What are the HSA contribution limits?

The IRS has announced the new 2017 contribution limits for health saving account. Each year the IRS provided the inflation-adjusted HSA contribution limits, along with minimum deductible and maximum out-of-pocket expenses for the high-deductible health plans. The health savings account annual limit for individuals rises by $50.  Aside from this $50 increase, other limits for HSA remain the same.

For calendar year 2017, the annual limitation on deductions for an individual under a high deductible health plan is $3,400. The annual limitation on deductions for a family is $6,750. The additional catch-up contribution for 55 years old or older is still $1,000.

HSA Guidelines for 2017

	HSA Contribution Limit	HDHP Minimum Deductible
Single	$3,400	$1,300
Family	$6,750	$2,600

Please keep in mind that a High Deductible Health Plan (HDHP) is required to open a health saving account. Here are the criteria for HDHP:

(1) For a single individual, an HSA-qualified health plan in 2017 must have a deductible no lower than $1,300. For a family, an HSA-qualified health plan in 2017 must have a deductible no lower than $2,600.

(2) For a single individual, the maximum out-of-pocket exposure on an HSA-qualified health plan cannot exceed $6,550. For a family, the maximum out-of-pocket exposure on an HSA-qualified health plan cannot exceed $13,100.