Virginia – ABLEAmerica

Program Name: ABLEAmerica (click to open an account) Please contact your financial professional.
Status: Open for Enrollment
ABLE Plan Flyer: https://www.capitalgroup.com/advisor/pdf/shareholder/MFGEBR-096-618731.pdf
State Program Manager: Commonwealth Savers Plan selected American Funds Service Company, American Funds Distributors and Capital Research and Management Company to manage ABLEAmerica.
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 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: ABLEAmerica is distributed by American Funds Distributors, Inc. and sold through unaffiliated intermediaries.
Number Investment Options: 7
Program Investment Institution(s): American Funds
Debit Prepaid Card Feature: No
Withdrawal Hold Rules: Yes.   Please contact your financial advisor.
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: No.
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

• Is there an initial minimum contribution requirement to open an ABLE account? If so, how much?
  Yes. $250.
• Is there a required minimum contribution to your account? If so, what is the amount?
  Yes. $50.
• Is there an annual set fee to maintain the account? If so, how much?
  Yes. Accounts may incur an initial $10 set-up fee. However, these fees are waived until further notice.
• 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?
  No.
• 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:
    Accounts may incur an annual $10 account maintenance fee. However, these fees are waived until further notice.
  • Check Fee:
    NA
  • Debit Card Fee:
    NA
  • Investment Option Fee Range:
    

    See https://www.capitalgroup.com/individual/products/american-funds-portfolio-series.html for details on the investment options or speak with your financial professional.

  • Statement Fee:
    Please contact your financial professional.
  • ABLE Account Transfer Fee:
    $0
  • Withdrawal Transaction Fee:
    NA
• Are there other characteristics unique to your program?
  

  The first ABLE program available through financial professionals, ABLEAmerica is distributed by American Funds, a family of mutual funds from Capital Group, one of the world’s largest investment management firms. The advisor-sold ABLEAmerica plan is sponsored by Commonwealth Savers and open to eligible individuals in all 50 states. For more information, contact a financial professional.

  Does your plan allow for different Levels of Control for who manages spending and investments from the ABLE account? Please contact your financial professional.

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

ABLEAmerica (click to open an account) Please contact your financial professional.