A recent rule change in Illinois nearly doubled the number of residents who can open ABLE savings accounts, giving people with disabilities a better way to protect their money while waiting on Social Security claims that take an average of 257 days to process in the state. According to data compiled by Disability Exchange (https://disabilityexchange.org/states/illinois/), Illinois has 1,482,931 residents living with at least one disability, representing 11.8% of the state's civilian population.

The expanded ABLE program now allows anyone whose disability started before age 46 to open a tax-free savings account. The old cutoff was age 26, which left out a lot of people, including veterans who were injured in service and workers hurt on the job later in life. State Treasurer Michael Frerichs estimated that roughly 250,000 additional Illinois residents now qualify. So far, about 8,500 account holders in the state have saved a combined $121 million through the program.

For people collecting SSI or Medicaid, the savings rules have always been a problem. You're allowed to have $2,000 in countable resources before those benefits get cut. That means one unexpected check or a small inheritance could put your benefits at risk. ABLE accounts let you hold up to $100,000 without it counting against that limit, and the money grows tax-free as long as it goes toward disability-related expenses like housing, transportation, or medical care.

"Most people we talk to don't even know ABLE accounts exist, and the ones who do often thought they didn't qualify because of the old age restriction," said the team at Disability Exchange. "This is a real fix for a real problem. If you're on SSI and you've been scared to save a dollar because it might cost you your benefits, this changes things."

The processing time issue adds urgency. Illinois claimants wait an average of 257 days for an initial SSDI decision, which is 30 days longer than the national average of 227 days. Only about 40% of first-time applicants get approved. The rest either appeal or give up. For those who push through to a hearing before an administrative law judge, the approval rate in Illinois climbs to 49%, but that hearing can take another 12 to 24 months on top of the initial wait.

Disability Exchange publishes free state-by-state disability data, including approval rates, processing timelines, and local SSA office information. Illinois residents can access their full state profile and check whether they may qualify for benefits at https://disabilityexchange.org/qualify/.

About Disability Exchange: Disability Exchange is a free online resource that provides state-level Social Security disability data, eligibility tools, and benefits information for all 50 states and Washington, D.C. Learn more at https://disabilityexchange.org.

Media Contact: Anthony Albert, Benefits Research Director, Disability Exchange, [email protected]