Compliance FYI: IRS Announces New HSA Limits for 2018 – Revised!
Senior Compliance Attorney
The Internal Revenue Service (IRS) set the Health Savings Account (HSA) family maximum contribution limit at $6,900 for calendar year 2018. In March of 2018, the IRS adjusted that limit due to inflation to $6,850, which may have caused enrollees to change their contribution. On Thursday, April 26, 2018, the IRS released Revenue Procedure 2018-27, which essentially restored the previous limit. The HSA family contribution is now officially $6,900, which will be effective for the remainder of the 2018 calendar year.
Please keep in mind the following limits as they apply to HSAs in 2018:
HSA Qualified Plans
Out of Pocket Maximum; $6,650/single; $13,300/family
Maximum Contributions; $3,450/single; $6,900/family
Minimum HDHP Deductible; $1,350/single; $2,700/family
The only change is to the 2018 family maximum contribution limit. All other limits remain the same.
Key Takeaway
This change affects those employees with family High Deductible Health Plan (HDHP) coverage who elected to contribute the family contribution maximum to the HSA, either individually or split between themselves and their spouse. This change reverses a previous change decreasing the family contribution limit from $6,900 to $6,850. The revised limit is back to the original $6,900.
