Breen Bill that Protects Funds in ABLE Accounts Signed into Law by Governor Bruce Rauner

Governor Bruce Rauner has signed legislation that protects funds that are dedicated to the support of individuals who are living with a significant disability in an “Achieving a Better Life Experience” (ABLE) account. SB 2660, sponsored by State Representative Peter Breen (R-Lombard), puts strict language into the Illinois Statutes that protects those resources from garnishment by the government on the death of that disabled individual.

“This new law is the result of feedback received from citizens who have had problems losing funds designated to provide financial assistance to individuals with disabilities out of fear that the assets will be taken out by Medicaid,” said Breen. “Moving forward, they don’t need to worry about the safety of funds that have been set aside for specific uses relative to the care of individuals living with a disability.”

The ABLE program provides tax-advantaged savings and investment plans to assist persons living with significant disabilities to save for their future expenses without putting their federal means-tested benefits at risk. Eligibility is limited to those who acquired their disability before the age of 26. Up to $100,000 saved in ABLE accounts are not counted toward a disabled person’s eligibility for Supplemental Security Income (SSI) or other federal means-tested programs.

SB 2660 is now listed in the Illinois State Statutes as Pubic Act 100-0713.

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