---
type: Authority
title: 26 U.S.C. §529A (ABLE Accounts; Stephen Beck Jr. ABLE Act of 2014)
description: The federal statute that authorizes tax-advantaged ABLE accounts for people with disabilities, letting them save without losing means-tested benefits within set limits.
resource: https://www.law.cornell.edu/uscode/text/26/529A
tags: [able-account, 529a, disability, ssi, medicaid, federal]
timestamp: 2026-06-22
jurisdiction: Federal
author: Patrick Nolan
authority_type: statute
citation: 26 U.S.C. §529A
---

# Summary

26 U.S.C. §529A is the federal Stephen Beck Jr. ABLE Act of 2014. It authorizes tax-advantaged ABLE (Achieving a Better Life Experience) accounts for eligible individuals with disabilities. Contributions grow tax-free and withdrawals for qualified disability expenses are tax-free, and the account balance is largely disregarded for federal means-tested benefits within statutory limits. Missouri offers ABLE accounts through MO ABLE, administered by the State Treasurer on the STABLE platform, under Missouri's ABLE statute (RSMo §§209.600–209.645).

# Operative text

Paraphrased from the statute and its amendments:

- Eligibility turns on a disability that began before a threshold age; the original threshold of 26 was raised to before age 46 effective January 1, 2026 (the ABLE Age Adjustment Act within SECURE 2.0).
- Total annual contributions from all sources are tied to the federal annual gift-tax exclusion, with an additional ABLE to Work amount for an employed owner not in an employer retirement plan.
- Distributions for qualified disability expenses are tax-free.
- For Supplemental Security Income, the first $100,000 in an ABLE account is generally disregarded; above that, SSI cash benefits are suspended, not terminated. Medicaid eligibility continues regardless of the balance.
- After the owner's death, the statute allows Medicaid to seek reimbursement for assistance paid since the account was established, after qualified expenses.

Read the full section at the official source linked above.

# Decision rule

Because §529A lets a person with a qualifying disability hold and spend funds without losing SSI or Medicaid within limits, use an ABLE account for day-to-day, owner-controlled spending; pair it with a special needs trust for larger sums, third-party control, and stronger creditor and recovery protection.

# Related

- [MO ABLE Accounts](/okf/special-needs-trusts/able-accounts.md)
- [Special Needs Trust Overview](/okf/special-needs-trusts/overview.md)
- [What a Special Needs Trust Pays For](/okf/special-needs-trusts/what-it-covers.md)
- [RSMo §§209.600–209.645 (Missouri ABLE Program)](/okf/authorities/missouri/rsmo-209-600-mo-able.md)
- Official source: https://www.law.cornell.edu/uscode/text/26/529A