HORAN Health Benefits Compliance Blog

Keeping you up-to-date and on-track with health benefits compliance

Health Savings Account (HSA) 2018 Limits Announced

 May 16 2017     Diane Cross
The IRS has set the HSA annual limits for 2018, raising the maximum contributions for both self-only and family plans – increased by $50 and $150 respectively. Per the IRS Revenue Procedure 2017-37, the 2018 contribution rates are adjusted for inflation, as are the maximum out of pocket expenses and minimum deductible for the associated high-deductible health plans (HDHPs).

2018 Contribution and Out-of-Pocket Limits for HSAs and HDHPs

Maximums    2018
HDHP Minimum Deductible   Self-Only: $1,350 (increase of $50)
Family: $2,700 (increase of $100)
HDHP Maximum Out-of Pocket
Co-payments, deductibles, and
other amounts except premiums
  Self-Only: $6,650 (increase of $100)
Family: $13,300 (increase of $200)
 HSA Contribution Limit
Employer and Employee Contributions
  Self-Only: $3,450 (increase of $50)
Family: $6,900 (increase of $150)

The maximum HSA catch-up contribution (for those aged 55 or older) for 2018 remains $1,000. For reference, catch-up contributions allow individuals who are 55 or older to contribute an additional $1,000 annually to the HSA account.

Employers should be mindful of these limits as they plan for the 2018 benefit plan year. For instance, employers may need to update plan documents and other relevant plan communications so that the 2018 limits are referenced. 

What about the potential limit increases proposed by the American Healthcare Act (AHCA)? While there are proposed changes to HSA limits, the AHCA is still being considered by the Senate and yet to be signed into law. Under current regulations, HSA limit increases remain tied to inflation. Should the regulations change, HORAN will monitor and inform accordingly.

Please contact your HORAN representative with questions.