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IRS Sets 2017 HSA Contribution Limits

IRS Sets 2017 HSA Contribution Limits

The maximum contributions that can be made to health savings accounts in 2017 will increase $50 for individuals, but remain unchanged for families.

The Internal Revenue Service announced Thursday that the maximum contribution that can be made next year to an HSA linked to a high-deductible plan will be $3,400, up from $3,350, while the maximum contribution for those with family coverage will remain at $6,750.

However, maximum out-of-pocket expenses will remain the same in 2017 for both categories.  The maximum out-of-pocket employee expense, including deductibles, will remain at $6,550 for single coverage, and $13,100 for family coverage.

For 2017, a high-deductible health plan is defined as a one with an annual deductible of least $1,300 for self-only coverage and $2,600 for family coverage.

Increases in the HSA limits, which are detailed in Revenue Procedure 2016-28, are tied to changes in the cost of living.

Source: http://www.businessinsurance.com/article/20160428/NEWS03/160429784?tags=58|412|375|82|74|70|63|62#utm_medium=email&utm_source=bi-breakingnews&utm_campaign=bi-breakingnews-20160428