ABLE MATCH Act Proposed in House

Representatives Debbie Dingell (D-MI) and Derek Schmidt (R-KS), have introduced H.R. 9801, the ABLE MATCH (Making Able a Tool to Combat Hardship) Act. According to a press release, the bill would establish a federal matching contribution for eligible low to moderate income individuals who save in ABLE accounts, allowing beneficiaries to receive up to a 100 percent federal match on the first $2,000 they contribute to the account annually, subject to income limits. The matching funds would be deposited directly into the beneficiary's ABLE account.

While the non-refundable Saver's Credit essentially becomes a Saver's Match for retirement contributions effective in 2027, the Saver's Credit continues to apply to ABLE contributions. The bill has been referred to the House Committee on Ways and Means.