What kind of benefits do I get?
One of the main benefits of having a STABLE account is being able to save for eligible expenses and invest for the future in a tax-advantaged account. The account’s growth is tax-free and you may qualify for a state income tax deduction, depending on where you live.
If you’re an Ohio resident or taxpayer, you can take a state income tax deduction of up to $4,000 per STABLE account you contribute to, with unlimited carry forward. This means that if you contribute more than $4,000 to a STABLE account in a calendar year, you can carry the remainder of your contributions forward to subsequent years until your entire contribution has been fully deducted. The beneficiary’s own contributions may also be eligible for the federal Saver’s Credit.
Other states may also offer income tax deductions or credits for STABLE Account contributions. Please check with your state taxation agency or financial planner for more information on your state tax benefits.
And as long as your balance stays below the $100,000 Supplemental Security Income (SSI) limit, you can keep your SSI benefits and still qualify for Medicaid and other benefits (regardless of the amount you saved in your account). You’ll also get access to a simple and intuitive online platform to manage your account.