IRS Releases 2018 Health Savings Account Limits
HSA Contribution Limits and Minimum Deductibles Announced for 2018
The Internal Revenue Service (IRS) has announced the 2018 inflation-adjusted amounts for Health Savings Accounts (HSAs) as determined under the Internal Revenue Code. So as you plan your budget, keep in mind the power of Health Savings Accounts, especially if you’re a health, young, individual, who statistically spends significantly less on health care. An HSA vehicle could be a solid place to build up a stash of money, rather than paying out expensive premiums.
Annual Contribution Limitation
For calendar year 2018, the annual limitation on HSA deductions for an individual with self-only coverage under a high deductible health plan is $3,450 (up from $3,400 for 2017). The annual limitation on HSA deductions for an individual with family coverage under a high deductible health plan is $6,900 (up from $6,750 for 2017).
High Deductible Health Plan Amounts
For calendar year 2018, a “high deductible health plan” is defined as a health plan with an annual deductible that is not less than $1,350 for self-only coverage or $2,700 for family coverage, and annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) that do not exceed $6,650 for self-only coverage or $13,300 for family coverage.
Click here to read the IRS announcement.