Financial Tips

Test Your Knowledge of ABLE 529A Accounts
(Updated: 05/06/2019)

The Achieving a Better Life Experience (ABLE) Act began in 2014.  It allows one tax-advantaged 529A account to be opened for eligible individuals (i.e., individuals with significant disabilities, with onset of disability prior to age 26).  The funds in the account grow tax free and can be withdrawn in tax-free qualified distributions.

All of the following apply to ABLE 529A accounts, except:

A.  2019 contributions are limited to $15,000 and an additional $12,140 from a beneficiary’s own earnings.

B.  Front-loading five years of contributions into an initial gift is allowed.

C.  Contributions are irrevocable.

D.  Qualified distributions include health care expenses, education, transportation, employment training, personal assistance, and housing.

 

Fact vs. Fiction

Viewpoint Financial Advisors understand that it can be tricky navigating the world of personal finance. Everyone seems to have an opinion, and it can be hard to know what to believe. We created this series as a way to present and debunk some of the most common financial myths.

Last Updated: 3/4/2019