With the newly launched NJ ABLE program, individuals with disabilities can save tax-free for eligible expenses such as education, housing and transportation without losing eligibility for Medicaid and other benefits. 

There's no limit to what people with disabilities can do. Now, that includes saving, too.

With NJ ABLE, you can save for qualified disability expenses without losing your eligibility for certain assistance programs, like SSI and Medicaid.

Plan highlights

Save with special tax advantages.

The earnings on your investments are federally tax-deferred and tax-free, if used for qualified disability expenses.1 That can help your savings compound, earning returns on your returns.

Maintain your current benefits.

• Balances of $100,000 or less are excluded from your SSI resource limit.
• Only the amount OVER $100,000 is counted against your limit, along with assets held in non-ABLE accounts.
• If your account causes you to exceed the SSI resource limit, then your SSI benefits will be suspended until the account balance no longer exceeds your resource limit.
• You'll continue to be eligible for Medicaid, regardless of your account balance.

Open an account in minutes.

Just tell us a little bit about yourself and select your investments. That's it. You can easily access your account at any time, from a PC, tablet, or mobile device. Plus, you can get started with as little as $25.

Make withdrawals easily.

• With NJ ABLE, you can access your savings by:
• going online
• calling us
• mailing a paper form  
• debit card or check, when you contribute to the Fifth Third Bank Checking Option

Avoid hidden fees.

The annualized investment costs on assets per investment option range from 0.34% to 0.38%, depending on which investment option(s) you select. Each Account is charged an account maintenance fee of $15 each quarter. This fee can be discounted by $3.75 if you select email delivery for statements and confirmations.

Who's eligible?

Eligible individuals can open the account for themselves, or an authorized individual can open an account on their behalf. There are a few requirements that individuals with disabilities must meet to be able to have an account.

You're eligible if:

• Your disability was present before the age of 26; and
• One of the following is true:
  • You are eligible for SSI or SSDI because of a disability
  • You experience blindness as determined by the Social Security Act; OR
  • You have a similarly severe disability with a written diagnosis from a licensed physician that can be produced if requested.

You must self-certify that you have one of the following:

• Blindness as defined by the Social Security Act (SSA); OR
• A medically determinable physical or mental impairment with marked severed function limitation that has lasted, or is expected to last, at least 12 continuous months or result in death;
• AND you must have a written disability-related diagnosis signed by a physician.

You must re-certify annually.

 (Proof of eligibility is not required to open an account. However, you should maintain a record of your diagnosis, benefits verification letter or other relevant documents in the event that you are required to prove eligibility at a later time.)

What are Qualified Disability Expenses?

These are ANY expenses that are incurred as a result of living with a disability and are intended to improve your quality of life.

Qualified expenses include, but are not limited to:

• Education
• Health and wellness
• Housing
• Transportation
• Legal fees
• Financial management
• Employment training and support
• Assistive technology
• Personal support services
• Oversight and monitoring
• Funeral and burial expenses

When savings is used for non-qualified expenses:

The earnings portion of the withdrawal will be treated as income, so it will be taxed at your tax rate, and will be subject to a 10% federal tax penalty and applicable state taxes.

Visit website for details and application.

For more information on accessing ABLE accounts and navigating the application process, visit: http://www.ablenrc.org/

Age Groups	Children Adolescents Adults Seniors
Community Services	Basic Needs / Assistance Financial Assistance / Referrals Family & Support Services Family Support
Health Services	Intellectual and Developmental Needs Intellectual and Developmental Disabilities (I/DD)
Areas Served	State-Wide

Last Updated: 06/19/19