Tips for Requesting an ABLE Gift this Holiday Season

By State Treasurer Curtis Loftis

People with a disability and their families know that simply navigating life can come with a high price tag. On average, the cost of living with a disability is 28 percent higher than without. Needs such as medical care, specialized equipment, assistive technology, adaptive housing, and transportation services bring with them a substantial financial burden. To provide for their current and future needs, many South Carolinians with disabilities and their families open a Palmetto ABLE® savings account to save money without jeopardizing eligibility for important state and federal needs-based benefits.

Because of its ability to enhance financial independence, a contribution to an ABLE account is one of the most impactful gifts anyone could possibly give. But how can you encourage close friends and family members to contribute to your ABLE account without feeling awkward asking? It’s easy!

Start spreading the news.

As soon as you’ve opened a Palmetto ABLE savings account, start spreading the good news. Tell your family members and friends that you now have a new way to save for current needs and future goals. Explain how much it will mean if they choose to give a gift that will help enhance your life. To make it easier, the Palmetto ABLE account owner can create an eGifting page that allows loved ones to contribute directly into their ABLE account – which means the money won’t count as income or a resource towards eligibility for needs-based benefits.

Sharing your gift-giving requests will be easier if you do so well before holiday shopping begins or birthday parties are planned. Loved ones will know that whenever they wish to celebrate an important event in your life, you hope they will consider contributing to your Palmetto ABLE account.

Explain that a little can go a long way.

ABLE accounts are tax-advantaged investment and savings accounts, allowing account owners to withdraw funds tax-free for qualified expenses. The Palmetto ABLE plan has a very low minimum contribution limit, so there’s no pressure to give a large amount. Tell friends and family members that any contribution will help save for the future.

In addition to longer-range goals, the money saved can be used to meet immediate needs, too. It’s all up to the account owner.

There’s additional good news for account owners with a disability who are employed. They may be able to contribute even more to their ABLE account. Contribution limits for ABLE accounts are significantly higher than the $2,000 resource limit that is associated with needs-based benefits.

Put it in writing.

Sending out invitations to a birthday or holiday party? Include a note explaining to attendees that if they are planning to bring a gift, a contribution to your ABLE account would be much appreciated. You can include your unique link that will take them directly to your eGifting page.

When loved ones send a check or give cash as a gift, send them a thank you note telling them that some of their gift will be contributed to your ABLE account. That way they’ll know that contributions to your account are always welcome.

Let them know they could get a gift, too.

Be sure to let the important people in your life know that their contributions may come with a gift for them, too. For example, in South Carolina, 100% of contributions to an ABLE account can be deducted from their South Carolina state income tax returns.

Top the list with an ABLE wish.

Grandparents, parents, aunts, uncles, siblings, and friends will welcome suggestions for holiday or birthday gift giving. Be sure to put “a contribution to my Palmetto ABLE savings account” at the very top of your wish list. Add inexpensive items to your list in case loved ones would like to give another small gift for you to unwrap and enjoy.

If you or a family member have a disability, you know how valuable an ABLE account can be for  financial freedom. Whether your dream is to buy an adaptive van or make a down-payment on a house, be sure to let your loved ones know they can help you make your dreams come true with a contribution to your Palmetto ABLE savings account.