Virginia – ABLEnow

Program Name: ABLEnow (click to open an account) Phone: 844-669-2253
Status: Open for Enrollment
ABLE Plan Flyer: https://www.ablenow.com/uploads/documents/ABLEnow-Brochure_2024_Web.pdf?v=1725911145
State Program Manager: Virginia529
State Account Limit: $550,000
Accepts Out Of State Residents: Yes
Annual Contribution Limit: $19,000 (This limit is a Federal limit that is required of all states and does not include additional ABLE to Work contributions.)
ABLE To Work Act Contribution: An Account Owner who is employed and who is not contributing to a defined contribution plan, an annuity contract or an eligible deferred compensation plan may contribute additional money to their ABLE Account. The additional amount that may be deposited is an amount equal to the Account Owner’s employment income or equal to the poverty line for a one-person household for the prior calendar year, whichever amount is the less. This is up to $15,060 for residents of the continental U.S.; $18,810 for residents of Alaska and $17,310 for residents of Hawaii.
Program Banking Institution: PNC Bank
Number Investment Options: 5
Program Investment Institution(s): Vanguard and Fidelity
Debit Prepaid Card Feature: Yes
Withdrawal Hold Rules: Yes.   Typically, funds are available between one and five business days after the contribution is initiated. The availability of funds for withdrawal will vary depending on the type of contribution.
Medicaid Estate Recovery Status: 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. For customers who received Medicaid benefits outside Virginia during the time they had an ABLEnow or ABLEAmerica account open, that state’s Medicaid program can file a claim for some amount of repayment upon death. Before that happens, funds from the beneficiary’s ABLE account may be used by their estate to repay any outstanding qualified disability expenses, including funeral and burial costs.
State Income Tax Deduction: Yes. Virginia offers an annual state income tax deduction of up to $2,000 per contributor for contributions to an ABLEnow or ABLEAmerica account.
FDIC Insured: Yes. Balances in the ABLEnow Deposit Account are insured to the extent allowed by the Federal Deposit Insurance Corporation (FDIC).
ABLE Legislation:

Sections 23.1-700 through 23.1-713 of the Code of Virginia, as amended.

Account Disclosure Document(s):

Please See Plan Disclosure Documents


Additional Information:

Does your plan allow for proper account titling for a representative payee? ABLEnow allows individual and organizational representative payees to open accounts as Authorized Representatives, so the representative payee has full control over account funds.”

What is your plan’s policy regarding payment of funeral / burial expenses as a qualified disability expense (QDE) prior to account freeze, if available? An ABLEnow account’s Authorized Representative may pay any outstanding qualified disability expenses for a deceased Designated Beneficiary from the ABLEnow account, including funeral expenses prior to a final distribution of the account funds.

Most ABLEnow gift-givers make contributions via a bank transfer (aka electronic funds transfer) or by check. The process is explained to customers here

Account owners can name a Designated Survivor. The Designated Survivor will receive the ABLEnow account assets in the event of the account owner’s/designated beneficiary’s death, following the payment of any outstanding qualified disability expenses, Medicaid claims and estate taxes of the deceased account owner/designated beneficiary.

Program at a Glance

  • Is there an initial minimum contribution requirement to open an ABLE account? If so, how much?
    No.
  • Is there a required minimum contribution to your account? If so, what is the amount?
    No.
  • Is there an annual set fee to maintain the account? If so, how much?
    Yes. $39 per year, payable at $3.25 per month. The monthly service fee is waived if you maintain an average daily balance of $10,000 in the ABLEnow Deposit Account.
  • Are there fees or restrictions to the number of disbursement you are allowed? If so, what are they?
    No.
  • Is there a “debit card/purchasing card” available with the program? If so, what is the added cost?
    Yes. $0 / There is no additional cost for the ABLEnow Card.
  • Can I roll over my ABLE account to another ABLE program? If so, what is the fee to do so?
    Yes. $0.
  • Fee Range
    • Annual Maintenance Fee:
      $39 per year, payable at $3.25 per month. The monthly service fee is waived if you maintain an average daily balance of $10,000 in the ABLEnow Deposit Account.
    • Check Fee:
      NA
    • Debit Card Fee:
      $0 Account Owners have the option to issue one additional ABLEnow Card to an Authorized Signer of their choice.
    • Investment Option Fee Range:

      Please See Plan Investment Disclosure Documents.

    • Statement Fee:
      Account Owners have the option to issue one additional ABLEnow Card to an Authorized Signer of their choice.
    • ABLE Account Transfer Fee:
      $0
    • Withdrawal Transaction Fee:
      $0
  • Are there other characteristics unique to your program?

    ABLEnow is the national, direct-sold ABLE savings program administered by Commonwealth Savers. Launched in 2016, ABLEnow features a convenient website to open and manage your account anytime, a fee-free savings option for customers with ABLEnow deposit account balances of $10,000 or more, and free resources such as the ABLEnow mobile app, mobile wallet-compatible ABLEnow Card, and in-house ABLE experts available by phone and email.

    Does your plan allow for different Levels of Control for who manages spending and investments from the ABLE account? Yes, ABLE account owners have the option to issue one additional ABLEnow Card to an Authorized Signer of their choice. ABLEnow allows individual and organizational representative payees to open accounts as Authorized Representatives, so the representative payee has full control over account funds. The online account portal has a dedicated field to capture the relationship to the Designated Beneficiary as representative payee.

    Description of plan’s Recertification of ABLE Eligibility Policy: See plan disclosure documents.

ABLEnow (click to open an account) Phone: 844-669-2253