Because ABLEnow and ABLEAmerica are Virginia-sponsored ABLE savings programs, there are unique advantages for eligible Virginians.
Eligible individuals may open an ABLE account in any state, but may only have one ABLE account. With these benefits, the Virginia-sponsored ABLE programs offer a unique value for Virginians.
State tax advantages
Contributions to an ABLEnow or ABLEAmerica account could qualify for a Virginia state income tax deduction of up to $2,000 per contributor. Plus, earnings on investments grow free from state and federal taxes and are never taxed when used for qualified disability expenses.
Generally, funds in an ABLEnow account are disregarded when determining eligibility for certain federal benefits as well as state benefits provided by the Commonwealth of Virginia. For details, please see the frequently asked questions.
Unless required by federal law, the Virginia Department of Medical Assistance Services may not pursue Medicaid recovery claims against the ABLEnow or ABLEAmerica accounts of Virginia residents.