The IRS has announced inflation-adjusted limits for health savings accounts (HSAs) and high-deductible health plans in 2014.
Health savings accounts are an increasingly popular option for employees who opt for a high-deductible health plan. With HSAs, participants can set aside funds to pay for qualified medical expenses, which they can withdraw as needed.
Here are the HSA limits for 2014:
- Single HSA contribution limit: Increasing from $3,250 to $3,300
- Family HSA contribution limit: Increasing from $6,450 to $6,550
- Catch-up contributions for age 55+: (no change) $1,000
- Minimum single HDHP deductible: remaining the same at $1,250
- Maximum single HDHP out-of-pocket limit: Increasing from $6,250 to $6,350
- Minimum family HDHP deductible: remaining the same at $2,500
- Maximum family HDHP out-of-pocket limit: Increasing from $12,500 to $12,700
For more information on health savings accounts for 2014, read the IRS notice.