What can my child use an ABLE account for?

There are three key ways to help your child get the most out of their ABLE account:

1. Save money - Your child can deposit money into the account, or other people can make gift contributions. The maximum you can contribute to your child’s account will depend on whether they are receiving SSI/SSDI benefits.
2. Grow money - An ABLE account can be used as a professionally managed investment portfolio that grows tax-free, and the money can be withdrawn at any time. There are fees, but using the account to invest is optional.
3. Spend money - ABLE funds must be spent on “qualified disability expenses,” but this is a wide-ranging category that can include anything used to improve the individual's health, independence, or quality of life.

To learn more, see our full article 7 Key Questions about CalABLE Accounts Answered.