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What is a 529 ABLE account?

The ABLE Act, which was signed into law in December 2014, allows Americans who are living with disabilities to save money for college and other expenses in a tax-deferred account as a supplement to private insurance and public benefits. Similar to a 529 college savings plan, 529 ABLE accounts are savings accounts administered by the states.

How much can a 529 account be able?

The total limit over time that could be made to an ABLE account will be subject to the individual state and their limit for education-related 529 savings accounts. States have set limits for total allowable ABLE savings. State ABLE limits range from $235,000 to $550,000.

Can a 529 ABLE account be used if you have autism?

As of January 1, 2023, parents who have saved money in a 529 college savings account may be able to roll up to $17,000 of the funds into a 529 ABLE account in the event the beneficiary is later diagnosed with a disability such as autism.

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