Illinois is among the states working on how to implement tax-free accounts for people with disabilities.
The accounts are called ABLE, which stands for Achieving a Better Life Experience. Qualifying families can use the accounts to save and then withdraw from tax-free for costs related to health care, housing, transportation, and other services, similar to how 529 college savings accounts work.
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Treasurer Mike Frerichs estimates 40,000 Illinois families may take advantage of the new program.
“The treasurer’s office is designated to run programs like this,” Frerichs said, “but I’m also committed to using this office to help people, and that’s what ABLE will do.”
The best estimate for how long it will take to set up the program is one year.