Qualified Expenses

What Is a "Qualified Disability Expense"?

An expense is considered a "Qualified Disability Expense" if:

(1)  You incurred the expense at a time when you were an Eligible Individual;
(2)  The expense relates to your disability; and 
(3)  The expense helps you to maintain or improve your health, independence, or quality of life.

Examples of Qualified Disability Expenses
(Note:  This list contains many examples, but it is not exhaustive. There are many other types of Qualified Expenses that are not listed here.)

Education
• Tuition for preschool through post-secondary education
• Books
• Supplies and educational materials

Housing
• Expenses for a primary residence 
• Rent
• Purchase of a primary residence
• Mortgage payments
• Real property taxes
• Utility charges
NOTE: SSI benefits can be affected if you use ABLE funds for any housing expenses. See the "Benefits" section of our website for more information. 

Transportation
• Expenses for transportation
• Use of mass transit
• Purchase or modification of vehicles
• Moving expenses

Employment Support
• Moving expenses
• Expenses related to obtaining and maintaining employment
• Job-related training

Health Prevention and Wellness
• Expenses for health and wellness
• Premiums for health insurance 
• Mental health, medical, vision, and dental expenses
• Habilitation and rehabilitation services
• Durable medical equipment
• Therapy
• Respite care
• Long-term services and supports
• Nutritional management
• Communication services and devices
• Adaptive equipment
• Assistive technology
• Personal assistance

Assistive Technology and Personal Support
• Expenses for assistive technology and personal support (e.g., a smartphone for a child with autism)

Miscellaneous Expenses
• Financial management and administrative services
• Legal fees
• Expenses for oversight
• Monitoring 
• Home improvement, modifications, maintenance and repairs
• Funeral and burial expenses

Documenting Your Expenses

It is up to you to track how you spend the money in your STABLE Account. We do not ask how you plan to spend your money. However, the IRS has the right to ask you to verify your expenditures. For this reason, you should keep good records on how you are spending your STABLE Account funds.

Non-Qualified Expenditures

If you spend your STABLE Account funds on a non-qualified expense, you will have to pay regular income taxes, plus a 10% additional tax, on the earnings portion of those non-qualified funds. Additionally, the non-Qualified funds you withdraw could be counted against you for purposes of determining your eligibility for means-tested public benefits programs, like Medicaid or SSI.