Your Questions Answered: Are There Limits To An ABLE Account?

We recently started working with another family that has a child with some special needs. They had already done a solid job of planning for this child and were building on the good work they had done with their previous financial professional.

We were reviewing the ABLE account they had set up for their son and the question came up, “Are there limits to an ABLE account?”

ABLE accounts, a boon for individuals with disabilities, do come with certain limits. For 2024, you can contribute up to $18,000 annually. If you’re employed, you might be able to add more, but the total balance must stay below $100,000 to maintain SSI benefits. Each state has its own cap for the total ABLE account balance, ranging from $235,000 to $596,925. ABLE accounts are powerful tools for financial stability and independence, but it’s crucial to be aware of these limits in the planning process.

Securities and advisory services offered through LPL Financial, a registered investment advisor, Member FINRA/ SIPC.
This is a hypothetical situation based on real life examples. Names and circumstances have been changed. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investments or strategies may be appropriate for you, consult your advisor prior to investing.