The annual contribution limit is increasing, which now allows account holders to save up to $16,000 per calendar year. Take advantage of ABLE’s gifting page feature and hit your savings goals with the help of friends, family, or even an organization. Read more…
That is because it gives Floridians in the disability community the opportunity to save, invest and spend like everyone else – all while maintaining the important benefits they may rely on. Of all the things you open this holiday season, an ABLE United account may be the most important. Read more…
Catherine Davey recently published an article in The Elder Law Advocate. Click the link to read about the restoration of rights in a Guardian Advocacy.
There is a lot to be said for putting your spare change to work for you – and the truth is, you have to start somewhere.As children, one of the most commonly known places to save was through a piggy bank.
Today, saving comes in many forms, and for the disability community, an ABLE United account is one of them.
congratulations to Kimberly Lorenz! Ms. Lorenz was recently featured in Orlando Style Magazine’s Top Women in Law for 2020. Read the article online by clicking here.
At the Davey Law Group P.A., we have tremendous respect for the courageous men and women who risk their lives and make daily sacrifices to protect and serve the public in times of urgent need. Catherine Davey understands this better than most as she comes from a family of firefighters and emergency management personnel.
We would like to express our sincere gratitude to first responders (Firefighters, EMS, Police officers, Military, and Medical personnel) right here in Central Florida. These incredible individuals are saving lives, risking their health, and protecting our communities daily. We would like to recognize their hard work by offering a 25% price reduction on all of our estate planning services.
Click here for more information about the program.
On October 22, 2019 Catherine Davey, attorney and owner of Davey Law Group, P.A. in Maitland, FL and John Finch, Director of ABLE United, conducted a webinar discussing ABLE, Special Needs Trusts, and how these two financial tools work together. ABLE United offers individuals with disabilities the opportunity to save up to $15,000 each year, the potential to experience tax-free growth, all without negatively impacting means-tested government benefits. But, how does an ABLE account compare to other financial planning tools, such as a special needs trust? Catherine and John discuss
how an ABLE United account can work alongside a special needs trust.
Are you prepared for the next hurricane? Do you have extra food and flashlights? What about legal protection? As the hurricane season looms closer, ensure you are legally safe from these natural disasters. Take a look at free legal resources that will protect both your business and you.
Click here for more information.
Removal of Medicaid Recovery
The Florida legislature took the first steps this session to amend Florida ABLE statutes and remove Medicaid recovery from ABLE United accounts.
This change would treat those with ABLE accounts in the same manner as those without ABLE accounts when it comes to Medicaid recovery. The implementing bill clarifies that any remaining funds in an ABLE account must first be distributed for qualified disability expenses then transferred to the estate of the designated beneficiary. Additionally, Florida’s Medicaid program may not file a claim for Medicaid recovery of funds in an ABLE account. These changes will be in effect from July 2018 – June 2019. The hope is that legislation introduced in the 2019 session will make this change permanent.
Tax Cuts and Jobs Act 2017
When the Tax Cuts and Jobs Act was signed into law on December 22, 2017, it created three provisions that impact ABLE United account holders – in a positive way.
First, rollovers from 529 college savings plan accounts into ABLE accounts are now permitted under federal law. The state of Florida is in the process of amending state rules to allow such rollovers. These types of rollovers must be from the designated beneficiary or a member of the family of the designated beneficiary and will count towards the annual maximum contribution amount ($15,000).
Second, beneficiaries who work and earn income will now be able to make contributions into their ABLE accounts in excess of the annual maximum contribution limit ($15,000). It is important to note that there are limitations that the beneficiary should be aware of before making these types of contributions:
- The amount the beneficiary could contribute above the $15,000 is the lessor of: (i) the beneficiary’s compensation for the taxable year; or (ii) an amount equal to the Federal Poverty Level for a one person household as determined for the preceding calendar year of the tax year in which contributions are made. The limit for 2018 is $12,060.
- The additional contribution would not be allowed if the beneficiary or his/her employer contribute to the beneficiary’s defined contribution plan, to an annuity described in section 403(b) of the IRS Code, or a deferred compensation plan as described in section 457(b) of the IRS Code.
- The beneficiary, or the person administrating the account on behalf of a beneficiary, is responsible for ensuring compliance with the ABLE contribution limits.
Third, individuals who are able to take advantage of contributing earned income to their ABLE account may be able to take advantage of the Federal Tax Savers Credit.
Each of these provisions are being reviewed by ABLE United before formally implementing in order to put the necessary safeguards in place to protect our account holders and to further help individuals with disabilities Achieve a Better Life Experience.