Kansas lawmakers will consider a bill during this legislative session that would provide a tax-free avenue for families with disabled children to save for future expenses.
Kansas State Treasurer Ron Estes and Rep. Erin Davis (R-Olathe) introduced proposed legislation on Thursday to create the Kansas Achieving a Better Life Experience (ABLE) Savings Program.
The program would allow families to make tax-free contributions to a savings account that could be used for future expenses, such as those related to education, health, housing or transportation.
The plan would be set up similar to the state’s Learning Quest 529 program, which helps families save for the higher education costs of their children.
Under the proposal, $14,000 a year could be contributed to an ABLE account.
Individuals whose disability occurred before age 26 would be able to qualify for the program as long as they have met Social Security disability standards or have a disability certification.