Unlock Financial Freedom With a Texas ABLE Account

Authors: Vanessa Goodson, Marketing Specialist, Texas Comptroller of Accounts and Anna Mallett, Program Manager, Educational Opportunities and Investment Division, Texas Comptroller of Public Accounts

The Texas ABLE Program is made possible through the federal Stephen Beck, Jr., ABLE Act of 2014, which allows states to create tax-advantaged savings programs for eligible people with disabilities. The Texas ABLE Act of 2015 established the Texas ABLE Program. The Texas Prepaid Higher Education Tuition Board, with assistance from the Texas Comptroller of Public Accounts, administers the program.

Tax-Advantages

Any earnings on contributions grow tax-free, and withdrawals are tax free if used for qualified disability expenses.

Qualified Disability Expenses

Funds can be used to pay for a variety of qualified disability expenses that relate to the eligible individual’s disability, including: 

• Education
• Transportation
• Health care and medical costs 
• Assistive technology and adaptive equipment
• Personal support services
• Housing
• Basic living expenses

Eligibility Requirements

Texas ABLE is open to Texans of any age whose disability occurred before the age of 26 and who meet one of the following criteria: 

• Eligible for SSI or Social Security Disability Insurance (SSDI) benefits; or
• Have a condition on the Social Security Administration’s list of Compassionate Allowances; or
• Have a physician’s diagnosis of blindness or of a severe physical or mental impairment that is expected to last at least 12 months and/or result in death.

An eligible individual at least 18 years of age can open and manage their own account, or an authorized legal representative may open and manage the account for the beneficiary. There is no enrollment fee to open the account.

Contributions and Public Benefits

The minimum initial contribution to open a Texas ABLE account is $50, and subsequent contributions can be as little as $25. Anyone can contribute to the account, and the online gifting tool makes it easy for others to contribute directly to an account. 

The annual contribution limit is currently $19,000, and certain employed beneficiaries may be able to contribute above the annual contribution limit. Participants can save up to $100,000 in the ABLE account without impacting SSI benefits or save up to the account balance limit of $500,000 if benefit eligibility is not a consideration. While funds of more than $100,000 will be treated as a countable resource for SSI determination purposes, funds in the account don’t count toward the individual’s eligibility for Medicaid.

A Financially Empowered Future

Maintaining financial stability while juggling costs for disability-related expenses can be a challenge for individuals who are blind, deafblind or have low vision. With SSI asset limits often as low as $2,000, paying for expenses and saving money for the future can feel impossible. Texas ABLE allows individuals to increase their savings without risking the loss of public benefits, enabling plans for long-term financial security and independence.

Examples of How Texas ABLE Accounts Can Help:

Covering assistive technology costs

For individuals who are blind or have low vision, essential assistive technology like braille displays, screen readers and magnifiers can be expensive. ABLE accounts can cover these costs, creating more opportunities to thrive academically, professionally and socially.

Supporting postsecondary education

For students living with visual impairments, ABLE accounts can be an invaluable resource when pursuing higher education. Funds can be used for tuition, books, housing expenses, campus transportation and specialized support services to ensure individuals with disabilities have equal access to educational opportunities.

Promoting long-term care and wellness

ABLE account funds can be used to cover costs associated with medical treatments, therapy and personal care services. This flexibility gives families and individuals peace of mind knowing they will be able to meet their health and wellness needs without jeopardizing public benefits.

To learn more about the Texas ABLE Program, visit Texas ABLE or contact our customer service team at 844-489-2253 or by email: [email protected]  Customer service hours are Monday through Friday, 8 a.m. to 5 p.m. CT, excluding holidays.

The Texas ABLE® Program (“Program”) is administered by the Texas Prepaid Higher Education Tuition Board (“Board”). Orion Advisor Solutions, Inc. is the manager of the Program, which is distributed by Northern Lights Distributors, LLC and maintained by Catalis Regulatory and Compliance, LLC, neither of which are affiliated with Orion. The Program and the Board do not provide legal, financial, benefit, or tax advice and you should consult a legal, financial, benefit, or tax advisor before participating.

An account could lose money, including the principal invested. Other than the Bank Savings Account option, accounts are not insured or guaranteed by the FDIC. No part of an account is a deposit or obligation of, or is guaranteed or insured by, the Board, the state of Texas, or any agency or agent thereof. Interests in the Program have not been registered with or approved by the SEC or any state. Investors should carefully consider the tax consequences, impact on benefit eligibility, Medicaid recapture, investment objectives, risks, fees, charges, and expenses associated with the Program. The Board may suspend, modify, or terminate the Program or change investment approaches, offerings, and/or underlying investment funds at any time and without the consent of account owners, authorized legal representatives, or beneficiaries. The Program Disclosure Statement and Participation Agreement contain this and other important information about the Program and may be obtained by visiting Texas ABLE or calling 844-4TX-ABLE (844-489-2253). Investors should read the Program Disclosure Statement and Participation Agreement, and all other Program documents carefully before investing. 

© 2025 Texas Prepaid Higher Education Tuition Board. “Texas ABLE” is a registered mark of the Texas Prepaid Higher Education Tuition Board. Texas ABLE is distributed by Northern Lights Distributors, LLC, Member FINRA, SIPC, 4221 N 203rd St, Suite 100, Elkhorn NE 68022. All rights reserved.