No

An eligible individual who is of legal age to own securities and is a U.S. citizen or legal U.S. resident may open an ABLEAmerica account as the account owner.

To be eligible for an ABLE savings plan, an individual must have been diagnosed with a disability before age 26 prior to January 1, 2026 and before age 46 after January 1, 2026, 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.

The annual contribution limit for 2025 is $18,000 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 federal poverty level amount for a one-person household. 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. There is also a lifetime account limit of $550,000, at which point no new contributions may be made.

The minimum amount required by each of the American Funds selected.

Select among six options from the American Funds Portfolio Series: Global Growth, Growth, Growth and Income, Moderate Growth and Income, Conservative Growth and Income, and Preservation.

American Funds U.S. Government Money Market Fund

$10 account setup fee, currently waived

$10, currently waived

State administrative fee of 0.06% (currently waived) plus distribution fee of up to 0.22% (none for ABLE-F-2 class); plus management fee of 0.27% for Money Market option.

Total annual asset-based fees range from 0.31% to 0.69%

Class ABLE-A: Ranges from 0.36% to 0.75% (after waiver)

Class ABLE-F-2: Ranges from 0.29% to 0.48% (after waiver)

Maximum initial sales charge for Class ABLE-A:
3.50% for American Funds Portfolio Series except 2.50% American Funds Preservation Portfolio; none for Money Market.

No sales charge for Class ABLE-F-2

Breakpoint pricing:
American Funds Portfolio Series except American Funds Preservation Portfolio (dealer commission):
Less than $250,000 - 3.50% (2.75%)
$250,000 - $499,999 - 2.50% (2.00%)
$500,000 - $749,999 - 2.00% (1.60%)
$750,000 - $999,999 - 1.50% (1.20%)
$1,000,000 or more - 0% (may be subject to 1% contingent deferred sales charge if the shares are sold within 18 months of purchase)

American Funds Preservation Portfolio:
Less than $500,000 - 2.50% (2.00%)
$500,000 - $749,999 - 2.00% (1.60%)
$750,000 - $999,999 - 1.50% (1.20%)
$1,000,000 or more - 0% (may be subject to 1% contingent deferred sales charge if the shares are sold within 18 months of purchase

None

Virginia permits a Virginia individual income tax deduction for contributions to accounts. The amount deducted on any individual income tax return in any taxable year is generally limited to $2,000 per account. Contributors may carry forward any un-deducted amounts until their contributions have been fully deducted. Contributions are fully deductible in the year of contribution for taxpayers at least 70 years of age.

Any deduction is subject to recapture in the year a withdrawal or refund is made for any reason other than: (1) to pay qualified disability expenses or (2) due to the beneficiary's death or disability.

Qualified Disability Expenses are expenses that are incurred by a Beneficiary that relate to the Beneficiary's blindness or disability and are for the benefit of the Beneficiary in maintaining or improving his or her health, independence or quality of life.

If a qualified withdrawal is made from an account, no portion of the withdrawal, including earnings, may be included in the gross income of the account owner.

Virginia accepts a rollover or transfer from another ABLE program to ABLEAmerica. If rolling over or transferring funds from another ABLE Program, the ABLEAmerica beneficiary must be the same beneficiary or an eligible individual who is a memberof the family of the previous beneficiary. A rollover from another ABLE Program for the same beneficiary can only be made once every 12 months. Virginia will accept a rollover or transfer from a qualified tuition program to ABLEAmerica.

The ABLE Act is designed to ensure that the value of any and all assets purchased using funds from an ABLE account that are qualified disability expenses will not count for purposes of determining eligibility for Medicaid, and that once an asset is purchased it will not be subject to further review. The CMS guidance can be found at Implications of the ABLE Act for State Medicaid Programs on the CMS website. Please consult with your state's Medicaid office with any additional questions.

Upon the death of the account owner, IRC Section 529A permits a state to file a claim for the amount of the total medical assistance paid for the account owner under the state's Medicaid plan after the establishment of the account (or any ABLE account from which amounts were rolled or transferred to the account). The amount of the claim is to be paid only after the payment of all outstanding payments due for the qualified disability expenses of the account owner and is to be reduced by the amount of all premiums paid by or on behalf of the account owner to a Medicaid Buy-In program under that state's Medicaid plan.

Only the Account Owner or authorized representative may request transfers, rollovers, investment changes, withdrawals and beneficiary changes.

In the case of a transfer of ownership of an Account, the new account owner succeeds to the previous owner's tax attributes, including, but not limited to, carryover and recapture of deductions.

No

(844)-NOW-ABLE