Under ABLE (Achieving a Better Life Experience), parents could save up to $14,000 a year on medical and dental care, education, and transportation expenses -- which would go a long way in helping them save and plan for their children's futures.
Although ABLE was approved on a federal level, the state level still had to approve certain regulations before it would be fully instituted.
And after just three months, Virginia became the first state to approve and pass a bill related to the ABLE Act. This approval is particularly poignant because the idea for the ABLE Act was originally conceived by a group of parents in Virginia.
Two other states that are close to passing bills related to the ABLE Act are West Virginia and Utah, while 29 other states are still considering bills and seven states are drafting them. Despite bill approval, it can still take at least a year for ABLE accounts to be established.
Sherry Huang is a Features Editor for Parents.com. She loves collecting children's picture books and has an undeniable love for cookies of all kinds. Her spirit animal would be Beyoncé Pad Thai. Follow her on Twitter @sherendipitea.
Photo of wooden mallet and Virginia flag via Shutterstock