Withdrawals
Withdraw funds from your ABLEnow account at any time, for any reason, to pay for qualified disability expenses.
Ways to Withdrawal from Your Account
ABLEnow offers multiple ways to withdraw funds, giving you flexible access to your savings.
Online Withdrawals
Request withdrawals at any time online. Funds can be sent by bank transfer or check to pay qualified disability expenses.
Recurring Withdrawals
Schedule recurring withdrawals, also called a systematic withdrawal, from your ABLEnow account to help manage ongoing expenses. Choose a frequency that fits your needs, including monthly, quarterly, semiannual or annual. The minimum withdrawal amount is $50.
Checking Account Option
With the Checking Account as a portfolio option, there’s even more flexibility. Account owners convenient access to a debit card, check writing and cash withdrawals to access funds. The Checking Account can be used to set up electronic payments to a third party (if accepted).
Qualified withdrawals
A qualified withdrawal is any withdrawal used to pay qualified disability expenses. These withdrawals are not included in taxable income and generally do not count as income when determining eligibility for programs such as Supplemental Security Income (SSI) or Medicaid.
Non-qualified withdrawals
A non-qualified withdrawal is any withdrawal used for expenses that are not qualified disability expenses, as well as certain transfers that do not meet program requirements or withdrawals made when the account owner no longer meets eligibility criteria.
Non-qualified withdrawals may affect eligibility for means-tested benefits. Earnings on these withdrawals are subject to federal income tax and may also be subject to an additional 10% federal tax penalty.
Documentation for withdrawals
A non-qualified withdrawal is any withdrawal used for expenses that are not qualified disability expenses, as well as certain transfers that do not meet program requirements or withdrawals made when the account owner no longer meets eligibility criteria.
Non-qualified withdrawals may affect eligibility for means-tested benefits. Earnings on these withdrawals are subject to federal income tax and may also be subject to an additional 10% federal tax penalty.
Managing an ABLEnow Account
Withdrawals FAQs
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You may request a withdrawal from any investment option in your ABLEnow account, including the Checking Account Option.
Contributions may not be available for withdrawal immediately. Depending on the method used to add funds, contributions may need time to process and clear before they can be withdrawn.
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A Systematic Withdrawal Program (SWP), also called a recurring withdrawal, allows Account Owners or their Authorized Individual to automatically withdraw funds from their ABLEnow account on a regular schedule. The minimum withdrawal amount is $50, and Account Owners choose the frequency, start date, amount, investment option(s) to withdraw from, and an optional end date.
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Money taken out of an ABLEnow account is called a withdrawal. There are several ways to make a withdrawal from your ABLEnow account:
- One-time withdrawal requested online, with funds sent by bank transfer or check.
- Recurring withdrawal, also called a systematic withdrawal, scheduled online and sent to the bank account listed on your account, mailed to your address on file, or sent to a third party.
- Withdrawals using the Checking Account Option include debit card purchases and cash withdrawals.
ABLEnow accounts may be used to pay a variety of Qualified Disability Expenses related to maintaining the Eligible Individual’s health, independence and quality of life. See the Qualified Disability Expenses section for more information.
Additional information
Impact on Benefits
Build savings without putting certain public benefits at risk.
