Could saving for retirement impact my benefits?

The short answer is, yes. Oregon workers may choose to invest in both an ABLE savings account and a separate retirement savings account; however, retirement accounts were not designed with the same protections in mind as ABLE accounts. The money saved in an ABLE account does not count against asset limits that could impact your eligibility for state or federal benefits—this is not the case for retirement savings accounts.

It is important for ABLE savers to know that many Oregon workers may already be participating in the state’s auto-enrollment retirement savings program, OregonSaves. This workplace retirement program provides a simple, portable, low-cost way for workers to invest in their futures. Building toward a secure retirement is a worthy financial goal, but, as noted above, participating in a workplace retirement plan such as OregonSaves will most likely impact access to services and benefits for ABLE savers.

As with other retirement accounts, money saved in an OregonSaves account does count against asset limits. If you are an Oregon ABLE saver and are concerned about asset limits, you have the option to move the money invested in your OregonSaves account to your Oregon ABLE account. We advise you to speak with a financial advisor to understand any potential tax consequences.

Please note: Employed people experiencing disabilities can save more than the annual contribution limit thanks to the ABLE to Work provision. However, if the beneficiary is saving for retirement, they cannot take advantage of ABLE to Work by making extra contributions each year.