State Treasurer Promotes Benefits of ABLE Savings Account Program
By Treasurer David McRae
The job market has largely recovered from high COVID-era unemployment, but not for everyone. Americans without disabilities were able to re-enter the workforce in droves, allowing the national unemployment rate to fall to 3.1%, according to the Bureau of Labor Statistics’ April survey. But people with disabilities faced a more difficult road.
Today, the unemployment rate for Americans with disabilities stands at 8.3 percent, more than double the national average for their able-bodied counterparts. There are a multitude of reasons for this. First, the windows where most of us have seen “Help Wanted” signs (in restaurants and retail stores) are often difficult places for people with disabilities. In some cases they require longer hours and in others greater physical demands. Either way, the sectors of our economy that need the most help right now aren’t necessarily accessible to Mississippians with disabilities.
Beyond that, many Americans with disabilities must work part-time in order to protect access to much-needed health and social security assistance. Along with all the other challenges, this puts them at a disadvantage when applying for jobs.
So what can we do? First, I encourage job creators to find places where Mississippians with disabilities can contribute to your industry. But beyond that, I am actively working to expand participation in the ABLE to Save program, as your state treasurer.
While this program cannot solve the employment problem, it can help families prepare for life’s inevitable job bumps and dips. Through ABLE to Save, people with disabilities and their families can create a tax-advantaged savings account that allows them to save money without compromising the necessary benefits mentioned above. These accounts can be used to pay for disability-related expenses, including education, housing, transportation, employment training and supports, assistive technology, personal support services, health care, financial management, administrative services, etc.
To be eligible for an ABLE account, the onset of disability must have occurred before the beneficiary reached the age of 26 (although this is something I struggle to develop, as many disabled veterans, among others, do not qualify under this criterion). If you or a loved one meet the age criteria and receive SSI or SSDI benefits, you are automatically eligible to open an ABLE account. Even if you don’t meet these criteria, you could still be eligible with a little extra paperwork!
Once an ABLE account is opened, the beneficiary, along with their friends and family, can contribute and choose how the money is invested, giving them the opportunity to grow their savings over time.
There are certainly opportunity and employment gaps that need to be filled for people with disabilities, but I hope that expanding ABLE account participation will help some families achieve greater financial stability in the future. coming.
For more information, visit Treasury.MS.gov/ABLE or call us at (601) 359-3600.
Mississippi Treasurer David McRae is the 55th Mississippi State Treasurer. In this role, he helps manage the state’s cash flow, oversees College Savings Mississippi, and has returned more than $45 million in unclaimed money to Mississippians. For more information, visit Cash.MS.gov.