Tennessee Becomes Second State to Launch ABLE program
ABLE TN allows qualified individuals with disabilities to save up to $14,000 a year in an ABLE account without jeopardizing their eligibility for federally-funded means tested benefits, such as Social Security and Medicaid. The funds in the account can be used for disability-related expenses that assist the beneficiary in increasing and/or maintaining his or her health, independence or quality of life.
ABLE TN focuses on efforts to ensure minimal costs associated with establishing and maintaining an ABLE account. Total annual asset-based fees range from 0 percent to 0.63 percent, depending on the investment selections held within an account. There are no sales or distribution charges or fixed account maintenance fees associated with ABLE TN accounts. The total annual asset-based fee includes the underlying investment expenses and program management fee. The annual asset-based fee is divided over 12 months and applied to the account balance at the end of each month.