FAQs
Answers at your fingertips
You can scroll through the FAQs, search, or click a category button to filter them.
- About ABLE
- Account Management
- Additional Tax Benefits and Penalties
- ALR
- Banking and Investments
- Contributions and Withdrawals
- Eligibility
- Getting Started with ABLE
- Gifting
- Prepaid Card
- Recurring Contributions
- Rollover
- Successors and Estates
- Tax Credit
- Can money in an ABLE account be recovered in a bankruptcy?
-
No. The Hawai’i ABLE Savings Program is protected from bankruptcy.
- How is an ABLE account different from a Special Needs Trust or a Pooled Trust?
- An ABLE account won’t replace a Special Needs Trust or Pooled Trust. There are some key differences that are meant to give people with disabilities and their families more options. With an ABLE account: There are fewer expenses than setting up a trust. The beneficiary owns the funds and can... Read more
- Can I roll over the funds in an existing ABLE account into a Hawai'i ABLE account?
- Can I roll over the funds in an existing ABLE account into an Hawai'i ABLE account? Yes. You can choose to roll over part or all the funds in your existing ABLE account into a Hawai'i ABLE account by filling out the ABLE to ABLE Rollover Form. Keep in mind that you can make only one rollover every... Read more
- How can I roll over the funds in my Hawai'i ABLE account into another ABLE account?
- We'd be sorry to see you go! You can choose to roll over part or all the funds in your Hawai'i ABLE Savings Plan account into another ABLE plan by filling out a rollover form from your new ABLE Savings Plan. Keep in mind that if you roll over your entire account balance, your Hawai'i ABLE account... Read more
- What happens after the death of a beneficiary? Is there a Medicaid payback?
- In the event of the death of a beneficiary, the funds from their ABLE account can be used by their estate to repay any outstanding eligible expenses and funeral and burial costs. Remaining funds will be transferred to the estate of the beneficiary. Medicaid in some states is restricted from filing... Read more
- Is the ABLE account considered part of the estate after the death of a beneficiary?
- Yes. As part of the estate, funds in an ABLE account are subject to federal estate tax. After the death of the beneficiary, ABLE funds can be used to pay any outstanding qualified disability expenses of the deceased individual and any state claim under section 529A(f) before they are transferred to... Read more
- What is a successor designated beneficiary?
- When the primary beneficiary dies, the person designated as the successor beneficiary becomes the primary beneficiary on the ABLE account. A successor for an ABLE account must be a sibling, step-sibling, or half-sibling of the account owner and must also qualify for an ABLE account. A successor... Read more
