What Are the New 2018 Health Savings Account Limits?

Overview


In Revenue Procedure 2017-37, 2017-21 IRB, the IRS issued the annual inflation-adjusted contribution, deductible and out-of-pocket expense limits for 2018 for HSAs. For clear comparison, we have outlined the changes from 2017 to 2018.

In Depth


In Revenue Procedure 2017-37, 2017-21 Internal Revenue Bulletin (IRB), the Internal Revenue Service (IRS) issued the annual inflation-adjusted contribution, deductible and out-of-pocket expense limits for 2018 for health savings accounts (HSAs).

Annual contribution limitations, deductibles and out of pocket expenses for 2018 increased in all categories from 2017 under Internal Revenue Code Section 223. The changes are as follows:

2018 2017
Limitation on deductions for an individual with self-only coverage under a High Deductible Health Plan (HDHP) $3,450 $3,400
Limitation on deductions for an individual with family coverage under an HDHP $6,900 $6,750
Annual deductible for self-only coverage that is not less than $1,350 $1,300
Annual deductible for family coverage that is not less than $2,700 $2,600
Annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) for self-only coverage Do not exceed $6,650 Do not exceed $6,550
Annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) for family coverage Do not exceed $13,300 Do not exceed $13,100