Ascensus Celebrates 5th Anniversary of the ABLE Act as ABLE Savings Surpass $100 Million
Firm Celebrates Savings Milestone Achieved Across 15,000+ Unique ABLE Accounts
DRESHER, Pa., Nov. 19, 2019 /PRNewswire/ -- Ascensus—whose technology and expertise help millions of people save for retirement, education, and healthcare—has announced that ABLE account owners have now saved more than $100 million across more than 15,000 funded accounts on the firm's platform.
December 19, 2019 marks five years since the passage of the federal Stephen Beck Jr., Achieving a Better Life Experience ("ABLE") Act. Mr. Beck had a daughter with Down Syndrome and had served as vice chairman of the National Down Syndrome Society. He knew that the savings and investment options for Americans living with disabilities were limited, and he wanted to design a specialized tool to better equip these individuals to save for a financially secure present and future. The Act marked the establishment of the ABLE savings account, which allows those living with a disability and their families to save for the future without jeopardizing federal disability benefits. ABLE savings accounts allow for tax-deferred investment growth and tax-free withdrawals when savings are spent on qualifying disability-related expenses.1
The first ABLE plans launched nationwide in June 2016, with Ascensus providing program administration services for one of these pioneering programs. Since that time, these specialized savings vehicles have continued to gain momentum with Americans living with a broad spectrum of disability types. Thus far in 2019, ABLE account owners have contributed a total of $51.9 million in savings and have withdrawn $16.7 million to help finance qualified expenses.2
"We are honored to join our ABLE program partners and the legislators who made these programs a reality to celebrate the 5th anniversary of the ABLE Act," states Kevin Cox, head of Ascensus' government savings division. "It is encouraging to see how much meaningful progress ABLE account owners have made in just a few short years, amassing more than $100 million in savings on our platform alone."
"This is just the beginning for this young market of American savers, and we look forward to continuing to help these individuals and their families save for the resources and care that they need," concludes Cox.
About Ascensus
Ascensus is the largest independent recordkeeping services provider, third-party administrator, and government savings facilitator in the United States. The firm delivers technology and expertise to help millions of people save for what matters most—retirement, education, and healthcare. For more information about Ascensus, visit ascensus.com. Explore the firm's latest data and insights on savings behaviors at pulse.ascensus.com and view career opportunities at careers.ascensus.com.
Before investing in any ABLE program, you should consider whether your home state offers an ABLE program that provides its taxpayers with favorable state tax or other benefits that are only available through the home state's ABLE program. You also should consult your financial, tax, or other advisor to learn more about how state-based benefits (or any limitations) would apply to your specific circumstances. You also may wish to contact directly your home state's ABLE program, or any other ABLE program, to learn more about those plans' features, benefits and limitations. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision.
Investment objectives, risks, charges, expenses, and other important information are included in an ABLE program's offering statement; read and consider it carefully before investing.
Investment returns are not guaranteed, and you could lose money by investing in an ABLE program. Account owners assume all investment risks as well as responsibility for any federal and state tax consequences.
1 Earnings on non-qualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as applicable state and local income taxes.
2 As of November 11, 2019.
SOURCE Ascensus
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