If only one spouse is 55 or older but the younger spouse contributes the full family contribution limit to the HSA in his or her name, the older spouse has to open a separate account to make the additional $1,000 catch-up contribution. However, "because an HSA is in one individual's name, just like an IRA-there is no joint HSA even when you have family coverage-only the person age 55 or older can contribute the additional $1,000 in his or her own name," Sit said. "Because the individual coverage limit and the family coverage limit are both rounded to the nearest $50, when one number rounds up and the other number rounds down, the family coverage limit can be slightly more or slightly less than twice the individual coverage limit."ĥ5 or older by the end of the year-not age 50, as with 401(k) and individual retirement account (IRA) catch-up contributions-can contribute an additional $1,000 to their HSAs. HSA and HDHP limit increases "are released much earlier than other employee benefit limits so that insurance companies that offer high deductible health plans-which participants must enrolled in to make HSA contributions-can get their insurance products approved by state insurance regulators," explained William Sweetnam, legislative and technical director at the Employers Council on Flexible Compensation (ECFC), which represents sponsors of account-based benefits plans.įamily coverage numbers happened to be twice the individual coverage numbers in recent years but it isn’t always true," Sit pointed out. The catch-up contribution amount, however, is fixed by statute. The contribution limits are adjusted for inflation (rounded to the nearest $50) annually, using the Consumer Price Index for All Urban Consumers for the 12-month period ending on March 31. HDHP maximum out-of-pocket amounts (deductibles, co-payments and other amounts, but not premiums)Ĭontribution limits for various tax-advantaged accounts for the following year are usually announced in October, "except for HSAs, which come out in the latter part of April or May," explained Harry Sit, CEBS, who writes The Finance Buff blog.
HSA catch-up contributions (age 55 or older) HSA contribution limit (employer + employee) This means health plans do not need to substantially change their plan designs for 2022.įor Health Savings Accounts and High-Deductible Health Plans "For HSA-qualified insurance plans, the minimum deductibles will remain the same as for 2021, but the annual out-of-pocket maximums will increase slightly for 2022," said Roy Ramthun, president and founder of HSA Consulting Services. Revenue Procedure 2021-25, the IRS confirmed HSA contribution limits effective for calendar year 2022, along with minimum deductible and maximum out-of-pocket expenses for the HDHPs with which HSAs are paired.
That's about a 1.4 percent increase from 2021. The annual inflation-adjusted limit on HSA contributions will be $3,650 for self-only and $7,300 for family coverage. Health savings account (HSA) contribution limits for 2022 are going up $50 for self-only coverage and $100 for family coverage, the IRS announced May 10, giving employers that sponsor high-deductible health plans (HDHPs) plenty of time to prepare for open enrollment season later this year. IRS Announces Spike in 2023 Limits for HSAs and High-Deductible Health Plans. Update: On April 29, 2022, the IRS announced health savings account (HSA) contribution limits for 2023.
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