On May 28, 2019, the IRS announced the inflation-adjusted contribution limits for Health Savings Accounts for 2020. The limit for self-only coverage will increase by $50 to $3,550 and the limit for family coverage will increase by $100 to $7,100.
| 2019 | 2020 | Change | |
|---|---|---|---|
|
HSA contribution limit (employer & employee) |
Self-only: $3,500 Family: $7,000 |
Self-only: $3,550 Family: $7,100 |
Self-only: +$50 Family: +$100 |
|
HSA catch-up contributions (age 55 & older) |
$1,000 | $1,000 | No change |
| HDHP minimum deductibles |
Self-only: $1,350 Family: $2,700 |
Self-only: $1,400 Family: $2,800 |
Self-only: +$50 Family: +$100 |
|
HDHP maximum out-of-pocket amounts (not including premiums) |
Self-only: $6,750 Family: $13,500 |
Self-only: $6,900 Family: $13,800 |
Self-only: +$150 Family: +$300 |
Source: IRS, Notice 2019-25
Employers should make sure plan designs for 2020 reflect the updated limits as well as communicate the changes to employees.
If you would like more information, please contact Sandy Geho at 443-573-3930.
