IRS increases Health Savings Account (HSA) limits in 2024
The Internal Revenue Service (IRS) has announced the inflation-adjusted figures that apply to HSA contributions in calendar year 2024 and the minimum deductible and maximum out-of-pocket for HSA-qualified medical plans that begin in 2024.
Access the full IRS 2024 HSA announcement
Contribution limits
The maximum contribution to an HSA in 2024 increases from $3,850 to $4,150 for self-only coverage and from $7,750 to $8,300 for family coverage. The catch-up contribution for HSA owners who are age 55 or older on or before Dec. 31, 2024, remains at $1,000.
Statutory minimum annual deductible
High deductible health plans (HDHPs) that renew during calendar year 2024 must have a minimum annual deductible of $1,600 for self-only (up from $1,500 in 2023) and $3,200 for family coverage (up from $3,000 in 2023). All services except those that are recognized under federal tax law as preventive care must be applied to the deductible.
Statutory annual out-of-pocket maximum
The statutory annual out-of-pocket maximum increases to $8,050 for self-only coverage and $16,100 for family coverage. This higher limit applies to plans that renew during calendar year 2024. The ceiling applies to covered in-network services only — including deductibles, co-payments (but not premiums). Plans with an out-of-network level of benefits aren’t restricted by federal law to a maximum (though state laws may impose out-of-pocket ceilings).
What these changes mean for employers
No action is required immediately. HSA-qualified plans that renew on or after Jan. 1, 2024, must have an in-network deductible no lower than $1,600 or $3,200. The in-network out-of-pocket maximum for covered services can be increased to the new higher limits.
Update as of 11/10/23:
The IRS released on 11/9/23 the 2024 contribution limits for Flexible Spending Accounts (FSAs), Commuter Benefits, Adoption Assistance, and Health Reimbursement Arrangements (HRAs). The IRS also increased the FSA carryover limit for 2024.
The new 2024 limits are:
| FSA-Medical | $3,200 per year |
| FSA-Limited Purpose | $3,200 per year |
| FSA-Dependent Care | $2,500 per year married and filing separately; $5,000 per year other than married and filing separately |
| FSA-Carryover limit | $640 per year |
| Commuter Benefits | $315 per month |
| Adoption Assistance | $16,810 per year |
| QSEHRA (Qualified Small Employer HRA) | Single: $6,150 / Family: $12,450 per year |
| EBHRA (Excepted Benefit HRA) | $2,100 per year |
| HSA (previously announced) | Single: $4,150 / Family: $8,300 per year |
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This information is provided by Voya for your education only. Neither Voya nor its representatives offer tax or legal advice. Please consult your tax or legal advisor before making a tax-related investment/insurance decision.
Health Savings Accounts offered by Voya Benefits Company, LLC (in New York, doing business as Voya BC, LLC). HSA custodial services provided by Voya Institutional Trust Company.