Illinois
Program Name:
Illinois ABLE (click to open an account) Phone: 1 (888) 609-8683
Status: Open for Enrollment
ABLE Plan Flyer: https://illinoisable.com/Docs/IL%20ABLE%20Working%20Account%20Owner.pdf
State Program Manager: Ascensus College Savings Recordkeeping Services, LLC
State Account Limit: $500,000
Accepts Out Of State Residents: Yes
Annual Contribution Limit: $19,000 (This limit is a Federal limit that is required of all states and does not include additional ABLE to Work contributions.)
ABLE To Work Act Contribution: An Account Owner who is employed and who is not contributing to a defined contribution plan, an annuity contract or an eligible deferred compensation plan may contribute additional money to their ABLE Account. The additional amount that may be deposited is an amount equal to the Account Owner’s employment income or equal to the poverty line for a one-person household for the prior calendar year, whichever amount is less. This is up to $15,060 for residents of the continental U.S.; $18,810 for residents of Alaska and $17,310 for residents of Hawaii.
Program Banking Institution: Fifth Third Bank
Number Investment Options: 8
Program Investment Institution(s): The Investment Options include 7 Asset Allocation Options with underlying investments managed by BlackRock, Schwab, Vanguard, and Capital Group-American Funds. Fifth Third Bank provides the 8th Investment Option, a Checking Account Option, which invests 100% of assets in an FDIC-insured checking account.
Debit Prepaid Card Feature: Yes
Withdrawal Hold Rules: Yes.
Contributions to the Asset Allocation Investment Options will be held for 5 or 6 business days before becoming available for withdrawal. Contributions to the Checking Account Option will be held for 6 or 7 business days before becoming available for withdrawal.
Medicaid Estate Recovery Status: Outstanding Qualified Disability Expenses, including funeral and burial expenses, can be paid first. 180 days after the death of the Account Owner, the person or entity with the legal authority to administer the Account Owner’s estate can submit an IL ABLE Estate Distribution Form to release the Account assets and close the Account. If there is a Successor Account Owner named on the Account, remaining funds will be transferred to that beneficiary. A state Medicaid agency can still recover from the estate based on factors such as type of Medicaid benefits received, individual state Medicaid policy, and the Account Owner’s state of residence. The Illinois state Medicaid agency modified its estate recovery rules for Medicaid recipients who died on or after July 1, 2022; no recoveries are allowed against the first $25,000 of estate value. For more information visit hfs.illinois.gov and talk with a legal professional.
State Income Tax Deduction: Yes. Illinois taxpayers can deduct $10K if filling as individual and $20K if filing jointly. This deduction only applies to contributions made to IL ABLE accounts. Consult with a tax preparer to discuss your tax matters.
FDIC Insured: Yes. The Checking Account Investment Option invests 100% of its assets in an FDIC-insured checking account held at Fifth Third Bank.
ABLE Legislation:
Required by Federal Law: Executive Officers (15ILCS 505/) State Treasurer Act
Account Disclosure Document(s):
Please see the Plan Disclosure Documents
Program at a Glance
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Is there an initial minimum contribution requirement to open an ABLE account? If so, how much?
No. -
Is there a required minimum contribution to your account? If so, what is the amount?
Yes. $1. -
Is there an annual set fee to maintain the account? If so, how much?
Yes. Annual Account Maintenance Fee (assessed quarterly): $56.00 for paper delivery of confirmations and statements ($14.00/quarter) $31.00 for e-delivery of confirmation and statement notifications ($7.75/quarter). -
Are there fees or restrictions to the number of disbursement you are allowed? If so, what are they?
No. -
Is there a “debit card/purchasing card” available with the program? If so, what is the added cost?
Yes. A Fifth Third Bank Checking Account Option is available with a real-time debit card and no overdraft fees. The $2.00 monthly fee will be waived for Accounts with an average daily balance greater than $250, or if enrolled in E-delivery. -
Can I roll over my ABLE account to another ABLE program? If so, what is the fee to do so?
Yes. $0. - Fee Range
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Annual Maintenance Fee:
The Annual Account Maintenance Fee is $56.00, reduced to $31.00 for E-delivery of statements and confirmations for in-state and out-of-state Account Owners. -
Check Fee:
Checks may be purchased for $6.00 per checkbook. Once the checking account balance reaches at least $25.00, payment for checkbooks may be made from funds in the Account. -
Debit Card Fee:
A Fifth Third Bank checking account option is available with a real-time debit card and no overdraft fees. The $2.00 monthly fee will be waived for accounts with an average daily balance of greater than $250, or if enrolled in electronic statement delivery. -
Investment Option Fee Range:
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Statement Fee:
Annual Account Maintenance Fee (assessed quarterly): $56.00 for paper delivery of confirmations and statements ($14.00/quarter) $31.00 for e-delivery of confirmation and statement notifications ($7.75/quarter). -
ABLE Account Transfer Fee:
$0 -
Withdrawal Transaction Fee:
$0
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Annual Maintenance Fee:
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Are there other characteristics unique to your program?
Illinois is a member of the National ABLE Alliance, a non-partisan consortium of states and the District of Columbia. Illinois savers and investors can choose among 8 Investment Options, including a fully integrated Fifth Third, FDIC-insured Checking Account Option, which is available with a real-time debit card and check-writing capability. Account Owners can take advantage of lower fees by choosing Electronic Delivery. The Illinois ABLE Program is available to both in-state and out-of-state residents. Anyone can contribute to an Illinois ABLE Account, and the easy-to-use Ugift feature makes gift contributions easy.
Where can I find the ABLE Plan’s investment performance information? Please See the Plan Disclosure Documents
Beginning with the 2023/24 school year, IL ABLE information will be shared by Illinois schools with Illinois families at their students’ annual Individualized Education Program (IEP) meetings.