BERWYN, PA — Pennsylvania quietly ushered in major changes to its ABLE account program at the start of 2026, expanding eligibility and raising contribution limits in a move that advocates say could reshape financial security for people with disabilities statewide.
ABLE accounts, short for Achieving a Better Life Experience, allow individuals with disabilities to save money without jeopardizing eligibility for resource-based public benefits such as Supplemental Security Income and Medical Assistance. Funds held in the accounts can grow tax-free when used for qualified disability-related expenses.
One change that took effect on January 1 increased the annual contribution cap for Pennsylvania ABLE accounts from $19,000 to $20,000, continuing the program’s gradual expansion as federal limits adjust.
A far more consequential shift, however, dramatically widened who can open an account.
Before 2026, only individuals whose qualifying disability began before age 26 were eligible to establish a Pennsylvania ABLE account. That restriction excluded many people whose disabilities developed later in life due to illness, injury, or other circumstances.
Under the new rules, the age-of-onset limit has been raised from 26 to 46, opening the door for thousands of additional Pennsylvanians to participate.
“This age limit prevented a lot of disabled persons whose disability began after age 26 from being able to open an ABLE account in PA,” said Jennifer Simons, an attorney in the estates and trusts department at McAndrews Law Offices. “Raising the age limit from 26 to 46 will allow many more individuals with disabilities to take advantage of the use of an ABLE account.”
ABLE accounts are designed to give individuals greater financial independence by allowing them to manage their own savings without triggering benefit reductions. The accounts can also play a critical role when a person with disabilities receives a modest lump sum, such as an inheritance or proceeds from litigation, by allowing up to $20,000 to be transferred into an ABLE account without affecting SSI or Medicaid eligibility.
With both the higher contribution limit and expanded eligibility now in effect, Pennsylvania’s ABLE program is positioned to reach a broader population in 2026, giving more residents with disabilities a way to save, plan, and maintain essential public benefits at the same time.
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