LANSING, Mich. (WOOD) — Michigan became only the fifth state in the country Tuesday to launch a savings plan for those with disabilities.
Lt. Gov. Brian Calley called it “the most substantial reform for people with disabilities since the Americans with Disabilities Act was signed in 1990.”
The bill signed Tuesday gives those with disabilities, their families and loved ones an option for a tax-free way to save for the future.
The Mi-ABLE, or Michigan Achieving a Better Life Experience, is not unlike the state’s 529 savings plan you might have for a child saving for a college education. It allows tax-free savings for education and goes beyond for things like transportation, employment training, legal fee expenses, housing and more.
“This really is an exciting time where we have an opportunity for people with disabilities to save more, to plan for the future, to put themselves in a better position for independence in the future without putting their daily supports, disability supports at risk,” Calley said.
The account allows people to save up to $100,000 without losing other state or federal disability benefits.