You take money out of your ABLE account but don’t spend it on “qualified disability expenses”
You (or others) deposit more than the maximum allowed in your account in a single calendar year
- Up to $15,000 from any source (including your family and friends, your benefits, and other unearned income
- Another $12,760 from your own earned income (if you have a job).
You don't keep track of the deposits that others make in your ABLE account
You get SSI and let the balance on your ABLE account go over $100,000
Even if SSI benefits stop because you have too much money in your ABLE account, you keep your Medicaid coverage as long as you meet all other eligibility rules.
You want the money in your ABLE account to go to your family if you die
If this could cause problems, look into setting up a third-party (meaning it is in someone else’s name) Special Needs Trust, which has no limit on contributions. (Learn more about Special Needs Trusts.) Also, if you die, the money in the trust isn’t used to repay Medicaid benefits, and it doesn’t go through probate before your heirs get it. You can have both an ABLE account and a Special Needs Trust.