General InformationDownload PDF Report
RI's ABLE is offered through the National ABLE Alliance. The program was established within the Executive Office of Health and Human Services and administered in conjunction with the State Investment Commission for the purposes of administering ABLE accounts established to encourage and assist individuals and families in saving private funds for the purpose of supporting individuals with disabilities. Under RI's ABLE, one or more persons may make contributions to an account to meet the qualified disability expenses of the Account Owner.
- Program typeABLE Savings plan
- Investment ManagerUnderlying mutual funds and ETFs sponsored by BlackRock, Schwab, and Vanguard. Sallie Mae Bank provides the high yield savings account.
- State agencyExecutive Office of Health and Human Services in conjunction with the State Investment Commission
- Program ManagerAscensus
- Manager contract termUNLOCK PRO
State residency requirements:No
Who can be a participant/owner in the program?An account owner must be an eligible individual under Section 529A as well as a U.S. Citizen or resident alien with a SSI/TIN number and valid permanent U.S. street address.
Program restrictions:To be eligible for an ABLE savings plan, an individual must have been diagnosed with a disability before age 26, and be eligible to receive benefits under Supplemental Security Income (SSI) and/or Social Security Disability Insurance (SSDI). Individuals who are not receiving SSI and/or SSDI may still be eligible if they meet the age requirement and have been diagnosed by a licensed physician and received a letter of certification.
Did you know?
The plan can be used to pay for qualified disability expenses.
This can include education, job training and support, healthcare and financial management.
Savings in an ABLE account will not impact eligibility to receive government benefits.
The first $100,000 is exempt from the Supplemental Security Income limit, and beneficiaries will continue to receive Medicaid regardless of account size.
Residents are not limited to investing in their own state's ABLE plan.
Another state may offer a plan with better suited investment options, lower fees or preferred features.
Visit this plan's website to learn more
Maximum contributions:Annual contribution limit is currently $15,000 from all sources. If the beneficiary works, the beneficiary can also contribute part, or all, of their income to their ABLE account. This additional contribution is limited to the poverty-line amount for a one-person household. For 2018, this amount is $12,140. The designated beneficiary is not, however, eligible to make this additional contribution if their employer contributes to a workplace retirement plan on their behalf.
ABLE account beneficiaries can qualify for the Saver's Credit based on contributions they make to their ABLE accounts. Up to $2,000 of these contributions may qualify for this special credit designed to help low- and moderate-income workers.
The assets in an account cannot exceed the account balance limit of $395,000, but assets can continue to accrue earnings beyond the account balance limit.
Minimum contributions:The initial and additional contribution minimum is $25.
Target-Risk Options:Select among 6 portfolio options: Aggressive Option, Moderately Aggressive Option, Growth Option, Moderate Option, Moderately Conservative Option, or Conservative Option.
Bank Money Market Investment / Checking Option:No investment option, but the conservative option allocates 60% to a Sallie Mae Bank High-Yield Savings Account.
Fees & Expenses
Enrollment or application fee:None
Account maintenance fee:$60, assessed at $15 per calendar quarter. The quarterly fee is discounted by $3.75 for account owners who elect to receive statements via electronic delivery and further discounted by $1.25 per quarter for residents of Rhode Island.
$2 monthly service charge for investments in the Checking Option, waived for accounts with an average daily balance of more than $250.