2018 Health Savings Accounts Limits Are Set

The IRS recently published the inflation adjusted limits for the 2018 Health Savings Accounts (HSA). Deposits made to an HSA are tax free; contributions grow within the account tax free; and distributions are tax free as long as the money is used for out-of-pocket health care expenses, including deductibles.

Here are the new limits:

• Individual accounts rise to $3,450 (from 2017’s $3,400)
• Family coverage rises to $6,900 (from 2017’s from $6,700)
• Maximum out-of-pocket figures are also up: for single coverage to $6,650 (from 2017’s $6,550) and for family coverage to $13,300 (from 2017’s $13,100)

 

Source: IRS