combat the encouraged impoverishment that is set by asset limits,\u201d says Annie Steiner, Financial Advocacy Specialist at ALSO. \u201cABLE accounts are the Noah’s ark of savings for people with disabilities.\u201d<\/p>\n

Understanding ABLE Account Eligibility<\/strong><\/h2>\n

If you have a significant disability with an onset before age 26 and are already receiving SSI and\/or SSDI benefits, you\u2019re automatically eligible to open an ABLE account.<\/p>\n

But it’s not just people receiving Social Security who can benefit from ABLE accounts. If you acquired a disability before age 26 and meet Social Security\u2019s definition and criteria regarding significant functional limitations, you can file a disability certification. This certification, which includes information about your disability and must be signed by a physician, certifies that you:<\/p>\n