Understanding ABLE Account Savings and Public Benefits

The IRS law, regulations, and policy governing ABLE accounts allow distributions to cover the cost of “qualified disability expenses” (QDEs). See ABLE Case Summary 4: ABLE Accounts and Qualified Disability Expenses: Expenses That Do or Do Not Meet QDE Criteria, https://www.ablenrc.org/wp-content/uploads/2019/07/4-ABLE-and-Qualified-Disability-Expenses_0.pdf.   QDEs are expenses made for the benefit of the designated beneficiary and related to his or her disability, including, but not limited to: education; housing; transportation; employment training and support; assistive technology and related services; health; prevention and wellness; financial management and administrative services; legal fees; expenses for ABLE account oversight and monitoring; funeral and burial; and, basic living expenses. Subsequent to the publication of the referenced case summary, the Social Security Administration (SSA) has clarified that food is considered a QDE.