The Texas ABLE Program was established to "encourage and assist individuals with disabilities and their families in saving funds to pay for many disability-related expenses critical to maintaining the individual's health, independence, and quality of life."

This is a tax-favored vehicle, similar to a 529 college savings plan, but has a "payback provision" (requires the trust, upon the death of the beneficiary, to use remaining trust funds to repay Medicaid or any other program benefits the beneficiary received while alive).

For a person to qualify for an ABLE account, they must:

• Have a disability that began before age 26,

• Be a recipient of Social Security Income (SSI) or Social Security Disability Insurance (SSDI), or 

• Meet other disability requirements. 

ABLE account money can be used for ANYTHING, as opposed to a Special Needs Trusts.

You can only contribute $17,000 a year to most ABLE accounts as of 2023. If the account, in addition to other resources, exceeds $100,000, SSI benefits will be suspended. Manage these accounts carefully to protect eligibility.

To learn more, click here.

A healthcare program for children without health insurance whose family income exceeds the Medicaid limit. Their website can be found here.

This is a program that provides individualized services and support to people with intellectual disabilities who are living with their families, in their homes, or in other community settings, such as small group homes where no more than four people live. To sign up for HCS lists, parents should contact their local MHMR agency. There is no age limit. Individuals must be intellectually disabled or have a related condition, such as autism, that results in deficits in adaptive behavior, have a full-scale IQ of 75 or below, and be eligible for Medicaid. Their website can be found here.

Local agency that is administered through ADRC and offers services to individuals who have an intellectual disability (ID) or a related condition that occurred prior to age 18, (IQ below 75). Services cannot be refused due to an inability to pay. If a person deems eligible, MHMR will assist in applying for Medicaid. To apply, you must go to your local agency for an intake evaluation. A case worker will be assigned and help with applying for or scheduling the following services: 

• Respite funds

• Supported employment

• Group homes

• Home and Community-based Services (HCS) waiting lists

• Other supports

Google your local MHMR agency.

A way to store an unlimited amount of money or property for a person with a disability or health care needs without affecting their federal and state benefits. 

Two common types: 

1. Self-funded trust: holds money or property that your child puts directly into it. This kind of Special Needs Trust has a "payback provision" (requires the trust, upon the death of the beneficiary, to use the remaining trust funds to repay Medicaid or any benefits the beneficiary received while alive).

   • DO NOT list their name directly as a beneficiary on the trust or anywhere else or else they will directly get the money and lose their SSI benefits. It will need to say something like, "Testimentory trust for ____." Talk with your attorney about this. 

2. Third-party funded trust: funded by pretty much anyone other than the child. A properly designed third-party trust does NOT have to include a payback provision, meaning that the government has no right to the funds when the beneficiary dies. This is most likely the type of trust you want for your child.

How to create a Special Needs Trust

• Work with an estate attorney to help you with both a will and the legal side of setting up your trust.

• Work with a financial advisor who can help you plan and manage the money or property that you'd like to put into the trust. 

Tax Returns

• File Form 1041 and use the Trust's Federal Identification Number/Employer Identification Number/Taxpayer Identification Number when doing a tax return for a Special Needs Trust.

  • Never use your social security number or the disabled beneficiary's social security number for Trust taxes. 

  • Never complete Form 1040 for the Trust.

Take Note

• Trust tax rates are generally higher than individual tax rates.

• Special Needs Trusts cannot pay for food, rent, or pay cash directly to the beneficiary.

• Special Needs Trusts can put money into ABLE accounts.

• The assets in a Special Needs Trust are NOT the assets of the Disabled Beneficiary or of the Grantors. 

• A Special Needs Trust MUST have its own Federal Identification Number (FIN, EIN, or TIN) to be valid.

Formerly known as Food Stamps; provides low-income individuals assistance with purchasing food through an electronic debit card. Their website can be found here.

This was formerly known as the Texas Department of Assistive and Rehabilitative Services, or DARS. This program can help people with physical or mental disabilities prepare for, find, or keep a job. Their website can be found here.

Offers grants for medical treatment, transportation, lodging, vehicle modifications, assistive technology equipment, and other costs not covered by insurance. Their website can be found here.

Gives medical and sensory equipment to children 6 weeks through 10 years with disabilities and special health care needs. Their website can be found here.

Offers care for children with disabilities or special health care needs even if a family cannot pay. Their website can be found here.

Helps families pay for medical costs for children 16 years and younger. Their website can be found here.

Gives financial help to people with certain conditions for copayments, premiums, and more. Their website can be found here.

Helps you find the cheapest prescription drug costs in your area and has coupons for drug discounts, too. Their website can be found here.

Gives grants for treatment, assessments, and equipment. Their website can be found here.

A need-based grant for medical treatments and for nutrition and personal needs not covered by insurance. Their website can be found here.