ABLE Employment Flexibility Act gives employers flexibility when recruiting, hiring, and retaining people with disabilities

WASHINGTON, DC - Today, Congressman Brian Fitzpatrick (R-PA-01), Co-Chair of the Bipartisan Disabilities Caucus, along with Congresswoman Sharice Davids (D-KS-03), introduced the ABLE Employment Flexibility Act. This bipartisan bill builds on Fitzpatrick’s continued work to expand economic opportunity and remove systemic barriers for Americans with disabilities.

This legislation allows employers to make tax-free contributions to ABLE accounts—special savings accounts that help individuals with disabilities build financial security without jeopardizing their eligibility for critical federal programs like Supplemental Security Income (SSI) and Medicaid. The bill would give employers new flexibility to provide meaningful retirement benefits to employees with disabilities, empowering more Americans to achieve economic independence and long-term stability.

“In America, work should open doors—not close them. Yet for too long, outdated federal rules have forced workers with disabilities to choose between earning a living and preserving the supports they rely on,” said Fitzpatrick. “The ABLE Employment Flexibility Act aligns our benefits system with the modern workforce, expanding opportunity and reaffirming a basic truth: financial independence should be within reach for every American.”

“Workers with disabilities should have the same access to employer benefits as anyone else, including the ability to save for their future,” said Davids. “After speaking with Kansans like Rachel Mast, a person with Down syndrome, I introduced this bill to ensure that workers with disabilities can build financial security without sacrificing the federal benefits that help them succeed. It’s a commonsense fix that promotes equity, independence, and economic opportunity for millions of Americans.”

Currently, employer retirement contributions—such as 401(k) matches—can disqualify individuals from essential government benefits due to restrictive federal asset limits. This forces many workers with disabilities to forgo financial planning tools available to their peers, leaving them at a systemic disadvantage. The ABLE Employment Flexibility Act addresses this gap by enabling employers to contribute directly to employees’ ABLE accounts in lieu of traditional retirement plans, ensuring access to tax-advantaged savings without risking federal support.

The legislation has been praised by national advocacy organizations:

"NDSC is thrilled about the introduction of this bill. People with Down syndrome and other disabilities who work should be entitled to the same employee retirement benefits as their colleagues without jeopardizing their public supports,” said Jim Hudson, Executive Director, National Down Syndrome Congress (NDSC). “This bill will enable the payment of retirement benefits directly into their ABLE account."

“Representatives Brian Fitzpatrick and Sharice Davids and are to be commended for their efforts to strengthen ABLE plans for those who are working and struggling to save for retirement,” said Shaun Snyder, CEO, National Association of State Treasurers (NAST). “The National Association of State Treasurers and its ABLE Savings Plans Network are eager to work with them to continue to improve the financial future of Americans with disabilities.”

“The CEO Commission for Disability Employment believes that inclusivity and flexibility are key to building a strong and diverse workforce,” said Rob Snow, Executive Director, CEO Commission for Disability Employment. “The Able Employment Flexibility Act empowers businesses to offer adaptive work arrangements that support employees with disabilities, enabling them to thrive professionally. This legislation not only promotes equity but also helps us tap into a pool of highly skilled and motivated individuals who enrich our teams and drive innovation.”

People with disabilities are more than twice as likely to live in poverty as those without disabilities, yet their families often need 28 percent more income to achieve the same standard of living. Strict asset limits for federal assistance programs long prevented people with disabilities from saving for the future. The ABLE program has changed that, helping over 170,000 people with disabilities across the U.S. save an average of $11,186.

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