Compliance FYI: 2021 HSA and HDHP Information
Senior Compliance Attorney
On May 20, 2020 the IRS issued the limits for 2021 on Health Savings Accounts (HSAs) and the associated high deductible health plans (HDHPs) in Revenue Procedure 2020-32.
Health Savings Accounts
Minimum HDHP Deductible: $1,400/single $2,800/family
Maximum Contributions: $3,600/single $7,200/family
Out-of-Pocket Maximum: $7,000/single $14,000/family
It is important to note that all limitations have increased from 2019.
REMINDER: The Affordable Care Act (ACA) out of pocket limits differ from the Internal Revenue Service (IRS) out-of-pocket limits for HSA qualified HDHPs.
Affordable Care Act – Out of Pocket Maximums
Out-of-Pocket Maximum 2021: $8,550/single $17,100/family
With the ACA limits, plans must apply the annual individual out-of-pocket (OOP) maximum for each individual in a family plan. Employers offering HSAs, however, must make sure they satisfy the lower OOP maximums and not these higher ACA limits.