Annual inflation amounts have been released for HSAs and high deductible health plans – all limits will increase for calendar year 2018.
Annual Contribution Limitation
For calendar year 2018, the deduction limits for an individual with coverage under a high deductible health plan is:
- Self only – $3,450 (an increase from $3,400 in 2017).
- Family coverage – $6,900 (an increase from $6,750 in 2017).
High Deductible Health Plan
For calendar year 2018, a “high deductible health plan” (HDHP) has an annual deductible not less than:
- Self only – $1,350, with an annual out-of-pocket expenses (e.g. deductibles, co-payments, and other amounts, but not premiums) not exceeding $6,650 (an increase from $6,550 for 2017).
- Family coverage – $2,700, with an annual out-of-pocket expenses (e.g. deductibles, co-payments, and other amounts, but not premiums) not exceeding $13,300 (an increase from $13,100 for 2017).
In cases where the HDHP renewal date is after January 1, 2018, any required changes to the annual deductible or out-of-pocket maximum may be implemented at the next renewal date.
Individuals age 55 or older and covered by a qualified high deductible health plan can make additional catch-up contributions of $1,000 each year until they enroll in Medicare.