Your Child’s Journey: An Ohio Guide for Deaf or Hard of Hearing Support
Trusts and STABLE Accounts
Trusts and STABLE accounts are financial tools that help protect your child’s benefits while saving for their future.
There are different types of Special Needs Trusts. On this page, we will be describing a third-party trust, or discretionary trust.
A third-party trust is a way for family or friends to save money for a person with a disability without affecting their ability to get government help like SSI or Medicaid. The trust is managed by a trustee, and only that person can decide how and when to use the money. The money does not count against benefits, and the government does not take what is left when a person with a disability passes away.
Watch Five Things to Know About Special Needs Trusts to learn more.
A STABLE account (Ohio’s version of an ABLE account) is a special savings account for people whose disability began before age 46. The person with the disability (or someone helping them) can use it to save money for everyday needs like housing, food, and healthcare. It is simple to open online and usually will not affect SSI or Medicaid unless it goes over certain limits.
Watch What You Need to Know About STABLE Accounts; or
Deepen your understanding of benefits and trusts further by exploring the booklet, “Planning for Bright Tomorrows: Estate and Future Planning for Ohioans with Disabilities and Their Loved Ones.”
Comparison: Third-Party Trust and STABLE Account
|
Tool |
Third-Party Trust |
STABLE Account (ABLE Account) |
|
Who sets it up? |
Parent, grandparent, or another loved one |
The person with a disability or someone helping |
|
Whose money goes in? |
Family or friends (not the person with a disability) |
The person’s own money or family |
|
How much money can go in? |
No limit |
Up to $15,000 per year (may change with inflation) |
|
Does the state take money when the person dies? |
No |
Yes, if Medicaid was used |
|
Affects SSI or Medicaid benefits? |
No, if managed correctly |
Not until the account goes over $100,000 (SSI only) |
|
Can it pay for housing or rent? |
No – could reduce SSI if used that way |
Yes – rent, utilities, and more |
|
Good for large gifts or inheritance? |
Yes |
No – not ideal for big amounts |
|
Do you need a lawyer? |
Yes, highly recommended |
No, can be set up online |
|
Who controls the money? |
A trustee (not the person with the disability) |
The person with a disability or their helper |
|
Best used for... |
Long-term planning and large savings |
Everyday expenses and smaller savings |