Health Savings Account (HSA) Limits Released for 2018

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The IRS Released Revenue Procedure 2017-37 on May 4, 2017 that provides the HSA limits for 2018 as follows:

 HSA Limits

2017

2018

HSA Maximum Annual Contribution Limit (Self-only)

$3,400

$3,450

HSA Maximum Annual Contribution Limit (Family)

$6,750

$6,900

HDHP Minimum Annual Deductible (Self-only)

$1,300

$1,350

HDHP Minimum Annual Deductible (Family)

$2,600

$2,700

HDHP Maximum Annual Out-of-pocket (Self-only)

$6,550

$6,650

HDHP Maximum Annual Out-of-pocket (Family)

$13,100

$13,300

HSA Catch up Contribution Limits (over age 55)

$1,000

$1,000

All of the parameters impacting HSAs will be changing for 2018.

HSA eligible individuals will be able to make additional contributions starting next year.  Further, the newly released minimum deductible limits will be important to keep mind when employers stack consumer directed health care accounts together like flexible spending accounts (FSA) and health reimbursement arrangements (HRA) with HSAs.  Minimum deductibles must be factored into plan design and participation in order to preserve HSA compatibility.  The release of the new limits in advance provides ample time to review plan designs prior to the next renewal period.

Update:  See our June 13, 2017 Compliance Buzz regarding IRS guidance about the minimum deductible and maximum out-of pocket limits that are necessary for a health insurance plan to be HSA-compatible.

Categories: Compliance, Health Care in General | Tags: HSA , IRS , FSA , HRA , HSA compatible , Limits , 2018 | Return