Money after 18 — SSI, ABLE & trusts.

Supplemental Security Income (SSI) is a monthly federal benefit for people with disabilities who have very limited income and savings. In many states it also opens the door to Medicaid. (Our Insurance guide covers SSI for kids. If you're earlier in the journey, Day One has the first-year funding steps.)

For children, Social Security counts part of the parents' income and resources. That's called deeming, and it's why many working families don't qualify. Deeming stops the month after your child turns 18. From then on, Social Security looks at your young adult's own income and resources.

So a teen who was turned down as a child may qualify as an adult. A teen already on SSI gets re-checked under adult rules.

If your child didn't get SSI as a minor, plan to apply around their 18th birthday.

• Adult disability rules apply. Social Security looks at whether severe impairments make it impossible to do substantial work, which is a different test from the childhood one.
• Gather records early: diagnostic reports, IEPs and 504 plans, evaluations, therapy notes, medication lists, and teacher observations.
• Living arrangements matter. If your adult child lives with you, how shelter costs are handled can affect the payment amount. Ask SSA or a benefits counselor about your situation. Since September 30, 2024, food is no longer counted as in-kind support for SSI.

If your child got SSI as a minor, Social Security must do an age-18 redetermination, usually within a year after the 18th birthday. Key facts from SSA's 2026 publication:

• They use adult disability rules, plus non-medical rules on income and resources.
• Earning above the "substantial gainful activity" amount doesn't automatically disqualify your child during this review. SSA looks at their actual ability to work.
• Historically, about one-third of young people lose eligibility after the age-18 review.
• You can appeal. File in writing within 60 days of the decision letter. If you appeal within 10 days, you can ask for payments to continue during the appeal.
• "Section 301" protection: if your teen is found no longer disabled but is in an approved program, payments may continue until they finish. Approved programs include an IEP (ages 18–21), a vocational rehabilitation plan, or a written 504 plan.

To get SSI, an adult's countable resources can't be worth more than $2,000 ($3,000 for a couple). Resources include cash, bank accounts, stocks, and property that could be turned into cash.

Many things don't count, including:

• The home they live in
• One vehicle used for transportation
• Household goods and personal belongings
• Money saved under a Plan to Achieve Self-Support (PASS)
• Up to $100,000 in an ABLE account

That last one is why ABLE accounts matter so much.

An ABLE account is a tax-advantaged savings account for a person with a disability. The person with the disability owns it.

Who's eligible (as of January 1, 2026): people whose disability began before age 46. It used to be before 26. They also need to meet a severity standard: either they get SSI or SSDI based on that disability, or there's a signed disability certification. They can open an account at any age, as long as onset was before 46.

How it works with benefits:

• SSI: the first $100,000 in an ABLE account doesn't count toward the $2,000 limit.
• Medicaid: SSA says Medicaid continues even if an ABLE balance over $100,000 causes SSI to be suspended, as long as the person is otherwise eligible.
• Contributions: anyone can contribute. Total contributions from all sources are capped each year. SSA lists $20,000 for 2026. Account owners who work may be able to contribute more.
• One account per person.

What the money can be spent on ("qualified disability expenses"): education, housing, transportation, job training and support, assistive technology, health care, legal fees, basic living expenses, and more.

Opening one: states run ABLE programs, and you can often choose another state's plan. Check your own state's plan first, because some offer state tax benefits. The ABLE National Resource Center compares plans.

A trust holds money for someone else's benefit. Set up correctly, a special needs trust can supplement benefits without counting against them.

• Trusts with the person's own money: SSA's rules generally count trusts made with the person's own assets as their resource. Exceptions include trusts under the Social Security Act often called "special needs trusts" (section 1917(d)(4)(A)) and "pooled trusts" (section 1917(d)(4)(C)).
• Trusts with family money: many parents set up a special needs trust in their will or estate plan so inheritances don't knock their child off SSI or Medicaid. NAA recommends that parents of autistic adults look into this.
• How payouts affect SSI: cash paid directly to the person reduces SSI. Payments to someone else for shelter reduce SSI up to a capped amount. Payments for things other than food and shelter (medical care, education, phone, entertainment) don't reduce SSI.
• Medicaid can treat trusts differently. Check with your state.

SSA itself says it can't tell you how to set up a trust. This is a job for a special-needs planning attorney.

Work and benefits can coexist. SSA's work incentives include:

• Student Earned Income Exclusion: for students under 22 who regularly attend school, part of their earnings doesn't count.
• PASS: set aside income or resources toward a specific work goal.
• Medicaid while working: SSA notes that even if SSI stops because of earnings, your young adult may be able to keep Medicaid.
• Benefits counseling through Work Incentives Planning and Assistance (WIPA) programs, available to youth starting at age 14, to explain how work and earnings affect SSI.

If your adult child needs help managing SSI, Social Security can appoint a representative payee, often a parent, to receive and manage benefits for them. It's a money-management role only. It doesn't remove any other rights, which makes it one of the alternatives to guardianship (see Decision-making supports). Payees must follow SSA's rules, including when depositing benefits into an ABLE account.

These are life stages, not a stopwatch. Use your child's birthday as the anchor.

1. Age 16–17

   Strengthen IEP transition goals and documentation. Apply to vocational rehabilitation. Learn your state's ABLE plan.

2. About 6 months before 18

   Gather records. Decide on decision-making supports. Meet a special-needs attorney if you're planning a trust.

3. Around the 18th birthday

   Apply for SSI (if not already on it). Open an ABLE account if eligible.

4. Within a year after 18

   Watch for the age-18 redetermination letter, and respond quickly.

5. Every year

   Recertify ABLE eligibility as your plan requires, and review savings against the $2,000 limit.

Pages and documents this guide draws on.

• SSA: SSI Spotlight on Deeming Parental Income and Resources (2026) — “Deeming stops the month after a child turns age 18.”
• SSA POMS SI 01320.550 — Deeming changes when a child attains age 18.
• SSA Publication 05-11005 (2026): SSI when you turn 18 — The age-18 review, the one-third figure, the 60- and 10-day appeal windows, Section 301, SEIE, and PASS.
• SSA: SSI Spotlight on Resources (2026) — The $2,000 / $3,000 limit, exclusions, and the $100,000 ABLE exclusion.
• SSA: SSI Spotlight on ABLE Accounts — Eligibility before age 46, the $100,000 rule, Medicaid continuation, the 2026 contribution limit, the housing timing rule, and one account per person.
• SSA: SSI Spotlight on Trusts (2026) — The (d)(4)(A) and (d)(4)(C) exceptions, how payouts affect SSI, and food removed from in-kind support as of September 30, 2024.
• SSA: Representative Payee Program
• ABLE National Resource Center: The ABLE Age Adjustment Act — Onset before age 46, effective January 1, 2026.
• ABLE NRC: Am I ABLE-eligible and how do I open an account?
• ABLE NRC: Frequently asked questions
• NAA: Guardianship and legal options — Recommends looking into special needs trusts.
• 20 CFR § 416.987 — Age-18 redeterminations, on SSA's own CFR page.